New Construction Repossessed

[satxproperty]

I have a buyer that is interested in a bank owned new home. The home construction is complete.

The bank repossessed the property and the builder is out of business. New homes, by state law have upto 10 year builder warranty on major systems. But, the builder is no longer in business.

Is it possible for the buyer to purchase an extended warranty on the home, to include major systems such as foundation, framing, roofing, etc? Where should I start looking?

Thanks

[Web Agent]

RWC might be an option.

[satxproperty]

RWC might be an option.

Thanks, I'll start calling tomorrow about them. It looks like to get what we are used to having as the typical builders warranty, the builder must be screened... since the builder is out of business I don't know what they'll say.

[donnalong]

We use 2-10 home warranty hear for new construction.

I don't think they would do the regular 2-10 program on a builder who is out of business but they do offer a year to year program on resales that I am pretty sure would be applicable here.

Another option would be Old Republic. I think the year to year might be the best option in this situation. We actually did an old republic on a similar situation....

[lylej]

Keep in mind, the extended home warranty must be secured within 30 days of closing. This is how it works in Arizona.

[satxproperty]

Without the builder still in business, none of the "1,2,10" year builder warranty companies want any part of it.

The regular home warranties to fix the garbage disposal or unstop a toilet are available, but I can't find any warranty companies for the major systems in the house. (Foundation, framing, etc.)

[Puyallup Agent]

That's a tough one, I use 2-10 warranties and so do many of the local builders here in Washington. We use a much more basic plan than what you are describing. Might be time to call your board's legal hotline to get the right answer?

[satxproperty]

That's a tough one, I use 2-10 warranties and so do many of the local builders here in Washington. We use a much more basic plan than what you are describing. Might be time to call your board's legal hotline to get the right answer?

How do you purchase the 2-10 warranty?

They'd be happy with the 2-10 warranty, but they tell me only the builders can purchase it. The builder is out of business.

[maryd]

thats a tough one. Make sure there is a certificate of occupancy or you may have an issue getting a loan

[satxproperty]

thats a tough one. Make sure there is a certificate of occupancy or you may have an issue getting a loan

It is fully built and passed all inspections from the city building inspectors. (We don't have CO's for residential properties.)