A new construction home warranty is a structural warranty that provides a written agreement between the home builder and the homeowner and clearly defines the builder's work-product obligations related to construction quality and continuing obligations. Under the agreement, the builder is the insured and the homeowner is the beneficiary.
An insurance-backed, new construction home warranty, from 2-10 Home Buyers Warranty, gives builders and homeowner's confidence that if qualified major structural damages develop in a home, those repairs will be the obligation of the warranty insurer rather than the responsibility of the builder and homeowners. The 2-10 HBW warranty uses an insurance company dedicated to the payment of warranty claims.
Even builders with an excellent history of no structural-defect claims can find themselves dealing with structural warranty issues years after closing.Read More [+]
Implied warranty laws are subject to vague and unpredictable interpretations that can vary from one court decision to another. Using an express limited warranty such as a new construction home warranty that disclaims all implied warranties and eliminates this uncertainty, and helps set a buyer's expectations.
Understand the importance of a structural warranty to your business and why you should choose 2-10 Home Buyers Warranty over others.Download
On average the cost of a 10 Year warranty is less than a half percent of the total purchase price of the home including the land. The cost varies from state to state due to the risks of local soil conditions.Read More [+]
Overall the price is quite small compared to the home's value and what average structural repairs would cost.
A builder's out of pocket costs for structural repairs can average from $42,500 in low-risk states to $133,000 in high-risk states.