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A new online portal will change how new home builders register and apply for new home warranties starting next year, the Department of Community Affairs announced.
The collaboration between the DCA and state Office of Innovation will help thousands of New Jersey homebuyers each year move into their new homes more quickly, while reducing paperwork and increasing efficiency in the home warranty process, according to a news release announcing it.
The portal will replace the current mail-in process that supports all new home builder registrations and renewals, as well as new home warranty enrollments and payments for the homes they build. These improvements are expected to significantly reduce the time it takes to obtain a new home warranty, which is required for a certificate of occupancy and sale.
The new portal also will provide prospective homebuyers a Builder Lookup tool that will allow them to determine whether a builder is current with their registration, which must be renewed every two years. Currently, builders are required to enroll homes in either the state’s warranty plan or an approved private plan.
“This online portal is a critical step forward to modernize government tools to serve New Jerseyans more efficiently,” Gov. Phil Murphy said. “The portal will expedite the process for both builders and buyers to obtain a home warranty, saving residents precious time on paperwork and mail-in payments. Together, we are making it easier for families to plant roots in the Garden State."
Homeowners also will be able to submit warranty claims through the portal, reducing paperwork and improving response times should a warranty-related defect with their new home arise.
Builders will be able to quickly receive a QR code for their registration upon application approval, rather than require them to submit information manually and then wait on a physical card to be mailed to them, as they do under the current system.
Credit card and e-check payments also will be allowed for the first time, instead of the previously required mail-in payments for registrations or warranty premiums.
“We listened to New Jerseyans who wanted to start living in their new homes but were running into red tape,” DCA Commissioner Jacquelyn A. Suarez said. “This upgrade is a win for them and their builders who need a quicker way to register, renew registration, and obtain home warranties.”
Builders can apply for new home warranties when a dwelling unit — single-family home, condo, townhouse, etc. — is at least 80 percent complete.
“The days of waiting on a paper-based process to get a new home warranty are ending,” state Chief Innovation Officer Dave Cole said. “Through a new online platform, the State will help alleviate a significant stress associated with buying a new home.”
Warranties protect homebuyers from: defects in materials and workmanship (for one year); defects in design and installation of HVAC, plumbing and electrical systems (for two years); and major structural defects (for ten years).
