Co-written by Trent Cotney and Carter Pope
Every builder wants to complete a home that is move-in ready and defect-free. New legislation, signed into law by Governor DeSantis, requires all newly constructed homes to carry a one-year builder’s warranty. Florida House Bill 623, titled “Builder Warranties,” goes into effect on July 1, 2025.
According to the bill, every new home must carry a limited warranty that covers certain defects for at least one year, even if the structure is sold or transferred during that time. The one-year period begins on the day of title conveyance or initial occupancy, whichever date occurs first.
The warranty is required to cover “all construction defects of equipment, material or workmanship furnished by the builder or any subcontractor or supplier resulting in a material violation of the Florida Building Code.” Builders are required to remedy any defects at their own expense. The warranty is not intended to cover the following:
The bill also allows builders to purchase applicable warranties from a home warranty association. If the builder provides a warranty that covers more than a year, the express written warranty must state the allotted length of time and if the warranty is transferable beyond the required one-year period.
Reasoning Behind the Law
After buying new homes, purchasers often report and file complaints related to defective floors, leaks, roofing and other issues and they may find it challenging to recoup these losses. With that in mind, Rep. Adam Anderson (R-Palm Harbor) and Rep. Kevin Steele (R-Dade City) introduced the bill in the Florida House of Representatives. The companion bill in the Senate was sponsored by Sen. Danny Burgess (R-Zephyrhills).
General contractors and subcontractors will be under increased pressure to produce work that is free from defects and warranty provisions in their contracts will likely become more stringent. Meanwhile, builders will be required to secure the necessary warranties to cover any issues that occur within the first year of ownership. Builders’ contracts often include such warranties already but this new law makes them mandatory for all newly constructed homes and careful builders should ensure that these warranty requirements are reflected in their subcontracts to adequately protect themselves.
The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.
Trent Cotney is a partner and Construction Practice Group Leader at the law firm of Adams and Reese LLP and FRSA General Counsel. You can contact him at 813-227-5501 or trent.cotney@arlaw.com.
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