15 
Jun

How much does a building warranty cost?

How much does a building warranty cost

While it isn’t required by law to have a building warranty, it’s often a requirement for financial lenders. So, if you want to get a mortgage to help you buy your dream home, you should make sure that the property has a structural warranty.

This policy should cover your property against latent structural defects from poor workmanship. Whether you want to buy or sell a new build within 10 years of its construction, you’ll find it much easier with the reassurance of a building warranty.

Building warranties are a relatively small expense with many benefits, but the cost can vary. Here are some of the main factors that can affect the cost of a structural building warranty.

Location and design

‘Where’ and ‘how’ are two of the most important questions when it comes to securing any type of insurance policy for a building. The property value will obviously vary depending on its size, but there are also regional differences. For example, property prices per square metre are generally higher in London and the surrounding southern area than in most towns in the north of England.

The type of building and its intended purpose will also affect the property’s value. Which materials and construction methods does it use? Will it be residential, commercial, or a mixed development? What about the ground conditions it’s built on? How likely are issues like subsidence and damp?

The larger a property is and the higher the risks associated with its location, design, and materials, the more it will cost to insure – which also applies to structural warranties.

Construction stage

The point the construction process has reached at the time of your application is also an important factor. Any building warranty provider worth their salt will want to inspect the build at key stages, from initial planning to completion, in order to identify any problems before they can cause defects.

If the property isn’t inspected from the beginning, and you only apply for a building warranty at a later stage, the risk of an unnoticed structural issue increases. That means the structural warranty price will also increase to reflect this level of risk. For this reason, it’s best to set up the warranty as soon as possible rather than waiting until partway through construction or until it’s all complete.

While it’s possible to get a kind of completed building warranty in some cases, it’s likely to cost a lot more – so don’t put it off if you want to get the cheapest quote.

Qualifications and experience

Relating to the construction process and materials, the experience of the construction workers not only affects the premiums, but also the likelihood of getting a structural warranty at all – not to mention a mortgage or other funding. Nobody will want to lend money or provide financial cover for a project with a team that has little to no experience in successfully completing projects of its type.

This is why it can be difficult to get a self-build warranty if you’re designing and constructing your own home without being a professional builder or architect. It’s usually the developer or project manager who first takes out the policy at the start, before transferring it to the homebuyer later on.

The more successful projects and years in business they have behind them, plus proof of relevant qualifications, the more likely a provider is to offer a favourable building warranty contract. 

How to get a building warranty quote

If you’re looking for a suitable structural warranty for your building that’s also affordable, why not try the ABC+ Warranty quick quote form? Or, for a more accurate quote that’s tailored to your circumstances, fill out our full quote request form and we’ll get back to you as soon as possible.

We understand that you’ll want to shop around for the best offer, but bear in mind that we also offer to beat genuine quotations from other providers. So, if you find a better deal elsewhere, Architects Certificate will always beat it when you come back to us. Ten years of peace of mind are definitely worth the investment, so contact us today to arrange your structural building warranty.

Published Date: 15th June 2022
Category: building warranty, Uncategorized
 

 

 

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