If you’ve just purchased a home, or are considering doing so, then you’re probably wondering if a home warranty is worth the investment. After all, homeowners insurance is required by most lenders, so why not go with the same company for both?
And while it’s true that a home warranty and homeowners insurance are two different things, there are some definite benefits to having a home warranty in addition to your regular insurance policy. Here’s a look at just a few of those benefits:
A home warranty can save you money on repairs
As a homeowner, you are responsible for maintaining your home and keeping it in good condition. However, no matter how well you take care of your home, there will always be the chance that something will break down or need repair. When this happens, it can be incredibly expensive to get the problem fixed – especially if it’s something major like your furnace or air conditioner.
This is where a home warranty comes in. A home warranty is basically an insurance policy that covers the cost of repairs for certain appliances and systems in your home. It is also a smart investment, considering the average costs for a home warranty are only a fraction of the costs you can incur for the repair of home systems and appliances. So, if your furnace breaks down, for example, your home warranty will cover the cost of repairing or replacing it.
While you may think that you don’t need a home warranty because you’re a good homeowner who takes care of their home, the truth is that even the best homeowners can’t predict when something will break. And, when something does break, it’s always nice to have some coverage to fall back on.
Your regular homeowners’ insurance policy will likely only cover the cost of repairs if they’re due to an unforeseen event, like a fire or severe weather damage. But what about those everyday repairs that are just a normal part of owning a home? That’s where a home warranty comes in.
Most home warranty companies will cover the cost of repairs for items like your HVAC system, water heater, and major appliances. So if your refrigerator breaks down or your furnace needs to be replaced, you won’t have to pay a dime out of pocket.
A home warranty can give you peace of mind
With a home warranty, you have a service contract that covers the repair or replacement of major home system components and appliances. Warranties are usually offered for a one-year term, although some companies offer multi-year plans.
As mentioned earlier, your homeowners’ insurance policy only covers damage from events like fire or severe weather, and it generally doesn’t cover the costs of repairing or replacing things like your water heater or air conditioner. That’s where a home warranty comes in.
Coverage under a home warranty varies depending on the plan you choose, but most plans cover major systems and appliances, including:
- Heating and air conditioning
- Water heaters
- Electrical systems
- Plumbing systems
- Refrigerators/freezers
- Ovens/stoves
- Washers/dryers Dishwashers
Some companies also offer coverage for things like pools, spas, and other outdoor features. Be sure to read the fine print of your contract carefully, so you know exactly what’s covered.
Owning a home can be expensive, and unexpected repairs can really put a dent in your budget. But with a home warranty in place, you’ll know that those unexpected repairs won’t break the bank. So you can rest easy knowing that your home is protected, no matter what happens.
A home warranty can save you time
It is not uncommon for appliances and systems in your home to break down, especially as they age. When this happens, it can be a major headache trying to find a qualified repair person who can come out and fix the problem quickly and without charging an arm and a leg. This is where having a home warranty comes in handy.
A home warranty is a service contract that helps cover the cost of repairing or replacing certain items in your home, such as your refrigerator, oven, dishwasher, washer and dryer, heating and cooling system, etc. Most home warranties will also cover things like plumbing and electrical systems.
When something breaks down, you simply call the home warranty company, and they will dispatch a qualified repair technician to your home to take care of the problem. The technician will either repair the item or, if it cannot be repaired, replace it with a new one.
There is usually a small service fee for each call you make to the home warranty company, but this is typically much less than what you would pay for the repair or replacement out-of-pocket. In addition, most home warranty companies have a network of pre-screened and qualified contractors that they work with, so you can be sure that you are getting quality service.
A home warranty is an investment in your home
Your home is one of the most important investments you’ll ever make. So it only makes sense to protect that investment with a home warranty. A home warranty is a service contract that covers the cost of repairing or replacing major systems and appliances in your home, like your HVAC system, water heater, washer and dryer, oven, stove, dishwasher, etc.
A home warranty can save you thousands of dollars in repair or replacement costs over the life of the contract. And, if something does go wrong with one of your covered items, all you have to do is call your home warranty company, and they’ll send a qualified technician out to fix it. It’s that simple!
There are many different home warranty companies to choose from, so be sure to do your research before selecting one. Be sure to read the fine print and understand exactly what is and is not covered under the contract.
A home warranty can be a selling point
If you ever decide to sell your home, having a home warranty in place can be a big selling point. Buyers will know that they won’t have to worry about repairs for at least the first year (or two) of ownership, and that can be a very appealing perk.
As you can see, there are many good reasons to invest in a home warranty. So if you’re thinking about purchasing one, be sure to keep these benefits in mind. A home warranty is definitely worth the investment and can provide you with peace of mind, savings, and protection.
