You gotta to know this that the new home industry is so different than the existing market (or resale). Builders have their own standards including their own contracts. I am not even going to discuss contracts here because that is outside the scope of my expertise, but there are certain basic things that you as a buyer should know about new home warranties.
There's all kinds of variations on warranties out there that covers all or part of a new home, i.e structural, new construction, remodeler's home improvement, extended warranty, and more.
Generally new home warranties fall into three categories, via Realtor:
1. Statutory. These are warranties specifically required by law. Some states, including Indiana, Louisiana, Maryland, Minnesota, Mississippi, New Jersey, New York, and Virginia, have passed new-home warranty acts that require builders to provide protections to home buyers. These warranties range from two years for the quality of workmanship and materials to 10 years for structural defects.
2. Implied. These are warranties inferred by legal precedent set in past lawsuits. Today, most states have case law that protects new-home buyers from faulty workmanship. One of the most common implied warranties is the implied warranty of habitability, which guarantees that the house will be free from defects that substantially impair its use and enjoyment. Such a warranty often covers significant defects in the plumbing, electrical, roofing materials, and structural systems such as the foundation. This warranty may also include a guarantee to the initial buyer that the materials, products, or fixtures that make up the home (such as the plywood or siding) are free from defects.
3. Express. These are written warranties provided by the home builder. A builder may decide to provide express warranties about the home in the purchase contract, even in the absence of a law requiring it to do so. The express warranties might read something like: “The builder of this home hereby warrants the quality of the completed structure for two years from the date of completion.” Specific express warranties often benefit a home builder because the builder may attempt to disclaim all implied warranties by providing specific ones. For example, if a builder provides an express warranty covering structural defects for a period of five years from the date the home is completed, it will probably try to disclaim implied warranties that cover the same defect for a period of seven years. However, most courts hold that a disclaimer of an implied warranty is void because it defeats the purpose of the warranty: to protect consumers from faulty workmanship.
(emphasis added)
Based on observations, the big builders use typically have 'strategic business partnerships' in place with major home warranty companies. In this case the warranty company is the 'gateway' between you and the builder.
The one thing that you should NOT do is: to hire a professional to repair the alleged defect and then file a claim against the builder. Unfortunately, in the builder's world - it doesn't work that way. They have disclaimers in place to prevent in the legalese term 'actions against them for defects.' In layman's term lawsuit...
