Real Estate Glossary | What is Homeowners' Warranty??

Q: What is Homeowners' Warranty?

A homeowners' warranty, also called a builder's warranty or new construction warranty, is a type of warranty offered by a builder or developer to a new home buyer, that covers defects in workmanship or materials that may occur during the first year of ownership. It covers the cost of repairs and replacements of appliances, systems, and structures that fail due to defective materials or workmanship, such as electrical issues, plumbing leaks and roof leaks.

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