Locks for the doors and windows, the best security systems, and proper lighting are essential for securing a home. There is one thing many new homeowners forget, and that is purchasing a home warranty. What is a home warranty, and what can homeowners expect in coverage?
What Is a Home Warranty?
Many people think a home warranty and homeowners insurance are the same, but this is untrue. Homeowners’ insurance policies cover major events such as fires, flooding, property crimes, and hail damage.
A home warranty covers discounted repair and replacement services for the major appliances in a home. There are multiple options for homeowners warranties, and learning about the selections will help homeowners choose wisely.
What Are the Benefits of Home Warranties?
There are many benefits to investing in a home warranty. Those planning on purchasing a home need to be aware of the advantages.
- Homeowners purchasing homes with used appliances will have greater peace of mind in knowing they are covered.
- Home warranties make it easier for homeowners to find the proper professionals to handle any repair issues.
- Having a home warranty alleviates the need for DIY approaches to appliance repair. Without the proper tools and training, homeowners can end up costing themselves more money.
- Home warranties go well beyond the confines of manufacturer warranties, helping homeowners protect their investments.
For most homeowners, the pros outweigh the negatives. Homeowners interested in purchasing home warranty coverage should learn as much as possible about the options.
What Is the Average Cost of a Home Warranty?
The cost of home warranties varies but usually requires an investment of a few hundred dollars a year. Homeowners can pay the entire amount upfront or in monthly installments, depending on their budget. The plan’s cost will depend on the size and type of home and whether the homeowner decides on basic or extended coverage.
Tips for Buying a Home Warranty
Deciding on getting a home warranty is only half the battle. The real trouble comes when homeowners attempt to choose the right one. Below, homeowners will find tips to help them get started.
- First, homeowners need to determine their needs. Think about the home. Does it have older appliances? Are there active manufacturer’s warranties? These are things to consider when selecting a home warranty.
- Homeowners should contact more than one home warranty company before purchasing coverage. Comparing at least three companies will help individuals select the right one to meet their coverage needs.
- Understand the policy’s coverage and exclusions. Homeowners should ensure they read the fine print. Knowing about the exclusions in coverage helps homeowners understand what to expect with the warranty coverage.
Do You Need a Home Warranty?
To determine the need for a home warranty, owners must consider the age and condition of their home’s major appliances. Home warranties help homeowners repair or replace broken-down appliances, but there will always be limits. Home warranties have exclusions and will not cover wear and tear or any cosmetic concerns.
Home warranty coverage offers great peace of mind to new homeowners who may be concerned about the viability of their appliances. To avoid making mistakes when purchasing home warranty coverage, homeowners must read the terms and conditions and understand them fully. Careful research helps homeowners select the right warranty coverage for their homes.