Home Warranty

A Home Warranty company provides insurance against broken items in the home after closing.  Buyers can buy a home warranty at closing.  Sellers can also buy a home warranty for the Buyer as an incentive toward purchasing the home.

Home Warranty Coverages

Home Warranty companies offer different services and different coverages.  Some of the typical items to look for in the plan you are selecting are all appliances including refrigerator, washer and dryer as well as pool pump and equipment.  The cost of plans often are related to which items are includes and the age of the home.

Home Warranty Claim Process

Buyers are usually required to have an inspection of the property before closing.  The covered items are expected to be in working order to receive insurance coverage. Air conditioning units should have clean coils and be serviced on a regular basis.   There are various reasonable requirements which companies require.  Typically, if an item breaks, the buyer will call a 1-800 phone number and ask for help.  The company will send a repair person to repair the broken item.  Most companies will charge a service fee, but they will not charge for parts or total replacement of the broken item with the exception of air conditioning units. Most air conditioning replacements cover the cost of parts or the unit, but do not cover the cost of the refrigerant used to cool the lines.

Why a Home Warranty?

Warranties can be a good idea.  Older homes or homes with older appliances and air conditioning units can benefit from these plans.  Buyers don’t want to close on a home and be overwhelmed with numerous broken items due to deterioration.  Costs for multiple broken items can add up. Imagine the cost of replacing an air conditioning unit, hot water heater, and refrigerator in the same month.  While there are no guarantees that items will break during the one year period, the security they provide often help a buyer feel more secure about a purchase.

Looking to Purchase Home Warranty

We recommend American Home Shield as a home warranty. During your purchase process, let us know that you are interested in a warranty.  We will order the warranty.  Payment will be part of the closing.

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