New Home Builder Warranties Warranties for New Homes and Remodeler Warranties

case-study-builder-interior-imgMany Builders join a warranty program for the market appeal or the clearly written warranty standards – both great reasons – but those reasons alone don’t tell the whole story.  The RWC Warranty provides real value to builders and homeowners when major structural defects occur.  Major structural defects are expensive – the industry average is over $30,000 to repair.  With RWC, warranted structural defects are covered and resolved!

Another actual case study showing the coverage we provide and the manner in which we handle homeowner complaints is described below.

An enrolled home was the subject of 3 different requests for warranty performance. The first was made in Year 4 by the original homeowners and alleged that the foundation was cracking and the rear of the house was sinking. They complained that they were unable to close and lock interior and exterior doors as a result of the movement. They also complained of diverse distress occurring in various other areas of the house. RWC again hired a professional, licensed engineer, and scheduled an inspection. The engineer reported cracks in the basement walls, racking of door frames throughout house and failure in the northeast portion of the foundation. RWC granted the claim and obtained a repair plan from the engineer. The proposed repair required stabilizing the area of the foundation that had failed using hydraulically-driven steel piers for the foundation generally and a helical steel pier to stabilize the vertical settlement of an associated load-bearing column. RWC obtained an estimate based on the engineer’s repair plan and offered a monetary settlement to the homeowner who accepted the offer and executed the required Full and Final Release.

The home was sold to a second homeowner who filed a claim in Year 7. RWC’s investigation of that claim revealed that the first homeowner did not make proper repairs to the foundation and that the area of the foundation covered in the original claim was still in a failed condition. RWC denied the claim on the basis of the release the original homeowners had signed. The second homeowners did not dispute RWC’s determination of that claim, but in Year 10 they filed another request for warranty performance, this time listing several other areas of the home that they believed showed evidence of structural defects. RWC hired the same engineer we had hired on the first file, who performed another fact-finding inspection. The engineer concluded there was failure and physical damage at the front foundation wall and the front door was not operating properly. Since this was an area of the foundation different from the one covered in the Year 1 file, RWC granted coverage of the front foundation wall. A plan of repair was obtained from the engineer along with a contractor’s estimate, and an offer of settlement was made to the homeowners. The homeowners accepted the offer and signed the Full and Final Release. This case is a good example of how RWC’s coverage continues to benefit the homeowners during the full term of the warranty and of how RWC’s release language protects against future claims and liability.

These are just a couple of examples from our nearly 100,000 Warranty Resolution files that show how homeowners and builders alike are protected by the RWC warranty programs. Homeowners receive assurance that their homes will be fixed if they experience defects covered by the warranty, and builders have their customers satisfied by an experienced and capable Warranty Resolution staff at no cost to them – a great value to both parties!

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