Reasons For Purchasing a Home Warranty

Reasons For Purchasing a Home Warranty

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Reasons For Purchasing a Home Warranty

What is a home warranty? It is a service contract covering a year, which helps protect the owners of homes from expenses on unexpected replacement and repairs on major home systems and appliances that break down which are not covered by a homeowner’s insurance.

Warranties have become more popular because they provide protection immediately after home purchase. This kind of warranty also covers structural and other defects of a new home or a resale. Some warranties may have specific exclusions and limits that make the policy difficult, unless the defect poses a threat to the safety of the family living in the house.

There are many reasons why purchasing a home warranty is a good idea:

1. For a seller, listing the home with warranty could be the concession that draws the buyer to the home rather than to one who do not have a home warranty.

2. It provides a seller provision to have coverage on their home during the sale period. This is a great benefit of a seller when unexpected breakdowns occur on warranted items.

3. For the homebuyer, it could mean an extra insurance to their home inspection. A knowledgeable buyer will understand that a seller providing a warranty prior to closing can offset mechanical surprises.

4. Home warranties go hand in hand with home inspections. It can lessen the probability of future stress to the homeowner.

5. It covers up to a year and is renewable. It covers some of the components of a home and you can get additional coverage for your water heaters, appliances, electrical, plumbing, pools, heating and air, wells and roofs.

A homeowner can save thousands of dollars by simply paying a small service fee in the event that something requires replacement or repair. Many insurance companies sell home warranties. When shopping for the best one for you, it is important to ask many questions including deductibles.

These days, the cost of living could cause enough worry without the added stress on unforeseen issues in a newly acquired home concerning breakdowns and mechanical problems. Investing in a home warranty is indeed one of the wisest decisions you will make regarding your real estate. When the plumbing or heating system fails, the cost can be quite staggering. When moving into a new home, nobody wants to face costly bills on sudden repair. This worry can be eliminated with a home warranty. When selling your home, you would want things to go smoothly in your transaction. A warranty could protect you and increase your chance of a successful sale. This will not only provide you peace of mind but will also make you feel good with the knowledge that you are providing the new home owner with maximum protection as well.

Make it a point to read the home warranty plan presented to you in order to assure that the items you wish to seek coverage are listed. The average cost of a home warranty ranges from $350 – $600 annually, depending on the coverage level. It is an affordable and a very good investment for both sellers and homebuyers.

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