Understanding Your New Home’s Warranty Is Important. Here’s What to Look For.

Building a new custom home is an exciting investment in your future. While move-in day brings the thrill of making your dream home yours, that excitement can turn to worry the first time a nail pops loose or a shingle blows off.

A strong home builder warranty helps put these concerns to rest. Builder’s warranties give homeowners peace of mind by ensuring manufacturer defects or construction errors don’t turn into costly repair bills.

However, understanding your warranty can be difficult, and not all warranties are created equal. Choosing a company that provides an inadequate warranty can leave you paying significantly more in the long term.

At KRM Custom Homes, we know how hard it can be to untangle exactly what policy covers what type of damage – and for how long. That’s why we work to simplify it as much as possible for our clients. Here’s a breakdown of what a home builder’s warranty is, the other types of warranties you may encounter, what to look for, and what sets our warranty process apart.

What Does a Home Builder Warranty Cover?

Buying a home is more complex than purchasing a single product. You’re actually purchasing many interconnected products, like your siding, your foundation, and your refrigerator. For this reason, you will likely have several warranties that cover different aspects of your home.

To understand what a home builder warranty covers, it’s helpful to first discuss the different types of warranties and coverages a new home may have. These can be confused with one another, but they are each different in their function and what they cover.

Product Manufacturer’s Warranty

What it covers: This is a warranty that covers the individual materials or elements of your home – such as the shingles on your roof or the dishwasher in your kitchen.

How long it lasts: Products have a variety of warranty lengths. These warranties are often automatic when you purchase the product. Some can be extended beyond the initial warranty for an additional fee.

Who covers it: The manufacturer of the product.

Home Builder’s Warranty

What it covers: This is the warranty that the home builder provides. It covers the structure of your home and the individual workmanship. For example, if a pipe bursts or a fixture comes loose, this could be covered under the builder’s warranty. 

How long it lasts: Home builder’s warranties typically span one year. Sometimes the warranty will have different lengths that apply to different parts of the home, such as a shorter warranty on workmanship and a longer warranty on the home’s foundation.

Who covers it: The company that builds your home. Some home builder companies contract with third-party companies to administer their warranty. At KRM Custom Homes, we stand behind our work by covering our warranty in-house. 

Extended Home Warranty

What it covers: Although they’re easily confused with home builder’s warranties, extended home warranties are not the same. Sometimes just referred to as “home warranties,” extended home warranties are more like service contracts. They are sold by third-party companies and can help with the cost of fixing or replacing mechanical features in your home, such as your refrigerator or HVAC system.

How long it lasts: The length will depend on your extended home warranty and how long you elect to have it. When weighing the option of an extended home warranty, it’s important to factor in the age of your home appliances and whether they’re already covered under existing manufacturer warranties. It’s also important to be on the lookout for extended home warranty scams.

Who covers it: The seller of the extended home warranty.

Homeowner’s Insurance

What it covers: While it’s not a warranty, it’s important to be aware of the difference between the coverage in your insurance and the coverage in your warranty. A warranty covers product defects while homeowner’s insurance covers damage from unforeseen events like natural disasters, fires, or theft. 

How long it lasts: As long as you keep homeowner’s insurance. Homeowner’s insurance is not required in Iowa; however, if you are purchasing a home using a mortgage, your mortgage provider will likely require a certain amount of coverage.

Who covers it: Your home insurance provider.

What to Look for in a Home Builder’s Warranty

When you’re evaluating a homebuilding company’s warranty, it’s important to look at your warranty coverage as a whole. Look not only at the coverage your home builder’s warranty provides but also at the warranties on the materials themselves to see how they work together.

Important steps to take as you look over these warranties include: 

  • Study the length of the warranty. How long is it, and what does it expressly cover? Is there anything assumed or implied that should be clearly stated?
  • Ask if the warranty is covered in-house or through a third party. Learn more about who you will be doing business with once the home is complete. 
  • Ask what the process is like to submit requests. Whether it’s through a third-party company or the home builder directly, it’s important to know what to expect before the unexpected happens. Ask how long the response time is and what happens in case of an emergency. 
  • Look at the warranties on your materials. Many high-quality products come with extended warranties. Check to see what type of warranty is included for your build. 

How KRM Custom Homes’ Warranty Sets Us Apart

KRM offers a one-year limited warranty that covers our workmanship on your home. Additionally, we will provide you with manufacturer’s warranty information on the products included in your home. 

Our warranty includes 30-day and one-year warranty review check-ins where we will formally address any defects in the home. We also provide a no-cost visit from your drywall contractor during the first year to repair issues such as minor shrinkage, settling cracks, or nail pops.

Here are some of the ways our warranty sets us apart. 

In-House Coverage With Prompt Customer Service

At KRM, we back our warranty in-house, meaning you won’t have to deal with a third-party warranty provider. As we continue our relationship with clients following the build, we focus on keeping the highest quality customer service.

When you take the final walk-through of your home, we will provide you with a warranty book that includes relevant information on all of the products in your home and applicable warranties. We will also show you how to use our BuilderTrend system to report warranty requests digitally. Digital requests allow us to ensure that you’re taken care of promptly and that there is documentation of each incident. Our team responds to all requests within 48 hours, and often sooner.  

We Use High-Quality Materials in Every Build

One of the ways we ensure you have an easy, issue-free time with your warranty is that we use products we won’t have to go back and fix. 

Whether you’re building an entry-level home or multi-million dollar residence, we use the highest quality products and materials that each carry long warranties of their own. These include:

  • Mar-flex QuickSeal waterproofing membrane
  • AdvanTech subflooring 
  • Zip System wall sheathing
  • CertainTeed roofing shingles

We Have an Ongoing Partnership With You

When you build a home with KRM Custom Homes, our relationship isn’t finished after your one-year check-in. When something happens, we want to remain a resource for you to call with questions as the years go on. 

As part of our service to you, we also provide a warranty book that helps you know how to take care of your home to catch issues early and reduce the need for maintenance. You can also check out the seasonal maintenance checklists on our blog for more information!

Work With a Custom Home Builder Who Cares

Want to learn more about working with KRM Custom Homes? Explore our warranty and the rest of our homebuilding process. Interested in building with us? Contact us to start the process!