Buying a new build home comes with a warranty, but many homeowners don't fully understand what that warranty covers, how to use it, or what happens when something goes wrong. This guide gives a general overview of how new build warranties typically work.
What is a new build warranty?
A new build warranty is a legally backed guarantee that protects you against defects in your home's construction for a fixed period, typically 10 years. It's not home insurance. Home insurance covers events like fire, flood, and theft. A structural warranty covers defects in how your home was built.
Almost all new build homes in the UK are sold with one of the following warranties:
NHBC Buildmark
The most widely used warranty in the UK, covering the majority of new builds. Backed by the National House Building Council.
Premier Guarantee
The second most common warranty, used by many smaller and regional developers. Backed by MD Insurance Services.
Other providers
LABC Warranty, Build-Zone, and Checkmate are among other providers. All must be accepted by UK mortgage lenders.
How new build warranties are structured
Most new build warranties follow the same three-phase structure regardless of the provider:
| Period | What it means for you |
|---|---|
| Years 1–2 (Builder period) | Your developer is responsible for fixing any defects that fail to meet the warranty provider's technical standards. You report defects to the builder, not the warranty provider. |
| Years 3–10 (Insurance period) | The warranty provider itself takes over. Major structural defects are covered by their insurance policy. Minor cosmetic issues are generally not covered. |
| Before completion (Deposit protection) | If your developer goes insolvent between exchange and completion, your deposit is protected up to a specified limit. |
Your new build warranty is separate from, and in addition to, your rights under the Consumer Rights Act 2015. If your developer doesn't fix a defect, you may have legal remedies available beyond just the warranty.
What's covered and what isn't
Warranties cover structural defects: problems with the foundations, walls, roof structure, and other load-bearing elements that fail to meet the provider's technical standards. They also typically cover:
- Physical damage caused by a covered structural defect
- Contaminated land not disclosed before construction
- Emergency costs if the property becomes uninhabitable due to a covered event
- Loss of deposit if builder becomes insolvent before completion
What warranties generally don't cover:
- Normal wear and tear, shrinkage, and minor settlement cracks
- Damage you or your tenants cause
- Items excluded from the warranty provider's technical standards
- Defects you knew about and accepted at purchase
- Anything not built by the registered builder
The defect liability period: years 1 and 2
The first two years are your most important window. During this period, your builder is obligated to fix defects at their cost. This covers far more than just structural issues, including snagging problems, poor workmanship, and anything that fails to meet the warranty provider's standards.
To use your warranty effectively in years one and two:
- Report every defect in writing to your developer (email is best)
- Include photos and a clear description for each item
- Keep copies of every piece of correspondence
- If your developer doesn't respond, contact your warranty provider's resolution service
After year two: making a structural claim
From year three onwards, you contact the warranty provider directly for structural claims. They'll send a surveyor to assess the defect, and if it's covered, they'll arrange and fund the repair.
The key thing to understand is that the threshold for claims rises significantly in years three to ten. Minor defects and cosmetic issues won't be covered. You need a genuine structural failure or defect against the provider's technical standards to make a successful claim.
Is your warranty transferable?
All major UK new build warranties are fully transferable when you sell your home. The remaining cover passes automatically to the new owner as part of the conveyancing process. Your solicitor will include the warranty documents in the sale pack.
If your home is still within the warranty period, this can be a genuine selling point, especially if it's within the first two years where the builder liability period is still active.
Final thoughts
Your new build warranty is a valuable protection, but only if you understand it and use it. The two-year builder period is where most homeowners benefit most, and the key to using it effectively is simple: find your defects early, document them thoroughly, and report them in writing before the window closes.
After year two, the warranty becomes a structural safety net rather than a snagging tool. Use the first two years to get every defect remedied, which is exactly what the warranty is designed for.
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Disclaimer: This guide is for general information only and does not constitute legal or professional advice. Warranty terms, rights, and timelines vary by provider and individual circumstances. Always refer to your own policy documents and seek independent advice if you are unsure about your specific situation.
