When purchasing a new home, the new homeowners may find that they are receiving offers in the mail for something called a home warranty. A home warranty covers appliances and systems in a home like a warranty that someone would buy for a new phone or computer. Many homeowners are on the fence about if they should buy one or not because they tend to be more helpful in some homes over others. Here are some of the different reasons homeowners choose to buy a home warranty.
The Home and Its Appliances Are Old
As electronics and appliances age, they have a tendency to break. And though new home technology may appear to never wear out or break, it can happen. Wires get old, screws come loose, motors stop working, and if these things happen, it can lead to no heat in the winter time, washing machines overflowing, or worse. Having a home warranty can cover a lot of the different home appliances that are at risk for breaking and thus offer the Leavenworth homeowner some peace of mind that they may not have otherwise. However, not all appliances are covered by every home warranty, so homeowners should make sure they’re getting the right warranty for their needs.
The Homeowner Doesn’t Have a Preferred Repair Company
For some people, one of the downsides regarding home warranties is that the homeowner isn’t allowed to choose who comes to do their repair. This is because upon calling the company who supplied the warranty, that company will then go to a list of approved repair companies that they work with and call each one until they find someone who is available to go fix the broken appliance. For a homeowner who can’t bare not to work with Jim from down the road, this can be a deal breaker. But for a homeowner who doesn’t care who does the repair, this can help speed up the process of finding an available repairman faster than working on their own.
The Homeowner Doesn’t Want to Pay For Repairs Out of Pocket
One of the most advantageous aspects of purchasing a home warranty is that the homeowner never actually has to pay for the repairs themselves. Instead, when a homeowner makes a service call for someone to come out and repair an appliance, the only thing the homeowner has to pay for is the service fee. The cost of the service fee will vary depending on company supplying the warranty, but all service fees will cost the same amount regardless of what breaks, so homeowners won’t have to worry about large fees for larger appliances.
The Home is Being Put Up for Sale
Homeowners typically don’t think to buy a home warranty when they’re trying to sell their home, but doing so can actually be quite helpful. In a competitive market, having a home warranty can help draw in buyers because they feel safer purchasing a home that is under warranty. Just a one year home warranty can cost around $350-600, but it can help the home sell as much as 16% faster than it would have without the warranty, and for 1% more money, meaning it has the potential to pay for itself.
Having a home warranty can be a good way for homeowners to get some peace of mind for themselves and protection for their home. However, home warranties aren’t perfect, and homeowner should research them thoroughly to find out the warranties cover and what they don’t to avoid frustration later on.