Why are buyers of newly built or newly acquired homes interested in the warranties a seller or builder is offering?
Home warranties are the indicator that houses are built to the bare minimum of code and mechanical and material components are subject to fail for one reason or another. Don’t assume a newly constructed home will be flawless just because it’s new.
If you have purchased a newly constructed home within the last 12 months, chances are the builder offered a 1-Year Builder’s Warranty. If that’s the case, getting a South Carolina New Home Builder Warranty Inspection could be the smartest thing you do.
Having your home inspected before your one-year builder’s warranty ends is essential for several reasons.
If you didn’t have an unbiased 3rd party inspection before purchasing the home, it may have already become blatantly obvious the reason(s) for this type of inspection.
Even if you had the home inspected at all three stages of the construction process mentioned on our site, your builder may not have made all the repairs required based upon those inspection reports.
The fact is… the components of your home are made up of mechanical and material systems and although those systems may be relatively “new” based only on the assumption of an installation date, they’re still subject to failure for one reason or another, which makes it even more imperative that you have a Builder Warranty Inspection completed by an unbiased 3rd party inspector to document and legally bind your builder to all defects that may be remaining in and on your new home before your builder’s warranty ends and you’re then stuck paying for those repairs out of your own pocket.
Contractors work so fast, sometimes too fast, building to the bare minimum of code and subcontracting out to vendors with a varying range of competence and diligence. Sometimes, mistakes just happen, or mechanical and material components fail for one reason or another. Don’t assume a newly constructed home will be flawless just because it’s new.
As the end of the first year in your new home approaches you will most likely receive a ton of junk mail soliciting you for an end-of-warranty inspection. These will be from the local inspection companies that may or may not be as qualified for the job, thoroughness or their systematic approach to provide you with the type of inspection that most builders hope you never find.
Consider this… according to a review of 10,000 structural claims presented to the National Association of Home-builders, 25% of all homes in the U.S. will suffer some type of structural defect in their lifetime — and that’s just one type of defect!
Usually, the misconception for someone buying a new home is their expectations of the house being free from any issues that would otherwise be found in an aging house — like outdated electrical, plumbing, roofing and even cosmetic flaws. The reality is there can sometimes be many issues found within a newly constructed home; in fact, a lot of times these issues exist because — it’s a newly constructed home.
Contractors work so fast, sometimes too fast, building to the bare minimum of code using substandard material and subcontracting out to vendors with a varying range of competence and diligence. Sometimes, mistakes just happen and mechanical or material components may fail for one reason or another. Don’t assume a newly constructed home will be flawless just because it’s new.
Newly constructed homes will always include a “final walk-through,” but rarely will it include a complete home inspection. Usually, a builder will try to assure the buyer, their guy will always be inspecting each phase of the building process and may even suggest that a home inspection isn’t necessary. But let’s examine that analogy more closely. The “builder’s guy” is usually the GM or the Project Manager who works for the builder, getting paid by the builder and has the builder’s best interest, not necessarily your best interest. Buyers should always ask to include in their contract an independent, unbiased 3rd party home inspection as part of their contingency for buying the home.
About two-thirds of home buyers will do an inspection. It often times depends on how savvy the buyer is. If a buyer is really involved in a new construction project, a lot of times they’ve been with the builder or they’ve significantly contributed to the construction, and then in those cases, they know enough about what’s going on and they may not be too concerned. Still it’s a smart decision to get one anyway.
“As an agent, I have always encouraged my buyers, whether it’s new construction or a hundred-year-old house, to do an inspection.” <br>
– Jase Norsworthy, Remax. –
Is this question keeping you up at night? Experts say… it shouldn’t. That’s because the decision to get a home inspection on a newly constructed home should be a clear and obvious choice.
If there is a downside, it’s paying for the home inspection out of your own pocket and if the budget is “really tight” for the buyer, the extra expense could make it financially uncomfortable.
However, consider this… a new construction home inspection is a good investment, because in the scheme of a 30-year mortgage, when you’re looking at the overall long term investment for a property… to only spend $400-$500 for an inspection now rather than thousands of dollars for unexpected or unknown issues the builder would have been responsible for, is such a minor expense.
If you skip the Builder Warranty Inspection by an unbiased 3rd party home inspector, you miss out on the chance to hold the builder responsible before that issue can be discovered and it then becomes your problem alone.
When you’re buying a home of any age, there’s no doubt that you’d want a home inspection. You absolutely want to know its condition and any safety issues before you make that final commitment to purchase that home with your hard-earned money.
However, if you’re buying a brand-new house, committing to that decision might not seem so obvious.
Should you consider getting a home inspection for a newly constructed house?
Why would you need one since everything is brand-new — and, in some cases, a custom home built to just your preferred specifications; even perhaps under your own supervision.
The answer is a resounding, yes. Top experts will tell you that new home construction should always get a home inspection. With the exception of paying a home inspector to do this for you, every consideration lends itself to simply leaving it “all up to the professionals, right?”
But then there’s always the possibility of the inspector finding an issue or several issues. Wouldn’t that be information you’d want to know on the front end, — BEFORE all of your warranties run out?
Understand, you do not need your builder’s permission to have a 3rd party home inspector do this inspection; this is your home.
That said, builders typically have no problem with 3rd party inspectors because it’s another set of eyes on their work to catch potential issues they may have missed and if they stand by their product, they’re going to welcome a home inspector to come take a look.
As the buyer, you want to find out if there are any issues with the newly constructed home on the front end to make sure the builder takes full responsibility to correct those issues before you close on the home, move in and your builder’s warranty expires leaving you paying for repairs out of your own pocket.
If the inspector finds something… the builder is not done yet. All repairs are going to fall on the shoulders of the builder and there’s not a whole lot of negotiating. It’s not like you’re debating over whether this item is something the seller is willing to fix: it’s brand-new construction and they’re legally obligated to stand by their product.
Yes and no. You are not required to have a re-inspection after an inspection. However, in some cases, you may opt to do so or need to. After repairs have been made on a home you are purchasing, you may opt to have a re-inspection to verify the seller or builder had the repairs completed professionally.
We do charge a nominal fee for re-inspections.
The More Thorough We Are, The More Defects We Find…
The More Money You Save!
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