What Do Builder’s Warranties Cover When Buying a New Home?

Just because you’re buying a new home doesn’t mean something can’t happen shortly after moving in. That’s why it’s customary for builders to include a home warranty with every new construction purchase, which gives buyers some assurance that they won’t be left high and dry in case something goes awry not long after they sign on the dotted line. Warranties also assure homeowners that the builder they’re buying from is reputable, reliable, and willing to stand behind their product.

But just because you get a warranty on your home purchase doesn’t mean everything under the sun will be covered. As a buyer of new home construction, you’d be well advised to do a little bit of homework on exactly what the builder’s warranty covers, and what it doesn’t.

Generally speaking, the majority of builder warranties cover material and work done by construction workers and contractors on a new house for anywhere between one to 10 years.

More specifically, here is what you can expect to be covered in your builder’s warranty as required under California law:

One Year Warranty:

  • Cabinets, countertops, trim, paint, floors, mirrors, and interior and exterior walls
  • Products that are entirely manufactured offsite, such as appliances, fixtures, and HVAC units
  • Drainage, landscaping, and irrigation systems

Two Year Warranty:

  • Dryer ducts
  • Decay from untreated wood posts

Four Year Warranty:

  • Plumbing systems
  • Electrical systems
  • Sewer systems
  • Driveways, pathways, walkways, sidewalks, and patios
  • Corrosion of untreated steel fences

Ten Year Warranty:

  • Major structural elements, such as the foundation, support beams, and retaining walls

What if the Builder Goes Under?

New home warranties may sound great, and they can be, but they can be completely useless if the builder you buy from eventually experiences serious financial troubles or goes belly up altogether. If that happens, the warranty you were given could wind up being completely useless.

That said, if the warranty is issued by a third-party insurance company, then buyers have little to worry about. In fact, it might even be better for buyers if the builder’s home warranty is issued and dealt with by a third party. In addition to the fact that you’ll be covered in case the builder goes under, third-party warranties are cheaper. That’s because the risk can be spread across hundreds or even thousands of homes. There’s also no need for third-party issuers to underwrite, issue, and maintain records of warranties and pay staff to handle such documents, saving even more money.

Your Duties as a Responsible Buyer

During the process of purchasing a new home from a builder, you may want to ask a number of questions when it comes to the warranty and what you can expect from it. Here are just a handful of inquiries you might want to make with your builder:

  • What exactly does the warranty cover?
  • What is not covered?
  • What do I need to do in order to make a claim?
  • What is your liability?

You might even want to check with the contractor licensing board in California to ensure that the builder you are buying from is providing you with all warranties that are required by law in the state.

The Bottom Line

Every builder should provide buyers with a comprehensive warranty that covers various components of the structure. Even though the home is new, that doesn’t mean there won’t be any unforeseen issues that could creep up shortly after you take possession. This is a big investment, and as such, it makes sense to take a little bit of time to find out what type of warranty your builder offers and whether or not it is being provided by a third-party provider.

How to Improve the Energy Efficiency of Your Doors and Windows

How does saving a few hundred bucks every year in energy bills sound to you? Well, this doesn’t have to be a far-fetched idea if you make some simple changes to your doors and windows so they’re more energy efficient.

There are plenty of components in a home that can be real energy suckers that not only waste precious energy but can burn a hole in your pocket. Windows and doors are one of the biggies in this department, but there are ways that you can make them more energy efficient so you can save both energy and money.

Find Drafts

One of the biggest ways that windows and doors can waste energy is from gaps allowing air to escape. If you’re cooling your indoor air with the help of an air conditioner, you’re paying good money for such a service. But if a good chunk of that cooled air is escaping to the hot outdoors, you’re just wasting energy used to keep your interior comfortable – and money.

One of the first things you should do is scope out all your windows and doors and check for any drafts. Some may be obvious, but others might not be very noticeable to the naked eye. In the case of the latter, you might be able to detect any drafts by placing a wet hand all around the perimeter of the window and door openings to see if you can feel any drafts.

