What is a Home Builder’s Warranty Agreement?
When a new construction home is completed by a home builder, the client should be confident that the manufacturer or seller they’ve hired will provide high-quality products and perform high-quality work. In the construction industry, client confidence becomes even more critical as the high standards expected of contractors directly impact safety. In such situations, warranty contracts come in handy.
A construction warranty is a legal document in which the contractor provides a covenant that guarantees to the client (homeowner) that they will perform all works following building codes and standards and project specifications without flaws or defects. Breaching such an agreement results in monetary recovery of related damages and costs for material replacement or reparation works to be carried out at the contractor's expense.
The Magnuson-Moss Warranty Act, a US federal law enacted in 1975, regulates warranty contracts. It states that while not all products and services require written guarantees, if parties conclude one, then such an agreement must comply with the Act. This law aims to prevent manufacturers from misleading clients with inappropriate and unfairly made disclaimers on the guarantees.
Types of warranties
There are two general types of contractor warranty agreements:
- Express warranty is a written or verbal guarantee from the seller that the purchased product is of a certain quality and that the seller can replace or repair it if there are any defects.
- Implied warranty is a guarantee that the purchased product operates as it should.
Builders’ warranties operate under another classification because of industry specifics:
- Time-based warranty is the contractor’s promise to provide a particular thing in a defined condition at a specified time (for example, to guarantee the construction is waterproof for a certain number of years).
- General warranty is a guarantee to perform defined works according to the project blueprints and specifications without a time reference.
Preparing a new Home builder warranty To complete your paperwork correctly, use a verified home builder’s timely-based guarantee agreement from the US Legal Forms library. This multi-state editable and printable legal template requires you to fill out the following information:
- Name and contact details of the contractor and the buyer;
- Newly-constructed house description;
- List of items that are under builder’s guarantees (can be expanded);
- List of items the builder doesn’t take responsibility for (can be changed);
- Name of the state that will govern the agreement.
Travis Texas Home Builder's Warranty Agreement is a legally binding contract between a home builder and a homeowner, ensuring the quality and longevity of the newly built residential property. This warranty agreement provides reassurance to homeowners by guaranteeing that certain aspects of the home, including its structure, mechanical systems, and various components, will be free from defects and functional issues for a specific period. The Travis Texas Home Builder's Warranty Agreement typically consists of detailed terms and conditions that outline the responsibilities of both parties involved. It is important to note that there may be different types or levels of warranty agreements depending on the builder and the specific project. Here are a few variations of the Travis Texas Home Builder's Warranty Agreement: 1. Structural Warranty: This type of warranty ensures that the structural integrity of the home, including the foundation, walls, roof, and load-bearing elements, remains intact and free from defects for a specific period, usually ranging from 10 to 20 years. 2. Systems Warranty: This warranty covers mechanical systems such as HVAC (heating, ventilation, and air conditioning), plumbing, electrical systems, and appliances. It guarantees that these systems will function properly and be free from defects for a specific period, typically ranging from 1 to 2 years. 3. Workmanship Warranty: This warranty ensures that the builder's workmanship meets industry standards and is free from any defects or errors in construction. It covers issues related to the installation, finishing, and overall quality of the home for a specific period, usually ranging from 1 to 2 years. 4. Limited Warranty: Some Travis Texas Home Builder's Warranty Agreements may have specific limitations on coverage, such as exclusions for certain components or conditions. It is crucial for homeowners to thoroughly review and understand the limitations mentioned in this type of agreement. Travis Texas Home Builder's Warranty Agreement aims to protect homeowners from unexpected repairs and expenses caused by construction defects or faulty workmanship. It serves as an assurance that the builder takes responsibility for any issues arising within the specified warranty period, providing peace of mind to homeowners when purchasing a new construction property in Travis Texas.
