Buying property is an expensive proposition... but maintaining it is going to require even more blood and sweat. However, thanks to a real estate home warranty, you can rest more easily with some peace of mind. A home warranty can minimize your repair and replacement costs to a great extent.
Home Insurance VS Home warranty
Many people often get confused about whether they should get home insurance or a home warranty. There is actually a wide degree of difference between the two. Home insurance provides security, in case of any natural disasters or mishaps (damage from fire, earthquake, or property crime), whereas a home warranty provides relief for the replacement or repairs of any household equipment, plumbing, or electrical problems.
Now, if you’ve made up your mind about getting a real estate home warranty, here are some basics you’ll need to know:
Who pays for a home warranty?
It solely depends on the customs of the locality whether the warranty is paid for by the buyer or the seller. Many real estate agencies will provide a home warranty as a closing gift to their customers - and many companies will provide packages to ensure your property’s warranty. You can start by running a Google search for local warranty companies, and then choose the one that fits perfectly your needs.
How do home warranties work?
You need to set up an account in your company, or ask your real estate agent to handle it for you. In case of any damage, be sure to make a call to your warranty provider and file a claim. Once you’ve filed it, they will then dispatch a technician to your house to assess and resolve the situation, if it does not require any further help. In the latter case, experts are contacted and a satisfactory solution will be provided according to your needs. It usually only takes a visit or two to fully restore the fault, saving you a lot of effort and hundreds of bucks!
What is the general coverage type that your company can provide?
Plans can vary from policy to policy, and from state to state; so before you hire a warranty provider, you need to ensure that their provided plans can match with the plan that you need. The following are the general coverage types that your company may provide:
- Kitchen appliances
- Electrical systems
- Duct repair
- Plumbing stoppages
- Temperature conditioning, etc.
What may not be included
Make sure to check the policies, in order to determine what is and what isn’t covered by your warranty provider. Some common types of coverage which may not be included are:
- Items that are broken before signing the contract
- Pools or spa
- Faucet repairs
- Outdoor items, etc.
A final thought:
Even though the benefits of a house warranty are pretty obvious, that still does not mean that you don’t have to worry about anything at all. You’ll still have to pay for service fees, tax fees, or any other part of the bill that is not included in your plan.
Now that you know the essentials about getting a home warranty, though, consider all the facts and decide whether you would like to purchase a warranty!
See: How To Get a Free Blanket Home Warranty