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NEW HOME BUYER PROTECTION ACT

In-law Suites: What Are They and What You Need to Know

Every new home in Alberta is now protected under warranty since February 1, 2014, under the New Home Buyer Protection Act.

The Act covers single family homes, duplexes, multi-family homes, condos, manufactured homes and recreational properties. There are currently six warranty providers that may partner with your builder.

The features of this program are helpfully summarized at this Alberta Government web-site:

http://homewarranty.alberta.ca/

The warranty covers 1 year for labour and materials, 2 years for delivery and distribution systems, 5 years for building envelope protection, and 10 years for major structural components.

Your first role is research. Get to know your potential builder’s record, including years in business and references. Familiarize yourself with your warranty provider, key warranty dates, and steps to take if you ever need to make a claim.

Once your home is built, you’re responsible for basic maintenance and upkeep, such as cleaning out eavestroughs and changing furnace filters. You’re also responsible for maintaining appropriate grading with any new landscaping work.

Builders are responsible for partnering with a warranty provider, becoming an authorized user of the online home registry, and entering all new construction projects into the registry. They are your primary point of contact during the construction of your home. They are also responsible for making sure the house is built to the standards set out in the Alberta Building Code.

Warranty Providers are responsible for creating policies and responding to claims.

Alberta’s New Home Buyer Protection Act mandates and regulates new home warranties in the province. The Government of Alberta ensures legislation is complied with and tracks warranties on new homes. Alberta Municipal Affairs provides tools to municipalities to ensure warranty coverage is in place before new construction permits are issued. The government enforces penalties against builders, warranty providers and others not complying with the Act—up to $100,000 for first offences and up to $500,000 for subsequent offences.

New Home Buyer Protection Board
http://www.municipalaffairs.alberta.ca/new_home_buyer_protection_board.cfm