An innovative new product called “home value warranty” is being offered by Isential, Inc. of Dallas, Texas. This product is sold in conjunction with spec and custom homes and it protects the buyer against having to take a loss on resale of the home in a depressed economy.

Isential asserts that such an assurance will result in the sale of more homes by builders as it will increase buyer confidence. The product is available nationwide.

This product should not be confused with home owners warranty insurance which protects the home owner against construction defects.

Source: Isential, Inc.; http://www.insential.com/

I came across an excellent article that provides new information on the depth of this crisis. However, I believe that the damage estimates on a per house basis may be too low.

“We know that some of the builders are estimating that a minimum remediation will cost at least $75,000 per home with an approximate square footage of 2,000. The cost will go up from there based on square footage and the adequacy of the remediation being suggest.”

“Some observers see this base estimate as extremely conservative, and do not rule out the possibility that a figure twice as big may emerge over time. This possibility cannot be dismissed entirely given the fact that this estimate simply includes materials, fittings and certain items in the home. It does not include health care costs and other expenses incurred by the people living in the homes.”

Source: US Senators Call For Chinese Drywall Probe, Peter J Bown, http://www.atimes.com/atimes/China_Business/KF24Cb01.html