A new-home builder warranty is the builder’s promise to repair covered defects for set periods after you buy. The Federal Trade Commission (FTC) says coverage typically runs 1 year for workmanship and materials, 2 years for heating, cooling, plumbing and electrical systems, and up to 10 years for major structural defects. It differs from a home warranty service contract, which you buy separately.
Last reviewed: September 2026. Sources are listed at the end of this page.
What does a new-home builder warranty cover?
Most builder warranties cover defects in workmanship, materials, major systems and structure, each for a different period. The FTC describes this typical pattern.[1]
| Coverage | Typical period, per the FTC |
|---|---|
| Workmanship and materials on most components | Usually expires after the first year |
| Heating, ventilation and air conditioning (HVAC), plumbing and electrical systems | Generally 2 years |
| Major structural defects | Some builders cover up to 10 years |
New Jersey’s state New Home Warranty Program uses the same 1, 2 and 10 year structure.[2] The FTC also says that the Federal Housing Administration (FHA) and the Department of Veterans Affairs (VA) require builders to buy third-party warranties on homes with federally backed loans.[1]
What do builder warranties usually exclude?
Common exclusions cover minor cracking, appliances and items with their own manufacturer warranty. The FTC lists these frequent exclusions:[1]
- small cracks in brick, tile, cement or drywall
- household appliances
- components covered by a manufacturer’s warranty
- out-of-pocket costs, such as moving out during repairs
Read your own warranty for its exact terms. The FTC notes that warranties may offer or require mediation and arbitration.[1]
Do some states require builder warranties by law?
Yes. California and Louisiana, for example, set statutory warranty terms. New Jersey and Maryland run state programs that handle claims.
- California: Cal. Civ. Code § 900 requires builders to provide at least a one-year express written limited warranty covering the fit and finish of items such as cabinets, flooring and paint.[3]
- Louisiana: the New Home Warranty Act (La. R.S. 9:3141 to 9:3150) sets warranties of 1 year for workmanship and materials, 2 years for plumbing, electrical and HVAC systems, and 5 years for major structural defects (9:3144(A)).[4]
- Minnesota: under the statutory new-home warranty law, loss must be reported to the vendor or contractor in writing within 6 months after discovery (Minn. Stat. 327A.03(a)).[5]
Several states also require notice to the builder before a warranty suit. See right-to-repair laws by state for Louisiana, Minnesota, Mississippi, New York and North Dakota.
How do the New Jersey and Maryland programs work?
Both programs expect you to go to the builder first, and both set strict filing rules.
New Jersey New Home Warranty Program. New Jersey’s Department of Community Affairs (DCA) sets these rules:[2][6]
- Send the builder your defect list by certified mail, return receipt requested, and by regular first-class mail. The list forms the entire basis of your request.
- Notify the builder no later than 7 calendar days after the warranty for that defect expires.
- Notice to your builder is not notice to the warranty administrator and does not count as filing a claim.
- The homeowner carries the burden of proving a defect exists.
- Repairs made without written authorization from the program will not be reimbursed.
- Filing with the State Plan is an election of remedies that bars a court claim on the same matters.
Maryland Home Builder Guaranty Fund. The Maryland Attorney General says to write to the builder first and allow an inspection and a reasonable time to repair. Supporting evidence includes contracts, photographs, expert reports, receipts, invoices and written communications. The claim deadline is the earlier of 2 years after discovery or 2 years after the warranty expires.[7]
How is a builder warranty different from a home warranty or a manufacturer warranty?
They come from different parties and cover different things. A builder warranty covers construction defects. A home warranty is a service contract you pay extra for. A manufacturer warranty covers one product.
| Builder warranty | Home warranty (service contract) | Manufacturer warranty | |
|---|---|---|---|
| Who provides it | The builder, sometimes through a third-party warranty | Sold separately as a service contract that costs extra, per the FTC | The product maker, such as a shingle manufacturer |
| What it covers | Workmanship, materials, systems and structure | Typically appliances and systems | The product, subject to installation and other conditions |
| Notice rules | Set by the warranty and state law | Set by the contract | Set by the manufacturer. GAF, for example, requires notice within 30 days after you notice a problem. |
Sources for the table: [1][8][9]
Keep the notices separate. GAF’s shingle warranty says notice to your contractor, dealer or home builder is not notice to GAF. It also excludes damage from improper fastening, inadequate ventilation, and settlement or structural defects in the building.[9] Because the FTC says builder warranties often exclude components under a manufacturer’s warranty, a single defect can involve both warrantors.[1]
This page is general information, not legal advice. Laws change and vary by state. Check the current statute or talk to a licensed attorney in your state before acting.
Related guides
- How to document a construction defect for a warranty claim
- Construction defect right-to-repair laws by state
- Resolving a construction defect dispute
- Statutes of limitations vs. statutes of repose
- Roof and flashing defects
Sources
- Federal Trade Commission, “Warranties for New Homes,” updated June 26, 2026. https://consumer.ftc.gov/articles/warranties-new-homes
- New Jersey Department of Community Affairs, “New Home Warranty for Consumers,” modified Aug. 24, 2026. https://www.nj.gov/dca/codes/offices/nhw_for_consumers.shtml
- California Legislature, “Cal. Civ. Code § 900.” https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=CIV§ionNum=900.
- Louisiana State Legislature, “La. R.S. 9:3144.” https://legis.la.gov/Legis/Law.aspx?d=107367
- Minnesota Office of the Revisor of Statutes, “Minn. Stat. 327A.03.” https://www.revisor.mn.gov/statutes/cite/327A.03
- New Jersey Department of Community Affairs, “New Home Warranty Program Homeowner’s Booklet,” revised Sept. 2025. https://www.nj.gov/dca/codes/publications/pdf_nhw/homeowners_booklet.pdf
- Office of the Attorney General of Maryland, “File a New Home Builder Claim.” https://oag.maryland.gov/i-need-to/Pages/file-a-new-home-builder-claim.aspx
- MilitaryConsumer.gov (FTC), “So what’s the deal with ‘home warranties’?” https://www.militaryconsumer.gov/blog/so-whats-deal-home-warranties
- GAF, “GAF Shingle and Accessory Limited Warranty (RESWT160L),” effective Jan. 1, 2025. https://www.gaf.com/en-us/document-library/documents/warranties/gaf-shingle-and-accessory-limited-warranty-reswt160l.pdf