BC's 2-5-10 New Home Warranty Explained

What 2-5-10 means

The 2-5-10 warranty is BC's mandatory new home warranty, governed by the Homeowner Protection Act. Every new home built by a licensed residential builder in BC must be covered by it, there's no opting out. The numbers represent three separate coverage periods, each covering different types of defects.

Two years covers materials and labour. This means defects in workmanship or materials that show up within the first two years, leaky windows, doors that don't seal properly, poor tiling, defective fixtures. It also includes a specific one-year sub-period for delivery and distribution systems: your heating, plumbing, and electrical have to work correctly for at least one year from the date you take possession.

Five years covers the building envelope. This is the exterior shell of the building, the walls, roof, windows, and everything that keeps water out. Given BC's rain, this is arguably the most important coverage. If water gets in through a defect in construction (not a lack of maintenance on your part), it's covered for five years.

Ten years covers structural defects. The foundation, load-bearing walls, beams, and anything that affects the structural integrity of the building. A crack that compromises the structure, not just a cosmetic hairline crack, is covered for a decade.

Who provides the warranty

The warranty isn't provided by the developer, it's provided by a third-party warranty provider approved by BC Housing. The developer pays for it, but if the developer goes bankrupt or disappears, the warranty provider is still on the hook. This is an important distinction. You're not depending on the developer to be around to honour claims.

The major warranty providers in BC include Travellers, Aviva, and several others approved by BC Housing. Your warranty certificate will name the provider. Keep this document, you'll need it if you ever make a claim or sell the home before the warranty expires (the warranty transfers to subsequent buyers, which is a genuine selling point).

What isn't covered

The warranty covers defects in construction, not damage from normal use, lack of maintenance, or owner modifications. If you renovate and create a water ingress problem, that's on you. If you don't maintain your building envelope and moisture gets in as a result, the warranty provider will look closely at whether the problem is a construction defect or a maintenance failure before paying out.

Common exclusions include damage caused by the homeowner or their contractors, normal wear and tear, damage from weather events beyond what the building was designed to handle, and cosmetic issues that don't affect function. A paint scuff isn't a warranty claim. A window that leaks water into the wall cavity is.

Secondary suites and some strata common areas have specific rules. Check your warranty certificate for the full list of exclusions, and read it before you take possession, not two years later when you're filing a claim.

How to make a claim

First, document everything. Photos and videos with timestamps, written descriptions of when you first noticed the problem, and a record of any communication with the developer or strata. If you're in a strata building, defects in common areas need to go through the strata corporation, not individually.

Submit your claim to the warranty provider in writing — not verbally, not just to the developer. The warranty provider is your counterparty. Keep copies of everything you send.

If the developer is still around and willing to fix the issue, the claim often goes through them first. The warranty kicks in when the builder won't or can't remedy the defect. Don't wait to involve the warranty provider if you're getting the runaround — there are time limits on claims that start from when you knew or should have known about the defect.

The deficiency list and why it matters at possession

When you take possession of a new home, you do a walkthrough with the developer and create a deficiency list, a written record of every incomplete or defective item you observe. This list is your most important document in the first two years of ownership.

Items on the deficiency list that the developer agrees to fix are their responsibility to remedy, typically within a set timeframe. Items not on the list can still be warranty claims if they're discovered later, but having a thorough deficiency list from day one establishes your baseline. See our guide on deficiency walkthroughs for exactly how to approach this.

Developer vs. warranty provider disputes

If a developer disputes your claim or goes quiet, escalate directly to the warranty provider. If the warranty provider denies a claim you believe is legitimate, you can dispute it through BC Housing's Homeowner Protection Office. There's a formal dispute resolution process, and homeowners do win these disputes — but you need documentation.

For significant claims, anything involving the building envelope or structure, get an independent building envelope engineer to assess the defect before making your formal claim. Their report carries far more weight than your own description of the problem.