Last Updated on February 16, 2021
Lincolnberg Takes Deposit Protection Seriously!
Saving a down payment on your new home is hard! At Lincolnberg we get this, that’s why we still take deposit protection seriously even though we are well capitalized and prepared for economic downturns. You didn’t sacrifice and save only to lose your money to events beyond your control.
Did you know that not all builders do deposit protection the same way?
Even though it is the law to have deposits protected in Alberta there is no enforcement agency making sure this is the case. This protection, called Pre-Possession Insurance, has a cost and because of this, some builders choose not to protect their purchasers.
As part of our efforts to make home ownership easy we have undertaken to outline how we are protecting your deposits so you can rest easy and start dreaming about the memories, you will make in your new home.
ALL Fee Simple Homes Built By Lincolnberg are Enrolled in Pre-Possession Insurance with the Alberta New Home Warranty Program
Protecting Your Deposit is Not Optional at Lincolnberg it’s Mandatory
Pre-possession Insurance is a combination of Deposit Insurance and Home Completion Insurance. This means that in the event of default by a Builder, the purchaser’s investment is covered from the time a deposit is made and ends on the mandatory warranty commencement date. Purchaser deposits are insured for 20% of the total home price, excluding land, to a maximum of $100,000 on Single Family Homes and 20% of the total home price excluding land to a maximum of $50,000 on Multi Family Homes.
Deposit Protection In Place Once Your Deal is Unconditional
At Lincolnberg We Protect Your Deposit Throughout The Entire Process
All deposits are refundable until you remove conditions and have an accepted deal. Some builders wait until they apply for the permit to put deposit protection in place. This is a risk to the purchaser if anything should happen between the time of condition removal and pulling of the permit while plans are being drawn and design decisions are being made. At Lincolnberg we apply for deposit protection as soon as your deal becomes unconditional.
Deposit Protection In Place On All Spec Homes
This Ensures Lincolnberg is Protecting Purchasers on All Our Homes
When building a spec home with no purchaser there are no deposits to protect. Some builders opt not to get deposit protection when setting up a spec home and forget once it is underway. This is a risk to the purchaser if no one is paying attention as to whether deposits are protected. At Lincolnberg we apply for deposit protection on all spec homes at permit stage ensuring you are protected no matter when you buy.
Find out more about Deposit Protection here!