What is a Home Warranty?
A home warranty is a home service contract that will cover the repair or replacement of various systems and appliances in your home. If an appliance breaks or if you have a plumbing issue, you call the home warranty company and the company will send out one of its contracted home service providers to evaluate and fix the problem. If it is a covered appliance damaged from normal wear and tear, the home warranty company will pay the repair or replacement of the item.
So if you bought and own a home, you can expect some costs besides your monthly mortgage payments. Unlike most renters, homeowners are responsible for all the maintenance and repair costs associated with their home. If you have a home that has older appliances, you can expect some of these appliances to break down at some point.
Home warranties exist to cover these items. Some companies that sell home warranties advertise that they will repair or replace broken appliances and systems (like HVAC). So one way to ensure that its systems and appliances are taken care of is by investing in a home warranty. The benefits of a home warranty are the peace of mind. If something breaks, you know that a professional will come out and fix it, no questions asked. For this reason, a home warranty is a good choice for those who are not very handy. It can also be beneficial to new homeowners, and in particular first-timers, who may not be as familiar with how their new home’s systems work.
What Does a Home Warranty Cover?
Home warranty programs generally cover electrical, plumbing, HVAC systems, and home appliances. Common home appliances that would be covered include the washer, dryer, oven, stove, and garbage disposal. You can sometimes purchase additional coverage for other parts of your home, such as your swimming pool.
A home warranty may save you money, depending on what kind of repairs you end up needing. Having a home warranty can make you feel more secure in your home purchase, especially if you’re buying an older home with older appliances and HVAC units. For some homeowners, this is enough of a reason to invest in a home warranty.
What is the best home warranty company?
The best home warranty is one that provides affordable coverage with fast service.