Frame the question any way you’d like - as a Realtor, my answer will always be the same when it comes to a home warranty…YES YES YES and YES!!!! IMHO, a home warranty is an inexpensive option that adds immeasurable value to both buyers and sellers in a real estate transaction!
A home warranty is a service plan that is designed to protect homeowners in the event of a major mechanical or appliance failure. Oftentimes, a home warranty can be leveraged to help both sides protect their interests in negotiations. When purchased in conjunction with a home sale, a one-year home warranty typically costs between $500 - $750. Most often, the cost of the warranty is factored into the closing statement and charged as a debit to the purchasing party at closing. For a relatively minor investment, a home warranty offers countless benefits to buyers and sellers, including::
1. Financial Protection. Home repairs can be incredibly expensive - especially if they involve major appliances or systems such as your HVAC or plumbing. With a home warranty in place, you only have to pay a service fee for each repair ($75-$150), rather than the full cost of the repair. This can add up to significant savings over time.
2. Convenience. Dealing with home repairs can be time-consuming. A home warranty simplifies the process with a one-stop solution. Just a call or a few clicks, and you’re on your way to a hassle-free fix.
3. Wide Coverage. Most plans offer a wide array of coverage - from a faulty HVAC system to a leaky pipe or a misbehaving dishwasher. A home warranty builds in coverage for most major household systems and appliances.
4. Professional Service Providers. Worried about finding the right professional for your repairs? No need to stress. Home warranty companies partner with skilled service providers. These vendors have already been vetted, so you can rest assured your issues will be resolved by experts.
5. Peace of Mind. Peace of mind is an invaluable force that can swing the needle one way or the other when it comes to large purchase decisions (like buying a house!). Home warranties can boost your property’s appeal. When it’s time to sell, having a home warranty in place reassures potential buyers, making your home a more attractive option. And most warranties include seller coverage during the time the home is listed, so everybody wins!
In summary, the home warranty is the unsung hero of the home sale! It can be the key to peaceful and worry-free homeownership, and pave the way for a smoother real estate transaction. Overall, the home warranty is a no-brainer that has earned a resounding 2 thumbs up from this Realtor.