It’s signed, sealed and delivered. The home of your dreams is now a reality and you’re ready to decorate, entertain, and nest. Then suddenly, the dream turns into a nightmare. The air conditioning unit crashes — right in the middle of the July swelter. When else?
So now, under duress, you’ve got to come up with the cash to pay for a new unit. But — had you opted to purchase a home warranty plan, or required the seller to include it in the final purchase agreement, you could have avoided that hassle altogether.
“A home warranty plan offers something for both the buyer and the seller,” says Maureen Myles, account executive of Home Warranty of America here in Phoenix. “Offering a warranty plan to a prospective buyer can incentivize the sale, and give the buyer peace of mind. That new homeowner can rest assured that if something does indeed fail or break during the first year of ownership, they make just one phone call, and the warranty company handles everything from there.”
I recommend purchasing a home warranty policy to my clients, and I can also help broker the process. It’s best to purchase one at the point of sale, but you can purchase one at any time for your existing home. Trust me — it saves you time, money, and headaches.
Frequently asked questions about home warranty plans
• How much does a plan typically cost and who pays? Plans range from $350 to $500 base coverage annually, depending. Be certain to ask for specifics about coverage — according to Myles, every company has different policies; Home Warranty of America for example, has varied policies that offer different types of coverage.
• What’s the process when something breaks? The homeowner places a call to the warranty company, who in turn sends out a preferred vendor to make a repair or replacement. Often the homeowner pays a small trade call fee, paid directly to the vendor.
• What is typically covered? Plans vary accordingly, so again, be certain to ask for specifics. However, appliances, electrical and ductwork, and A/C units are usually covered, while optional coverage may or may not be available for spas, pools, refrigerators, etc. Ask!
• Purchasing a new home means there are plenty of things to worry about. Don’t let the cost or hassle of potential repairs be one of them, and ask your Realtor about home warranty plans.
• Bonny Holland is with Keller Williams, Sonoran Living in Ahwatukee Foothills. Reach her at (602) 369-1085, www.leadingluxuryexperts.com or on Facebook and Twitter.