5 vs 10 year structural warranty on new construction

[Paul Willis]

Dear all,

I am a new investor looking to buy my first property, ideally something that cash flows a little in a low crime, high appreciating area.   I am a physician in California, have limited time, and am gravitating a bit more to turnkey new construction, trying to keep things as passive as possible.   After doing some shopping, I am excited about at an A class property in Huntsville AL, brand new single story brick rancher, excellent surrounding schools.  One thing that gives me pause is I am noticing the builder only offers a 5 year structural warranty. The builder is DSLD homes, he is building this as part of a >200 building neighborhood, seems by all means reputable, but I am also learning that foundation failure usually has nothing to do with the quality of the construction and more about the underlying soil content.  One structural warranty provider (2-10) reports that they have a 5% incidence of claims, which seems surprisingly common.   I wanted to ask my fellow investors, do you insist on a 10 year warranty when buying new construction?