The SMART Builder

Hey there. Yes you! You are a SMART builder, if you’ve joined our New Home Warranty program as a member builder. What??? You haven’t joined yet? Why on earth not? Oh, you don’t see any good reason to spend the money? Ok, well, let’s talk! How exactly do you benefit by joining us?

smart builder, new home warranty


First of all, as a builder member, you are protected against risk. When a buyer purchases a new home, they like the assurance that their home is in fabulous condition. Typically, as a builder, you would allow them to have a call-back for a punch list of items that they think aren’t quite as they should be. But what if, several years from now, you get a call from a buyer who has just discovered that their foundation has cracked? Did you know that, depending on what state you build in, you could be held liable for such repairs up to 10 or 12 years after closing? That’s because most states have a legal statute, called the Statute of Repose, and it specifies your responsibility long beyond the first year.

But as a smart builder, you could purchase an American eBuilder warranty, and you would protect yourself from that risk. Our most popular warranty is the 2-10 new home warranty, in which your responsibility is two years, and our insurer picks up the responsibility for years 3-10, for warranted items. The 2-10 warranty spares you from both remediation and litigation costs.


Second, as a builder member, you (and your buyers) know EXACTLY what the warranty does and does not cover, because you can instantly print a warranty document with all the details. Our 10-year warranties are expressed, written warranties. This means that they contain enumerated lists of what is and what is not covered. For example, the warranty gives specific measurements for gaps or cracks. The guidelines are concrete and written. Potential homebuyers appreciate that level of detail, and you gain a higher reputation for offering it.

Offering your buyers a warranty document is far better than giving your buyers a verbal warranty. With a verbal warranty, such as you might offer on your own, things which are covered are implied. Many misunderstandings can arise from implied coverages. Having a written, expressed warranty will save you time, money and many, many headaches. We can help you with that!


Finally, while an American eBuilder warranty offers all of these things, it is also extremely affordable. When you join our builder membership program, we will give you a rate per thousand dollars. We base this rate on your years of experience, the number of homes you’ve built and other factors. Then, when you enroll a home for a warranty, that rate is multiplied times the purchase price of the home to give you the warranty cost. Typically, this price is often less than 1/3 of 1% of the final sales price. That means your warranty will likely cost less than a new front door. If you weigh the cost of that against what you might pay if a homeowner were to file a costly dispute against you, you can see that it’s a great deal!


Why not be a smart builder and reduce your risk, build your reputation, and save money by becoming an American eBuilder member? Online, you can order, customize, print and have a 10-year new home warranty in your hand instantly. But if you need help at any point in the warranty process, you will almost always get a real person on the phone here who can help you as well, during normal business hours. Let’s start the new year off well; give us a call at 866-526-2090 or complete THIS FORM and see how we can help YOU be a smart builder!

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