New Home Warranty Basics

September 20, 2017

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If you’re worried about the potential problems that could arise after you purchase a new home – don’t worry. Alongside working with a reputable builder, each and every new home buyer in Alberta can look forward to new home warranty. In addition to peace of mind and a beautiful home, here’s exactly what you can expect from your warranty program:

New Home Warranty 101

Mandatory home warranty was put into place in February of 2014 in order to protect buyers from specific builder related defects when purchasing a new home. This mean, everyone who buys a new home can look forward to sound building practices and are protected from for any unlikely surprises in their new home. 

It’s important to note every home builder in Alberta must provide warranty. More specifically, 1-2-5-10 coverage must be given to new buyers with some builders offering even further coverage as an added benefit (i.e. longer coverage on certain items).  

New Home Warranty Basics Worker Image

1-2-5-10 Warranty Coverage 

As we mentioned, all new home builds must offer the 1-2-5-10 coverage, which includes the following: 

One Year – Materials and Labour

For up to 12 months after your possession date, you will be covered in the event of any defects related to builder materials and labour. A good builder understands that new homes settle within the first year and sometimes nail pops or perhaps chipping paint may arise as a result (totally normal). This could also include any defects in flooring, trim and more. 

A good builder will work with you to organize a one-year follow up to ensure everything is up to standard in your new home and to discuss any concerns you may have.

Two Years – Distribution Systems

Right up until the end of your second year, you’ll enjoy warranty coverage on all major mechanical systems in your home. This includes your heating, electric and plumbing systems. 

Five Years – Building Envelope

The building envelope is defined as the “shell” of the home – the materials that keep the interior air from meeting the exterior and keep your home insulated. This includes components such as wall framing and cladding, as well as roof and window insulation. Some builders may even offer a two-year extension of this coverage – meaning you’ll have the benefit of a full seven years of coverage from the day you move in. 

Ten Years -Structural Integrity 

This refers to the full ten-year coverage of key structural components of your home. This will cover defects resulting in the failure of any load-bearing part affecting your ability to safely occupy the home – the framing or foundation, as an example.  

In short, home warranty is nearly invaluable when it comes to the peace of mind it provides new home buyers. Of course, a good builder will be happy to help no matter what the circumstance, but it’s reassuring to know you’re backed by some great coverage.

Related article: Home Warranty Do’s and Don’ts

Click here to get this simple first-time home buyer's guide! 

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About the Author:

At Sterling Homes, our mission is to provide the opportunity for affordable homeownership without compromise. Over the last 70 years, Sterling Edmonton has quickly become one of Edmonton’s most popular builders. We bring more than seven decades worth of exceptional customer service, superior design and unparalleled craftsmanship to the greater Edmonton area. As a member of the Qualico Group, Sterling Homes focuses on greater Edmonton’s finest family communities, while being able to offer some of the region’s most family friendly prices thanks to volume purchasing power for materials, trades and land. This has not only made Sterling one of Edmonton’s bestselling, move-up builders, but also one of the industry’s most respected home providers. It is through our uncompromising commitment to our customers that we proudly deliver the Sterling Advantage – that’s why each and every home we build includes a 10-year home warranty, a completion guarantee and new home warranty excellence rating. Our Advantage is our pledge that, when you build your dream home with Sterling, we will deliver a timely, well-built home you’re sure to enjoy for years to come.

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