A home warranty is a service contract that is renewable for the protection of your home’s major systems as well as your appliances. A home warranty can cover the seller, the buyer and even as a current homeowner.

The benefit to having a home warranty on your home is simple. If a system or appliance that is covered by the home warranty fails, the company will repair it, if it’s something that can’t be repaired then it will be replaced. Having a home warranty can help with the budgeting of home expenses. When your covered appliances or system fails such as your HVAC system a technician with the warranty company will arrange a time with you to come to your home and determine whether the issue can be repaired or will have to be replaced. Depending on which home warranty company your policy is through will determine the cost of the service fee call. The service fee may not be the only fee you will be responsible for. The warranty may only cover items listed as covered by the terms of your contract. Additional cost may be due to modifications or code upgrades when a system or appliance is replaced.

When buying a home, the seller will sometimes purchase a home warranty for the person purchasing their home. Remember no matter who purchases the home warranty it is up to you to understand the items that are covered in the home warranty contract. With most home warranty companies, you can purchase additional coverage for things such as pools, spas and septic tanks/plumbing systems to name a few.  You can also upgrade your basic coverage for additional fees as well.

There are several different home warranty companies across the nation and in your area, to find the one that would best suit you it’s a good idea to talk to your Realtor. If you already own your home and are wanting to purchase a home warranty, there are reviews online or you can reach out to a company sales representative to become better informed on their coverage.