If not, you can use a lit candle and hold it near the edges of the windows and doors. Pay attention to any changes in the flame; if it waivers or even blows out, that’s a clear sign of a draft from a gap in the frame.

Seal Gaps

Once you’ve found any gaps, seal them. It’s pretty easy to do and can end up helping you save a ton of energy and money when all is said and done. Just take some caulking or weatherstripping and apply it around the window or door frame to seal all the gaps that are causing drafts. This will help make your windows and doors much more energy efficient.

Change Your Window and Door Frames

Upgrading your frames to energy efficient ones can help improve the efficiency of your windows and doors. Just make sure that the frames you buy are energy efficient and are rated according to such efficiency. The higher the rating, the better.

Upgrade Your Current Window Treatments

Another easy way to improve the energy efficiency of your windows is by changing the window coverings. Although the windows themselves aren’t being changed or upgraded, you can still make a significant difference in how much energy you can save in your home. The appropriate window treatments can help to keep the indoor air cool without having to overwork your air conditioner.

Cellular window shades are great choices and are probably one of the most energy-efficient window treatments available. They’re designed with a unique series of cell pockets that trap air around the windows to keep the interior cool, especially throughout the hot summer months. They’re often referred to as “honeycomb shades” because of the design shape of the cells. You may also consider hanging thermal curtains to help insulate your home, as long as they cover the windows entirely.

Add a Double Glaze

Installing a double glaze on your windows might be more involved and a little more expensive, but it can really do wonders for making your windows more energy efficient. Double-glazed windows feature two glass layers separated in the middle by a layer of air to help keep cool air in. They’re also very good at minimizing condensation and can even reduce the noise coming from outside.

To add a double glaze to your windows, you’ll need to call a professional window installer to have this done for you, as it’s not a very simple task that the average homeowner can take on as a weekend DIY project. These experts will ensure that the glaze will fit like a glove and do what it’s designed to do.

Replace Exterior Door Thresholds

Any doors leading to the exterior could be allowing cool air to escape through the threshold at the bottom of the door. These thresholds are meant to keep dirt from the outside getting into your home, but they can eventually allow air to escape over time as they start to wear down. If yours is looking a little worn, consider fixing or replacing it.

The Bottom Line

You’d be amazed at how much energy is lost because of your home’s windows and doors. By making a few adjustments and improvements, you can effectively make your windows and doors much more energy efficient, saving both energy and money spent keeping your indoor air comfortable.

Tips to Keeping Your Landscaping Healthy This Summer

California isn’t exactly known for its heaping mounds of rainfall, which can make it a bit of a challenge to keep your greenery healthy, especially in the summer. And the fact that temperatures can soar throughout the summer months can make things even more difficult for homeowners tending to their landscaping.

To help keep your greenery healthy throughout the sizzling months of the summer, keep the following tips in mind.

Add Mulch

Mulching your garden can help trap moisture and keep your plants cool and moist for longer periods of time, long after they’ve been watered. Mulch also helps to keep weeds at bay, which is important because weeds compete with plants for water. Besides, mulch looks great and can help clean up the look of your garden.

Water During the Cooler Parts of the Day

If you water your garden at peak temperature, most of the water will evaporate before it’s able to reach deep into the soil. The best time of day to water your garden is first thing in the morning long before the temperatures soar, which will help to keep your garden well hydrated throughout the day.

Keep a Consistent Watering Schedule

Certain greenery requires consistent watering in order for it to do well, including vegetable gardens and flower patches. Failure to water on a consistent basis can cause damage to your flowers, such as rotting of the blossoms and even a decline in flowering altogether. To make sure your plants are watered consistently, create a schedule to help you stay on track. If you’ve got an irrigation system, set it on a timer to run at the same time.

Keep an Eye Out For Signs of Plant Stress

Hopefully, your plants and shrubs will remain healthy throughout the year, but there may be times when they need a little more attention. To prevent any damage to your plants, be on the lookout for any signs of stress. This can include:

  • Brown leaves
  • Drooping and wilting
  • Rotting roots
  • Yellow falling leaves
  • Rolled leaves
  • Petal loss
  • Flowers that easily fall

If you notice any one of these signs, be sure to water your plants thoroughly right away. If you catch these issues early, your plants should be able to recover.

