Confusion about New Home Warranty

There seems to be a lot of misconceptions about what the New Home Warranty (NHW) covers, and who is providing the warranty. Very simply, the builder is providing the warranty, but the NHW company is providing the guarantee that the builder will fulfill their duties. So when issues come up in your brand new home that you think should be covered by your warranty, your first call should ALWAYS be to the builder. (Scratch that, don't call the builder first, you should WRITE to the builder with dates and keep copies for your records. If you're in the 11th month of your one year coverage and your builder doesn't act in time, at least you've got proof that you brought up the issue within the time of warranty coverage.)  If the builder refuses to do the work or does not come to inspect/repair the issue in a "reasonable" amount of time, at that point you would call the NHW provider. They will then essentially call the builder and force/threaten them to do the work, or risk losing the warranty provider having to complete the work, who will then go after the builder for cost of the repairs.

Another misconception I come across is that buyers don't fully understand what is covered. I often get questions like "how many years of warranty do I get?". Each policy is different between the four different warranty providers in Saskatchewan. But typically they cover different aspects for different lengths of time (ie. workmanship for 1 year, water penetration for 5 years, etc.).

If you're buying a new home, it's very important to do your own due diligence on the NHW program that you will be receiving. Each of the companies provides all of the information regarding their policies on their websites listed below. If you have any questions regarding home warranty, give me a shout!

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