Buying a new home is exciting, but problems can arise when construction is not done properly. In North Carolina, homeowners may have legal protection through builder warranties. These can be implied by law or stated clearly in a contract.
Understanding the difference between implied and express warranties can help you understand your rights if a defect appears.
Implied warranties
North Carolina law recognizes implied warranties of habitability and good workmanship. These warranties typically apply automatically to the sale of a new home, even if they are not included in the contract.
An implied warranty of habitability means your home must be safe and suitable to live in. The warranty of good workmanship means the builder must use reasonable care and skill.
In Hartley v. Ballou, the court held that builders of new homes give an implied warranty of workmanlike construction and habitability. Implied warranties generally last three years from the date a person discovers or should have discovered the defect, under the general statute of limitations.
Express warranties
Many builders offer express warranties that cover certain repairs for a limited time. These may include detailed terms about what is or is not covered, such as drywall cracks or water damage.
Some builders try to limit or waive implied warranties through express ones. North Carolina courts may enforce those limits, but only if they are clear and specific.
If you find a defect, you should review the applicable contract. Even if your warranty has expired, you may still have rights. Seeking legal guidance will help you take the appropriate action.