If an appliance goes out in your home, most likely it’s going to be a costly repair that can really take a toll on your pocketbook. There are many people that rely on home warranties to repair their appliances. Home warranties are service contracts that are designed to cover appliances and other items that can break within the home. However, the question is – are home warranties worth it?
It’s important to understand the difference between a home warranty and home insurance. A home warranty typically covers repair and replacement costs for appliances – with a service fee. Home insurance covers appliances, but normally won’t cover them unless damage occurs to the house – for example, a fire, flood or theft.
The Pros – For sellers, home warranties that are included on a home they are selling can be a big bonus. According to a recent survey by a large home warranty provider, homes that come with a warranty sell 11 days quicker and make an average of $2,300 more that those that do not. Buyers can have the reassurance that their appliances are covered and possibly save up to thousands of dollars.
The Cons – Many consumer reports argue that home warranties aren’t worth the cost – $400 to $600 a year. One complaint is that many claims are denied because they are determined to be pre-existing conditions. Claims are also denied because the appliance hasn’t been maintained properly. Other problems include no coverage on more expensive items like leaky roofs or basement moisture and extra charges for things like plumbing and heating.
If you’re ready to purchase a home warranty, here are some tips to consider:
United Country Real Estate is the nation’s leader when it comes to lifestyle real estate. We have professionals coast-to-coast ready to assist you buy or sell your next home or property. Visit www.UnitedCountry.com to start browsing thousands of listings nationwide.
Real estate is a key component in determining someone’s wealth. In the same instance, it is normally considered a solid investment. Before making the decision to invest and/or own your
As the leader in all types of lifestyle properties since 1925, United Country Real Estate has always been at the forefront of innovative real estate marketing. From the industry’s first