Consider Drip Irrigation

Rather than watering your garden with a sprinkler, consider installing a drip irrigation system. These types of systems can help keep your garden moist and healthy in a more efficient manner if managed properly. In California where water is a valuable commodity, conserving as much water as possible is important, and drip irrigation systems may be able to help.

These systems have been shown to be more effective at delivering water to plants as well, even more than sprinklers. Further, there tends to be less nutrient loss thanks to minimized leaching.

Choose Native Plants and Those That Don’t Require Much Watering

A simple way to keep your landscaping looking hearty throughout the summer is to simply plant species that are native to your location. Native plants require very little maintenance and water in order to maintain their health. This can help reduce the amount of time and money you spend watering.

Add Compost Regularly

Regularly adding compost to your garden’s soil can benefit it in a number of ways:

  • Add rich microorganisms
  • Help retain water more effectively
  • Add nutrients for optimal plant growth
  • Promote aeration and drainage
  • Avoid leaching by releases nutrients slowly
  • Improve soil structure

You can make your own rich compost by adding things such as vegetable peels, coffee grinds, eggshells, tea bags, grass cuttings, and plant prunings. These items break down quickly and provide both moisture and nitrogen to the soil.

Prune Your Shrubs and Trees

Regularly pruning your trees and shrubbery is important, especially during particularly dry periods, which can help effectively reduce stress on the greenery. 

Choose Slow-Release Lawn Fertilizers

Organic fertilizers that slowly release nutrients into the soil can provide added nutrients to the grass, improve soil structure, and encourage soil microbes, making your lawn less needy for water.

Mow the Grass to Proper Heights

You may be tempted to cut your grass too short in an effort to minimize the number of times you have to mow the law. But cutting too short can discourage root growth and reduce water retention. Instead, cutting to proper heights and leaving the grass blades a bit longer can keep the lawn cool and increase water retention.

The Bottom Line

Landscaping is definitely not a set-it-and-forget-it type of deal. Instead, it requires regular maintenance and attention in order to ensure its vitality, especially during particularly hot and dry periods. Keep these tips in mind to make sure that your landscaping stays in pristine condition throughout the sizzling summer months!

JUST LISTED: 224 Portola Dr

224 Portola Dr, Danville, CA 94506

$699,999 | Beds 3 | Baths 2.5 | 1,598 SqFt

Lovely townhome that has the feel of a real home! Freshly painted, vaulted ceilings, good size living room with a cozy fireplace, spacious dining area convenient to the kitchen, overlooking the patio and open space. The kitchen includes a breakfast nook, dual sink, plentiful counter area and storage space – all at your fingertips! Good size bedrooms upstairs provide privacy plus lots of natural light. Great and convenient location, near the end of the street. Close to playground, community pool, shopping, medical offices, cinema, museums, services and more!

FULL LISTING

JUST LISTED: 7526 May Way

7526 May Way, San Ramon, CA 94583

$875,000 | Beds 4 | Baths 2 | 1,935 SqFt

Endless potential and possibilities! An opportunity to transform this classic Walnut Hills home into a dream home! Good, spacious floor plan with a good size living room and a formal dining room (currently being used as another room). The kitchen flows into the casual dining area and large family room. All of the bedrooms and baths are strategically located at the opposite wing of the home. Lots of storage space and nice size front and back yards with beautiful roses, citrus and shrubs to use in a landscape plan renovation. Welcoming neighborhood, close to schools, parks, shopping, dining, entertainment, services, Bishop Ranch Business Park and freeway access.

FULL LISTING

JUST SOLD – $100K OVER ASKING PRICE IN 2 DAYS!

12965 Hawkins Dr, San Ramon, CA 94583

$1,075,000 | Beds 4 | Baths 2 | 1,940 SqFt

Wonderful single story home with class tucked away in a great location! Nicely maintained and improved, including new, attractive flooring and paint. Good, functional, spacious and airy floor plan in a neutral decor. Beautiful, good size back yard with patio and pleasant, restful views. Near schools, shopping, dining, entertainment, services, Bishop Ranch Business Park and commute access. Great home at a great price!

