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There are a lot of benefits when buying new builds, and new home warranty is one of them! Did you know that in Alberta under the New Home Buyer Protection Act, builders are required to provide home warranty coverage on all new residential homes, including condominiums, manufactured homes and recreational properties. A newly built home is actually not allowed to be sold until it has warranty coverage and is registered in the New Home Buyer Protection System.
What does the New Home Warranty in Alberta cover?
The New Home Buyer Protection Act requires a minimum warranty coverage on all new homes in Alberta. This includes the following:
One Year For Labour and Materials
This covers any issues in materials or issues concerning how the home was built. This can cover a wide range of items, everything from trims to staircases.
Two Years for Delivery and Distribution Systems
This will cover any issues with plumbing, electrical, heating, ventilation, and a/c.
Five Years for Building Envelope Protection
This refers to the overall shell of the home – the roof, walls, etc. Warranty providers are required to offer builders the option of purchasing an additional 2 years for building envelope coverage.
10 Years for Major Structural Components
This is related to the overall structure of the building, including the roof, the frame, and the foundation.
How does the New Home Warranty in Alberta Work?
The warranty coverage begins when the first of the following occurs:
- the new home is occupied
- the permitting authority grants permission to occupy
- the title of the new home is transferred to the owner
The new home warranty in Alberta is attached to the home – meaning that it doesn’t go with the owner if they sell – the warranty coverage will stay with the home until it expires.
If you do need to submit a claim, you can do so through your warranty provider. Your warranty provider will be responsible for working with the builders.
