Pre-Start Essentials: Warranties

A warranty is a form of guarantee on the structural integrity of a building that is usually offered over a period of 10 years. A warranty inspector will operate independently of your Building Regulations inspector the two are different entities and visit the site at regular intervals to ensure work is carried out in accordance with the warranty providers inspections. Its commonly accepted in the building industry that warranty inspectors tend to expect a higher standard level than building inspectors.

While warranties are not essential, they are strongly recommended for any self-builder, major renovator or converter. The fact remains that it is simply impossible to predict whether or not you will need to sell your new house within the next ten years, and if you want to sell it, your buyers lender will require one. Its also highly likely that if you're requiring finance, your own lender will require one too.

There have been a range of developments within this market in recent years. Traditionally, the market has been dominated by the NHBC (who offers a Solo for Self-build policy) and Project Builders Premier Guarantee. Three new warranty providers have provided more competition. Self-build Zone provides something called the Build-Zone 10-Year Structural Warranty, which is also suitable for renovations and conversions. Like NHBC, it also offers a Building Control service the process of Building Control inspections was deregulated several years ago and its now possible to get your warranty provider to provide your Building Regulations inspections too.

After years of being the victim of this deregulation, Local Authority Building Control the body that manages local authority building inspectors has recently fought back by launching its own New Home Warranty. Warranty inspections are carried out by the experienced Building Control inspectors, and the product caters for conversions and renovations as well as self-builds. Unfortunately, Government regulation means that the warranty and Building Control inspections cannot be combined and, currently, the left hand doesn't work with the right hand; however, LABC looks set to become a major challenger to the power of the NHBC over the coming years.

The third new provider is BLP, which offers innovative solutions like eliminating the traditional two-year defects liability period after completion, and higher cover limits. 

Read the Rest of the Pre-Start Essentials Guides:

• Mortgages
• Insurance

Further reading:

• A Guide to Starting a Self-build Project
• All About Self-build
• Building Contracts: When Things Go Wrong

Further contacts:

• Aon - Specialist Home Insurance