Who’s Involved? The Builder
The Homeowner Homeowners should be prepared to devote significant time to their project over several months. Homeowners should provide clear instructions to the builder and promptly answer any questions they may have. They should use written communication as much as possible to avoid misunderstandings. After completion, homeowners should familiarize themselves with their home warranty insurance policy and carry out maintenance in accordance with maintenance information from the warranty provider or builder. If a suspected defect arises, homeowners should address it immediately and take steps to minimize further damage. To make a claim for defects not addressed by the builder, the homeowner must report the problem in writing to the warranty provider and the builder before the warranty coverage expires. Licensing and Consumer Services BC Housing’s Licensing and Consumer Services Department administers the Homeowner Protection Act . The purposes of the Act are to strengthen consumer protection for buyers of new homes, improve the quality of residential construction, and support research and education related to residential construction in British Columbia. BC Housing’s Licensing and Consumer Services Department is responsible for licensing and regulating residential builders. This includes ensuring that builders arrange for all new homes constructed in B.C. to be covered by mandatory third-party home warranty insurance, as required by the Act , or that there is an applicable exemption.
Under the Homeowner Protection Act , every new home in B.C. must be constructed by a Licensed Residential Builder. The requirements for becoming a Licensed Residential Builder are discussed in the next section, Who Can Build a Custom Home in B.C. Builders work with homeowners to: • Establish a realistic budget for the home; • Obtain building permits required by the jurisdiction; • Hire and manage subcontractors; • Monitor costs throughout construction; • Ensure subcontractors complete work as specified in the home design; • Order, accept and inspect materials; • Resolve potential issues with suppliers; • Ensure compliance with building codes and regulations; and • Liaise with municipal inspectors. The Act requires all new homes to be covered by home warranty insurance unless specifically excluded by the Act or its regulations. Home warranty insurance protects new homes in British Columbia against construction defects such as materials and labour, building envelope and structural defects. Builders are responsible for arranging home warranty insurance on the homes they sell or build under contract with an owner.
Hiring a Builder in BC: A Consumer Protection Guide
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