Everything You Need to Know About Warranties in New Construction Homes by Chafin Communities

Have you ever been asked if you wanted to add a warranty when purchasing an appliance, an electronic, or other devices? We have these warranties in place to protect our investments. If you have warranties for your camera or a tablet, you will likely want protection on larger purchases as well. Buying a home may be the biggest purchase that you make, and it is important to understand the coverage that is available to you. These warranties add an extra layer of confidence that your investments are secured. Let’s go over what these are, what they cover, and how that benefits you. 

What is a Warranty? 

A warranty for a new construction home, often referred to as a homeowner’s warranty or structural warranty, is a formal agreement between the builder and the homeowner. This warranty ensures that the builder will address any necessary repairs within a specified time frame. In this arrangement, the builder is typically the party responsible for the coverage, while the homeowner is the beneficiary. The warranty may encompass critical elements such as the foundation, flooring, and plumbing. Essentially, it holds the builder accountable for ensuring that the home is built properly and functions as intended. 

Structural Warranty 

Warranties differ, however, generally speaking, a structural warranty encompasses your home’s foundation, load-bearing walls, and roof trusses. If any problems were to arise within these structural components within 10 years, the builder would be held accountable for repairing them. 

Workmanship and Materials Warranty 

The workmanship and materials warranty covers issues with flooring, windows, roofing, and more. For instance, if there is a defect with a material used or an error in the construction of the home, it would be covered. These components are typically covered for 1-2 years. 

System Warranty 

The proper functioning of your vital systems are essential for a comfortable living experience. The system warranty covers plumbing, electrical, and HVAC systems to ensure that they are installed and running efficiently. These systems are also usually covered for 1-2 years. 

How Does a Warranty Benefit You? 

Knowing that the builder is accountable for the quality of their workmanship instills confidence in your home purchase. With a warranty, you at the very least will have peace of mind knowing that, should any issues arise they will be taken care of promptly. Not only will they  be taken care of, but it will also be easier to receive the help that you need by allowing you to contact the builder directly, rather than having to search for a reliable contractor. Additionally, it can save you significant money on costly repairs that would otherwise incur a substantial expense.

What isn’t Covered? 

While the warranty offers great protection, there are a few exceptions to the coverage. Typically, natural disasters, appliances, and landscaping are not included, along with general wear and tear or any changes you’ve made to the home. For instance, it’s normal for carpets to wear down or paint to fade over time, and these would not be covered. Additionally, it’s important to stay on top of regular maintenance to keep your home in good condition, as failing to do so may affect your coverage. Lastly, if you make renovations to the home and issues arise, those would generally not fall under the builder’s responsibility.

Warranty vs. Home Insurance

The distinction between the two can often be confusing. But it is important to understand that they serve different purposes and one does not replace the other. While both offer protection for your home, they cover different types of damage. Home insurance typically covers damage caused by natural disasters, theft, or other unexpected events, whereas a warranty focuses on repairs related to defects in construction, workmanship, or system malfunctions. In short, home insurance protects against external risks, while a warranty ensures the home’s quality and functionality.

When purchasing a home, it’s essential to feel confident that both you and your investment are in trusted hands. If you have any questions or need further guidance, don’t hesitate to reach out to us at Chafin Communities. We’re here to help you find your dream home while ensuring your investment is well-protected. Make your home-buying experience as smooth and secure as possible.