A home is the single largest investment that most people will ever make in their life, and the last thing that any new home owner wants to deal with is a costly repair or replacement of expensive or aging systems. This can be equally stressful for existing homeowners because they will eventually encounter the need to repair or replace their appliances and home systems such as their air conditioning unit, heating unit, or refrigerator in the future. And when that time comes, we don’t want to spend a lot of money buying a brand new item, I know I do not! The good thing is that there are home warranties available.
So, what are Home Warranties?
The standard home warranty is a one-year service that protects a resale home buyer or current homeowner against the cost of unexpected repairs or replacement of major systems and appliances that break down due to normal usage. It provides repair or replacement coverage for issues on major systems and appliances. It can help homeowners have a peace of mind in managing their unexpected repair and replacement costs. It also provides protection and savings for sellers during the listing period and for buyers after the sale of a home. Both buyers and sellers should purchase a home warranty simply because warranty holders benefit from significant discounts on the cost to repair or replace name-brand system or appliances and can conveniently place claims and renew their warranty online at any time.
What is the COVERAGE of home warranties?
Although some of these home warranties are limited on some items, they can be very helpful when a buyer encounters issues moving into their home. The coverage of home warranties may differ from each home warranty provider but typically for buyers, coverage begins at closing or when the house title is transferred and payment is received, while for existing homeowners, coverage is effective around 30 days after receipt of funds.
A home warranty provider will diagnose and repair or replace a covered item. Simple repairs will be made typically during the first appointment, while in some cases, parts may be needed to be ordered and additional visits may be needed to complete the repair or replacement. They may cover system or appliance regardless of age, provided, it is in a safe and working order before the start of your contract. So these warranties can definitely be helpful and they usually just require a service charge of them.
The other thing that a lot of home buyers don’t realize is that they usually can negotiate to have the seller pay for the cost of a home warranty to ensure that your new home is covered in case issue arise.
A home warranty is definitely something that can benefit you in the long run so if you do have any questions or you want to learn more about how they cover or what items the home warranty providers cover specifically, feel free to reach out. I do have information on different companies and what they cover that can be helpful for any soon to be homeowner!