Nevada New Construction Warranty Law: Your 1-2-10 Coverage Explained

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Nevada law requires every new home builder to provide warranty protection for buyers, and the coverage follows a structured timeline that most people call the 1-2-10 warranty. Understanding exactly what is covered in each period could save you tens of thousands of dollars if something goes wrong with your new Las Vegas home.

What NRS 624.602 Requires

Nevada Revised Statute 624.602 establishes the minimum warranty obligations for licensed residential contractors in the state. The law mandates at least one year of coverage, but the industry standard adopted by major Las Vegas builders goes well beyond that minimum with the full 1-2-10 structure. If a builder tries to offer you less than one year of workmanship coverage, that is a violation of Nevada law.

The statute works alongside NRS Chapter 40, which governs construction defect claims and gives buyers the right to pursue legal remedies. Under Chapter 40, builders have a 10-year statute of repose for structural defects, meaning legal claims for serious structural problems can be brought for up to a decade after the original construction.

Year One: Workmanship Coverage

The first year of coverage is the broadest. It covers workmanship defects, meaning any visible or functional problem that resulted from poor installation or improper construction technique. This includes items like drywall cracks, paint issues, trim that is not properly secured, grout that is cracking or separating, doors and windows that stick or do not seal correctly, and fixtures that were not installed to manufacturer standards.

Year one is also the most important period for catching and reporting problems because builders are legally and contractually obligated to repair workmanship defects at no cost to you. Document every issue in writing and submit it through the builder's official warranty portal rather than through verbal conversations with your sales rep.

Year Two: Mechanical Systems Coverage

The second year covers mechanical, electrical, and plumbing systems. This period focuses on the performance of major installed systems: your HVAC equipment and ductwork, water heater, electrical panel and wiring, and all plumbing lines and fixtures within the walls and foundation. If your HVAC system fails prematurely due to a manufacturing defect or installation error, year two coverage gives you recourse with the builder.

Note that mechanical coverage addresses installation defects, not normal wear or maintenance issues. If your air filter has not been changed and the system fails, that is a maintenance issue and not covered.

Years Three Through Ten: Structural Coverage

Structural coverage is the most consequential part of the warranty because structural defects can cost far more to repair than workmanship issues. The average structural warranty claim in Nevada exceeds $40,000. This coverage addresses defects in the foundation, load-bearing walls, roof framing, and other structural components that affect the home's safety or habitability.

In Las Vegas, structural claims often involve the area's expansive soils and caliche formations. Foundation movement related to soil conditions that were not properly addressed during construction can qualify as a structural defect under this warranty period.

Local Insight

As a Las Vegas real estate specialist, Ryan Rose advises every new construction buyer to read their warranty documents carefully before closing, not after. Many buyers assume the warranty will protect them automatically without understanding the specific notice requirements and deadlines that can affect a claim. Ryan Rose can walk you through what your builder's warranty covers and help you understand the key differences between warranty protection and the rights you have under Nevada law. Reach out with any questions about your new home purchase.

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