Buyer’s Guide to Owner-Built Homes in BC
Thinking about buying a new or recently built home in BC? There’s one special category you may come across: the owner-built home.
These properties are less common — they’re the exception, not the rule — but they come with unique rules, disclosures, and warranty considerations that every buyer should understand before making an offer. On the North Shore, where new builds can be in high demand, spotting an owner-built home early can help you approach the purchase with the right questions and expectations.
Disclaimer: This article is for general information only and does not constitute legal or professional real estate advice. Always consult your REALTOR® and other licensed professionals before making buying decisions.
What Is an Owner-Built Home?
An owner-built home is a home constructed under an Owner Builder Authorization from BC Housing. Instead of hiring a licensed residential builder, the owner takes responsibility for building the property.
Owner builders must:
- Live in the home themselves for at least one year after receiving an occupancy permit (or after first occupancy in areas without permits)
- Follow strict disclosure rules when selling the home within 10 years of occupancy
Because they’re not built by a licensed residential builder, owner-built homes do not automatically come with third-party home warranty insurance — though the builder may choose to purchase a voluntary policy.
Disclosure Requirements for Buyers
If the home you’re considering was built under an Owner Builder Authorization and is being sold within 10 years of occupancy, the seller must provide an Owner Builder Disclosure Notice before you can enter into a purchase agreement.
This document tells you:
- That the home was built by an owner builder
- The date the 10-year period began
- Whether voluntary home warranty insurance is in place
You can also search BC Housing’s New Homes Registry to confirm the property’s status.
Warranty & Liability — How Protection Works
With a licensed builder, any new home in BC is covered by the province’s mandatory 2-5-10 home warranty insurance program.
With an owner-built home:
- There’s no automatic third-party warranty
- If the builder purchased voluntary home warranty insurance, claims go through the warranty provider
- If there’s no warranty, the builder remains personally liable for defects for:
- 2 years – materials and labour
- 5 years – building envelope defects
- 10 years – structural defects
In a no-warranty situation, buyers must deal directly with the builder for repairs. If the builder can’t or won’t address the issue — or if they’re no longer available — litigation may be the only option.
Questions to Ask Before Buying an Owner-Built Home
- Was the home built under an Owner Builder Authorization?
- When was the first occupancy date? (This starts the 10-year liability period.)
- Is there a voluntary home warranty policy in place?
- Who performed the construction work? (Subcontractors, quality of trades, etc.)
- Has the home been inspected recently?
- Are there maintenance records or documentation from the build?
Pros and Cons of Buying an Owner-Built Home
| Pros | Cons |
|---|---|
| May offer unique design or customization | May lack third-party warranty insurance |
| Often newer construction | Quality can vary depending on builder’s skill and oversight |
| Still protected by statutory liability for 10 years | Recourse for defects may require legal action |
| Can be more affordable in some cases | Limited resale pool if buyers prefer licensed-built homes |
North Vancouver & West Vancouver Considerations
On the North Shore, most new homes are built by licensed builders with full warranty coverage. Owner-built homes are relatively rare, but you may see them in areas with more custom or one-off construction projects.
Because the resale market here is competitive, you’ll want to weigh the warranty trade-offs carefully — especially if you’re paying a premium for a high-end property in neighbourhoods like Edgemont Village, Dundarave, Ambleside, or Deep Cove.
Bottom Line
Buying an owner-built home isn’t necessarily a bad idea — but it does require more due diligence, especially around warranty coverage and the builder’s track record.
Looking at a North or West Vancouver home that might be owner-built? Our top North Shore real estate team can guide you through the process, review the disclosure, and help you decide if it’s the right move for you.