FULL LISTING

How Long Should it Take to Sell a House?

As a seller, you’ve got clear goals: sell your home for a pretty penny, and find a buyer within a reasonable amount of time. After all, nobody wants to sit around waiting for a willing buyer any longer than they have to. The longer a home sits on the market, the more expensive the process gets, not to mention more frustrating.

But exactly how long should it take for you to sell your home? Knowing the answer to this question can make things a lot easier and more streamlined for you, especially if you’re buying another home and want the closing dates to jive.

The thing is, there are several factors that influence how long a house will take to sell, including the following.

Current Market Conditions

Different market conditions will make it easier or harder to sell, depending on the current climate. You’ve most likely heard of “buyer’s markets” and seller’s markets,” and the one that you happen to be in right now will have a strong influence on how long you can expect your home to sit on the market.

In a buyer’s market, there are usually many homes available and few buyers, making the competition fierce among sellers but favorable for buyers. In this case, it could take a bit longer to sell. On the other hand, a seller’s market means the demand for homes is high thanks to the heavy pool of buyers out there and the limited inventory for them to choose from. This scenario makes selling much easier and usually results in a faster sale.

Listing Price

One of the most important factors that goes into selling a home is the listing price. If priced right, your home should have no problem selling within a reasonable amount of time, as long as it’s in decent condition. But if you overprice your home compared to similar listings in the area, you can expect your home to linger on the market longer than it should.

Buyers go into the real estate game armed with all the information they need, including what homes in the area are worth. They’ll be less likely to spend more than they have to on a home if they know it’s not worth as much as what the current market dictates. If you want to sell quickly, make sure your home is priced appropriately.

Neighborhood

The more desirable the area, the easier it should be to sell a home. Even homes that are in rough shape can sell rather quickly if they’re located in neighborhoods that buyers are eager to get into. But areas that are not so hot can make it tougher for sellers to sell quickly.

Many factors influence the desirability of a location, including proximity to the downtown, public transit, schools, crime rates, walkability, nearby amenities, parks, and so forth.

Condition of the Home

There’s a reason why real estate agents recommend that their seller clients have their homes staged. Presentation matters, and it can have a strong influence on the impression buyers have. Buyers typically want a turn-key home so they have little to do when they move in. The better the home looks, the better the odds of finding a willing buyer more quickly.

Average Days on the Market

Every area has its associated “average days on the market,” which changes frequently. If the average number of days it takes to sell a home in your area is 30 days, for instance, then you can expect it to take that long for you too. That said, you could experience a longer or shorter sale, depending on how all other factors line up for you, such as the condition of your home and the listing price.

Luxury Home Versus Average Home

Generally speaking, luxury homes over the $1 million mark tend to take a lot longer to sell than the average home. That’s because buyers in this market tend to be much pickier with their purchase, given the high price tag. If buyers are going to spend the big bucks, everything has to be just right.

The Bottom Line

Several factors play a role in the amount of time it takes to sell a home. It’s important to weigh them all before gauging how long it will take you to seal a deal. As always, consult with your real estate agent to help you get the exact information you’re looking for.

INFOGRAPHIC: NAR’s Existing Home Sales Report For May 2018

Home-Buying Shows on TV Don’t Paint the Full Picture

Real estate reality shows on television are quite popular these days. There’s something very interesting about watching homebuyers navigate the process of searching for a home to making an offer. Many shows even take viewers beyond closing and show them how many new homeowners renovate and upgrade the homes just purchased.

But as entertaining as these shows can be, how realistic are they? It turns out, they really don’t paint the full picture of what the true homebuying process is like.

A lot of details are left out of these shows. Of course, producers want to make sure that these programs are as interesting to the viewer as possible, and as such, they tend to only include parts that would hold a person’s attention. There are several components of buying real estate that may be too “boring” for television, and so they’re left out.

But it’s important for buyers to understand this fact in order to avoid going into a real estate transaction without being fully prepped for the process.

