How A Home Warranty Can Save You Thousands

If you’ve purchased a home or are on the market for one, someone will mention the need for a home warranty policy. The big questions though are what they cover and whether or actually not you need one. We’re here to help you decide the answers to these questions.

What Is a Home Warranty?

What Is a Home Warranty?

A home warranty is essentially an insurance policy that covers your home. This policy is not to be confused with homeowners insurance, which covers damages or losses to your entire home or possessions (think fire, flood, and the like).

The Best Home Warranty Options

There are several home warranty companies on the market. They all have different reputations and provide various advantages. Some of the most popular ones in the US include: – Best Overall: American Home Shield – Best Basic Plan: Choice Home Warranty – Best Value: Select Home Warranty – Most Responsive: Liberty Home Guard – Best for Customization: AFC Home Club – Best Appliance Coverage: First American Home Warranty – Best Additional Perks: Cinch Home Services

Things to Consider When Reviewing Home Warranty Company Options

If you’re interested in purchasing a home warranty be sure to ask the following questions: – What does the home warranty cover? Look into which specific problems the policy includes. – How much is the cost of premiums? – What is not covered, or what are the exceptions listed in the policy?

A plan purchased when you first buy a new home can be beneficial because it can provide a buffer to fixing common problems that may arise, especially in that first year when you’re adjusting to new appliances and a new environment.

Pros of Having a Home Warranty Plan

First, most warranties are strict in what they cover. If a warranty doesn’t cover the problem that needs fixing or doesn’t cover the total cost, then you are also paying out of pocket for someone else to resolve the issue on top of the premium. Plus, you still pay inspection fees when you have to call a pro for a home visit to see if the issue is covered by the home warranty.

Cons to Home Warranty Protection

Home Warranties In Summary

A home warranty may not be the best choice for everyone. It’s a personal decision that should hinge on the kind of home you are purchasing and your financial situation.

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