Did your know that the state of Georgia requires builders to give new home buyers a written warranty?
Georgia state code Section 553-7-.01
Written Warranty.
(1) Definitions:
(a) “Covered contract” shall mean
any contract to construct, or superintend or manage
the construction of, any single
family residence where the total value of the work or
activity or the compensation to
be received by the contractor for such activity or work
exceeds $2,500.00.
(b) “Single family residence”
shall be deemed and construed to mean a “one or two
family residence” as defined in
the current edition of the state minimum standard
International Residential Code
(IRC).
(2) A licensed residential
contractor and any affiliated entities shall offer a written
warranty in connection with each
covered contract.
(3) A licensed residential
contractor that enters into a covered contract shall provide a
written warranty which describes,
at a minimum:
(a) Covered work and activities;
(b) Covered exclusions;
(c) Standards for evaluating work
and activities, which standards shall be those set forth
in the current edition of the
Residential Construction Performance Guidelines as
published by the National
Association of Home Builders;
(d) The term of the warranty,
including commencement date(s) or event(s);
(e) Claim procedures;
(f) Contractor response options
(such as repair, replace or compensate);
(g) Assignable manufacturer
warranties.
(4) Prior to the execution of a
covered contract, a licensed residential contractor shall
attach a complete copy of the
written warranty (or an identical blank standard form of it)
to the covered contract or otherwise
make same available for review.
Authority O.C.G.A. Secs. 43-41-5,
43-41-7. History. Original Rule entitled “Written Warranty” adopted.
F. Dec. 23, 2005; eff. Jan. 12,
2006. Repealed: New Rule of same title adopted. Filed July 15, 2008;
effective August 4, 2008.
Ref. 2009 Georgia Association of Realtors, Inc. F20, Purchase and Sale Agreement, Page 2 of 7, 01/01/09
Section 10 Inspection.
A. Right of Buyer to Inspect Property: Buyer and/or Buyer’s representatives shall have the right to enter Property at Buyer’s Expense and at reasonable times (including immediately prior to closing) to inspect, examine, test and survey Property. Seller shall cause all utility services and any pool, hot tub and similar items to be operational so that Buyer may complete all inspections under this Agreement. Buyer agrees to hold Seller and all Brokers harmless from all claims, injuries, and damages arising out of or related to the exercise of these rights.
Some sellers are banks. I am finding that these banks seem to employ realty agents who think it is the buyers who are responsible for turning on utilities. I've even had clients who had to put deposits down on turning on water so that I can inspect. I have even had to turn on water myself because the realty agents assume it is part of our service. I arrived at one of my inspections to find that the water had been turned on by the water company. Both hose bibbs on the outside were opened full blast. Water was filling the water heater and draining onto the garage floor. Water was pouring into the kitchen from the water line that use to go to the refrigerator.
Read your purchase agreement. The buyer agrees to hold the seller and all brokers harmless from all claims, injuries and damages arising out of or related to the exercise of these rights. If damage to the property occurs or someone looses their life, the buyer is responsible. So, if you hire me, I will help protect you and me by not turning on these utilities. Yes, I have lost inspections because unscrupulous realty agents have talked there buyers into using the realty agents inspector who will turn on these utilities. The purchase agreement even says the seller shall cause the utilities to be operational. If your realty agent can't get the utilities on and all pilot lights lit and all valves turned and all breakers thrown on....the contract breached...Get yourself a new realty agent and do not buy the home
We see all kinds of things. Don't sign a waver that requires you to turn on utilities. The picture below is from an actual inspection I did. No, the water heater was turned off and the damage already done.