Many of these shows depict house hunters quickly looking through a handful of homes, usually a maximum of three (that are shown on the program). Then, they’re put in a position to make an offer based on only those few homes that they see, even if they don’t seem entirely keen on any one of them. An offer is submitted quickly, and the deal is done in a matter of minutes, or so it seems.

In some cases, these shows may actually fast-forward the process and only start the show after the buyers have already chosen a home and may have even submitted an offer that’s been accepted by the seller. Any other homes shown are only thrown into the mix to help viewers make their own decisions about which property should be picked. It makes the program more interesting and almost like a game show.

When it comes to “reality” TV, it should come as no surprise that much of what is shown is probably staged to some degree. After all, the show must be entertaining or it’ll lose viewers. As such, producers will try their best to tweak things in order to make these programs more intriguing.

While there’s certainly nothing wrong with that, buyers – especially first-timers – should be made aware of this fact, as it could skew their perceptions of what the buying process is really like and what they can actually expect from the process.

Why Homebuying Shows Can Be Deceiving

Television is meant to entertain, but it can also be used to educate as well. The problem with some reality house-hunting shows is that they can be a bit inaccurate in many ways.

For starters, many of these shows only include a handful of properties. Are buyers to believe that the people hunting for a home on the show only see these specific properties before making a decision about which one to purchase? In reality, it’s most likely possible that the buyers in the show have already seen dozens of homes before choosing the one they eventually purchase. But since these shows are only half an hour to an hour long, it would be impossible to cram them all into one episode. Real-world buyers should be aware of this potential fact.

In the real world, buyers are encouraged to see a lot more than that before settling on one. Considering how expensive this massive purchase is, it makes sense to see as many as possible for comparison purposes before making a final decision.

These shows also don’t go into detail about the negotiation process. They may tell viewers what the initial offer is and what the final accepted price is, but there is no back-and-forth bantering shown on TV that displays how the final sale price as arrived at. Negotiating is a critical piece of the puzzle and is something that buyers should be made aware of.

There is often no mention made about the market conditions in the area that the buyers are looking in. What is the price of an average home in the area? How much have similar homes in the neighborhood recently sold for? What is the community like? Is the location ideal for commuting to and from work? Was a home inspection done? If so, what was the outcome? There are so many little details involved in buying real estate that is usually not covered in these shows.

And then there’s the issue of financing. Have the buyers been pre-approved for a mortgage? What is the process that they go through to secure financing? Sure, these are not exciting details involved in the homebuying process, which is likely why they don’t make the editing cut. But the topic of financing is a crucial one that all buyers need to seriously consider.

Real estate agents on the show also don’t seem to do much, either. They basically unlock the door and let the buyers take a gander at the homes. Then, they just seem to let the buyers make their own decision about the properties they see. But this is unlike what agents in the real world will actually do. There’s a ton of behind-the-scenes work that goes on in buying real estate, and what agents actually do is not reflected in house hunting television shows.

The Bottom Line

Reality homebuying shows are definitely fun to watch. And in many cases, you may even be able to learn a thing or two about buying a house. But for the most part, these shows can be misleading and leave out a ton of critical information that is essential for making the right homebuying decision.

At the end of the day, actual buyers should only take these shows with a grain of salt and hire a professional real estate agent to walk them through the real-life process of buying a home. Getting educated on the real estate procedure and the market is important to understand what can really be expected of the homebuying process.

8 Most Common Issues Home Inspectors Find

Home inspections typically accompany real estate deals, giving buyers an opportunity to check out the house in greater detail with a professional in an effort to uncover any problems that may not have been detected during the initial visit. Buyers are highly advised to include a home inspection contingency in their offers specifically for this reason.

Unless you’re a trained inspector, contractor, engineer, or architect, you may not have the same eye for issues in a home that a trained and experienced home inspector does. What you may gloss over will be more likely to be caught by a professional. That way you can make a more informed purchasing decision before you sign on the dotted line.

Having said all that, certain issues are more common during home inspections than others, including the following.

