Builder's Warranties and Punch Lists in New NYC Condos: Your Rights
Bought a brand-new condo and found something wrong? What the developer owes you depends on the building's height and on what the offering plan promises. We read the warranty and inspection sections of recent NYC condo plans to explain your rights, the deadlines and how the punch list works.
A new condo should be perfect on day one. In real life there's usually a scuffed cabinet, a sticky door or, occasionally, something bigger. What the developer (the "sponsor") has to fix, and for how long, is spelled out in the offering plan. It varies more than most buyers expect.
The Short Version
- New York's housing merchant implied warranty covers new condos in buildings of five stories or fewer: 1, 2 and 6 years for different kinds of defects.
- In taller buildings that law doesn't apply, and plans say there's no other implied warranty. You get only what the plan expressly promises.
- Every sponsor must still build the building according to code and the plans and specifications in the offering plan.
- Some sponsors offer a limited warranty with short deadlines, often 6 months to a year, and strict notice rules.
- The punch list you sign at your pre-closing walkthrough usually doesn't delay closing and isn't backed by money held in escrow.
Five Stories or Fewer: The Housing Merchant Warranty
New York's General Business Law Article 36-B gives buyers of new homes, including condos in buildings of five stories or fewer, an implied warranty. As the plan for 1755 Benson Avenue in Brooklyn summarizes it:
| Period | What's covered |
|---|---|
| 1 year | Defects in workmanship or materials that don't meet the building code (or, where the code is silent, locally accepted building practices) |
| 2 years | Plumbing, electrical, heating, cooling and ventilation systems that were installed unskillfully |
| 6 years | Physical defects in structural elements (foundations, floors, walls, roof framing) that make the home unsafe or unlivable |
Sponsors can replace the implied warranty with a written limited warranty that meets the law's requirements. At Parisa, also in Brooklyn, the plan offers a "Housing Merchant Limited Warranty" built on the same 1, 2 and 6 year periods.
Taller Buildings: Only What's Written
Most new condos in Manhattan and the bigger buildings elsewhere are over five stories. In those, the plans are blunt. The plans for Paragon and Longfield, both in Queens, say that where the housing merchant warranty doesn't apply, "a common law implied warranty does not exist," so unless the sponsor expressly provides a warranty, there isn't one.
That doesn't mean you have no rights. Those same plans say the sponsor's obligations can't go below the duty to build the building in line with all applicable laws and the plans and specifications in the offering plan. If the plan says IIC 50 floors and the floors don't meet it, that's a failure to build as promised.
What a Limited Warranty Looks Like
At West Condominium on West 47th Street, the sponsor offers a limited warranty to fix defects caused by "substantially improper workmanship" or materials that materially differ from the plans. But the conditions are tight:
- Visible defects must be reported within 6 months of closing.
- Hidden defects must be reported within 1 year.
- Notice must go by certified mail, return receipt requested.
- It covers only the first buyer, not anyone you sell to.
- It excludes anything covered by an assigned manufacturer's warranty, damage from your own alterations, and a long list of "normal" conditions such as nail pops, minor floor gaps and stone color variation.
Tip: put the warranty deadlines in your calendar the day you close, and report problems in writing exactly as the plan says, even if you've already told the super.
Other plans promise less. Claremont Hall's plan passes along the appliance warranties but says the sponsor won't warrant materials or workmanship, apart from what's on your inspection statement.
How the Punch List Works
Before closing, you'll walk through the apartment with the sponsor's representative. At West Condominium, that happens within 7 days before closing. Together you sign an Inspection Statement listing unfinished or unsatisfactory work: the punch list. What plans typically say:
- The sponsor will complete the listed items after closing. West's plan says this happens "without provision for escrow," so no money is held back.
- Unfinished punch list items aren't a reason to delay closing or pay less.
- The sponsor's obligation survives the deed, so it still has to do the work after you own the unit.
- You must give the sponsor's workers access. If you don't, West's plan says the sponsor is released from the work.
- Claremont Hall's form says punch list work will be done "within a reasonable time" after closing.
Anything not on the signed list can be much harder to get fixed later. See our walkthrough guide for what to look for.
Common Elements: The Board's Job
Defects in the lobby, roof, facade or building systems belong to the condo as a whole, and the board pursues them. Many boards hire an engineer to inspect the building around the time the sponsor gives up control, so problems are documented while the sponsor is still involved. Plans also require the sponsor to obtain the final certificate of occupancy, and many hold money in escrow until it does, as Paragon's and Longfield's plans describe.
If the Sponsor Won't Fix It
- Keep everything in writing, with dates and photos.
- Cite the specific promise: the plan's Description of Property, the warranty, or your Inspection Statement.
- Bring in the board if it affects the building or several units.
- Talk to a real estate attorney. Sponsors' obligations under offering plans are overseen by the New York Attorney General, which accepts complaints.
Common Questions
Do new condos in NYC come with a warranty?
In buildings of five stories or fewer, the housing merchant warranty applies: 1 year for workmanship, 2 years for systems, 6 years for major structural defects. In taller buildings, you get only what the offering plan expressly promises, plus the sponsor's duty to build according to code and the plans.
How long does a developer have to finish the punch list?
Plans usually say "within a reasonable time" after closing, without a fixed deadline. The obligation survives closing, but you must give access.
Can I delay closing until the punch list is done?
Usually not. Most plans say unfinished punch list items aren't grounds to delay closing or withhold money once the unit has a certificate of occupancy.
How do I report a defect after closing?
Follow the plan's notice rules exactly. Some require certified mail within strict deadlines, such as 6 months for visible defects and 1 year for hidden ones.
Does the warranty transfer if I sell?
Often not. West Condominium's limited warranty, for example, covers only the first buyer.
Where this comes from: the warranty, inspection and Special Risks sections of the offering plans for 1755 Benson Avenue, Parisa, Paragon, Longfield, West Condominium and Claremont Hall, and a search of recent NYC new-construction condo plans. This is general information, not legal advice; your contract and offering plan control. Updated October 2026.