A Home Warranty is a service agreement that offers valuable protection on the properties major mechanical systems, and all appliances including; heating, water heater, plumbing, electrical, central air conditioning, or evaporative cooler, garage door opener, garbage disposal, doorbell, and more!

It doesn't matter whether the home, condominium, town house, manufactured home, is two years old or thirty. It doesn't matter as far as coverage is concerned, as long the covered items are in good working order at the start of the contract.

Home Warranties do not cover any pre-existing conditions such as plumbing, heating, air conditioning, ventilation, or electrical code violations. Nor do they cover items that are in need of repair prior to the issuance of the warranty service agreement, and they do not cover structural conditions.

Warranties are an added benefit offered by your real estate broker and a cost effective way to protect your major systems and all appliances. Plus your hot tub and pool.

Typical Home Warranty Coverage:

Plumbing, and Clogged Drains

Electrical

Water Heater

Furnace or Boiler System

Dishwasher

Stove, Oven, and Cook Top

Built-in Microwave Oven

Refrigerator

Garbage Disposal, Trash Compactor

Exhaust Fans

Air Conditioner

Garage Door Opener

Built In Sump Pump

Heating Ductwork

Door Bell

Additional Coverage

Roof leaks

Hot Tub

Pool

Well

Septic Tank

Typically a warranty service contract is for 1 Year or 12 Months and is renewable.

Home Warranty FAQ

How Much Does A Home Warranty Cost?

Cost varies, but a standard policy is typically $350 to $450.

Keep the following points in mind:

Which items are included in the standard coverage?

Which items must be added on as separate policies? How much extra will it cost to add them?

What's the co-payment? This is the amount you'll pay when a repair person comes out to fix a failed system. Similar to a health insurance co-payment, it generally covers the entire cost of the repair. Co-payments vary but are often in the range of $100 per visit.

Has the warranty company been around long enough to show you a good track record for customer service?

How Does A Home Warranty Benefit Sellers?

A warranty makes your home more attractive to potential buyers, especially if appliances and other items are aged. If two homes are equally attractive to a buyer the one that offers a home warranty might come out the winner.

Buyers shouldn't come knocking on your door after closing if something fails, but that doesn't mean they won't, especially if they feel you didn't disclose a defective item. Providing a warranty offers a little peace of mind.

The price of a home warranty is minimal, and since the policy can be paid for at closing you're not out any cash until the home sells.

How Does A Home Warranty Benefit Buyers?

You may be somewhat cash-shy after coming up with the funds required for closing. All you need is to replace the refrigerator two months later.

There are no rules that state who must pay for a home warranty. A seller can offer it as part of a marketing package. A buyer can purchase it or ask the seller to pay for the policy. Both parties can agree to share in the cost at closing.