1. Poor Ventilation

If there’s inadequate ventilation in the home, you could be stuck with a higher-than-necessary utility bill every month and a less-than-comfortable interior. Proper ventilation cannot be underestimated, as it’s important to reduce condensation, minimize any backdrafts, and improve the overall air quality for occupants of the home.

Your home inspector will check out all the vents in the bathrooms, kitchen fans, and roof soffits and vents. The attic will also be checked for excessive heat and vapor condensation.

2. Roof Issues

Problems with roofs are more typical in older homes that have not had their roofs replaced over recent years. However, they can also present themselves in newer homes where homeowners take on DIY roles to fix the roof themselves or have had an incompetent contractor do a shoddy job.

Any number of issues can be found with a roof, including peeling shingles, poor installation, leaks, sagging, faulty flashing, and pest infestation. Fixing or replacing a roof can be an expensive job, so an issue like this will need to be addressed at the negotiating table.

3. Poor Grading or Drainage

Adequate drainage is important to ensure that all water drains away from the home rather than towards it. Faulty grading can cause water to pool at the home’s foundation and cause leakage into the home. Alternatively, there could be a problem with foundation movement which can also negatively affect drainage.

Signs of inadequate drainage include pooling of water at the foot of the exterior walls, soft soil around the perimeter of the home, rotting walls, mold, “sticky” doors and windows, and any signs of water in the crawlspace.

This issue can be rectified by regrading the soil or adding downspouts to ensure water pools away from the home rather than towards it. However, if the foundation requires repair to fix the drainage issue, this could be a very costly project.

4. Bad Plumbing

Home inspectors typically walk around a home and turn on all sink faucets and showerheads, flush toilets, and check the plumbing pipes underneath sinks to make sure all is well. Any number of issues can be found with plumbing in a home, including slow draining, weak water pressure, and leaks in pipes, to name a few.

5. Faulty Electrical Wiring

One of the first things that home inspectors do when checking out a home is look at the electrical panel. While they are not electricians, they are still skilled enough to spot an issue if there’s one present. Inspectors will open up the panel to check the amp size of the home’s electrical service. The size of the home’s service will determine the number of appliances that can be run at one time.

If the amp size is inadequate, there could be a fire hazard in the home if too many appliances are being operated at one time. For instance, a 60 amp service would not be enough to run 200 amps worth of power. Ideally, the home should have at least 100 amps. If not, this will need to be upgraded.

The inspector will also make sure all outlets are safe and that there are no exposed wires anywhere. Electrical fires can occur if the wiring is not adequate, so this is an issue that would need to be rectified immediately.

6. Poor HVAC System

The heating and cooling system of a home will be inspected by an inspector to ensure the system is functioning properly. Unfortunately, issues with poor installation, old components, filthy filters, cracks in the heat exchanger, carbon monoxide leaks, and inadequate maintenance are common. Sometimes the fix is something as simple as cleaning or replacing the filters, whereas other times it may be necessary to completely replace a unit. 

7. Damaged Gutters

The gutters of a home will not only be checked out to see if they are full of debris and blocked, but they’ll also be looked at to see if there is any damage that is causing them to inadequately funnel water away from the home. Whether they’re clogged, bent, torn, or not large enough, faulty gutters can present a water problem for a home if they are not repaired and cleaned out.

8. Water Damage

If water or moisture is lingering in a home, this can lead to mold and mildew build-up, which are considered health hazards. That’s why it’s so important to detect any issues like these when inspecting a home. Luckily, inspectors are trained to look for signs of water damage, such as:

  • Musty odors
  • Dampness
  • Discoloration in walls and ceilings
  • Bubbling paint
  • Crumbling at junctions between ceilings and walls
  • Pools of water

If any of these signs are noticed, it will be necessary to dig a little deeper to find out the source of the problem.

The Bottom Line

Any number of issues may be discovered during a home inspection that buyers may not notice themselves. If any issues are discovered, the inspector may recommend having specialists come in to conduct more in-depth inspections for specific components of the home to make a more accurate diagnosis of any problems that may exist. The small price tag of a home inspection can save buyers thousands of dollars when all is said and done.