Home warranty - Offers protection for mechanical systems and attached appliances against unexpected repairs not covered by homeowners insurance; ,overage extends over a specific time period and does not cover the homes structure.
If there is anything questionable about a home you are thinking of buying you may want to get a home inspection and ask the sellers to pay for the home warranty. A Home Inspection is different than an appraisal, it will provide you with a report about all the systems in your home.
There is normally a small deductable associated with a claim. It is usally under $100, even with the small deductable home warranties are still a great way to help protect your home and your wallet against normal wear and tear.
It is customary in many areas of the country for the seller to pay for the first year's coverage of the Home Warranty. It is not a bad idea whenever making an offer on a home to ask for this. If you are working with a good real estate agent they will most likely include the first year Home Warranty coverage automatically in the offer.
If you are purchasing a home warranty on your own shop around for the one that would fit your needs and your house specifically. If there is a concern over a particular item in the home you are going to buy you might want to add that coverage for that item.
Some realty companies will offer a free home warranty as an incentive to buy a house. The home warranty will be free to the buyer and will cover the cost of repairs. If you are buying a brand newly constructed house the home should have a home warranty that comes with the house and most everything should be covered for differrent periods of time. Consult with the builder or the real estate agent to see exactly what is covered and for how long. There should be very minimal to no repair work to do in a newly constructed home.
If something does go wrong be sure to let your warranty company know right away. Time is of the essence when dealing with any of these companies.
Check with the warranty company as they will most likely have a checklist of tips that you can follow at the specified times such as when to close registers, how to clean a garbage disposal, what to check for if you are experiencing problems with a water heater or air conditioning unit and countless other handy tips.
Often times they are included with the sale of a new home as an incentive. When they expire most can be renewed for under $500.
These policies cover a wide range of standard systems:
Heating / Air Conditioning
As well as additional systems:
Pool and Spa equipment
Burglar & Fire systems
Ceiling & exhaust fans
Garage door systems
Do I need a home warranty? - A home warranty protects homeowners against unexpected repairs of major systems and appliances in the home that could be otherwise costly to the homeowner.
One factor in deciding whether or not to purchase a warranty, is your ability to handle unexpected repairs. If you have a decent savings account, or have enough disposable income to handle costly repairs you may not need a warranty. If on the other hand, money is very tight and you are not able to handle unexpected bills than it may be a good idea to consider a warranty.
Most warranty plans will more than likely pay for themselves when a homeowner carefully implements the correct use of the warranty. For instance, some warranties will replace or reimburse a portion of any cost of a broken appliance despite the age of the appliance.
Here are two good options for getting a home warranty for free. One, when searching for a realtor to help with your purchase, ask if he or she will provide a home warranty on a home you buy through them. Many realtors will agree. Second, in your purchase offer, ask the seller to pay for a home warranty. Many sellers realize their appliances, roof, heating and cooling systems are a few years old and a possible concern for buyers.
If you have a new home built or by a new construction usually there is a home warranty that comes with the home. You should make sure you check to see how long the warranty is good for and what is covered in the warranty.