As a buyer, whenever you purchase some expensive items like a refrigerator or car, you always expect to receive some warranty that the manufacturer would repair or replace that product in case of break down. So, it can be said that the warranty really makes sense for the big ticket purchases. But what happens when it comes to buying a home?
The home warranties are really common with a number of realtors and builders while it comes to selling homes. These are designed to cover the homeowners from the requirement of paying some large repair bills within the stipulated timeframe of warranty period. These warranties successfully cover things like electrical, plumbing, HVAC and also different types of in-built appliances. Generally, the cost of this policy is included in the home price.
These days, the majority of the buyers choose to buy a home warranty as this type of warranty successfully covers up to 10 years of structural defects and one year on the items like paint and wall and two years on HVAC, electrical and plumbing systems. Here the appliances are covered for six months.
The home warranty on the existing homes can also be purchased and mainly paid by the real estate agent or seller to facilitate the home sale. The home warranty policy mainly comes here with the validity of a year. Occasionally, the home buyer can choose to buy a policy from first American home warranty, like in case of purchasing foreclosures.
But before you invest in home warranty, you must understand all the limits to which this coverage can protect you. According to the home warranty it assures to keep some of the items functional. But it never assures the homeowners to offer new furnaces or appliances.
Though it feels really comfortable to learn how the repairs are covered, but at the same time, this type of warranty can restrict the contractors, who used to do the repair job for your home appliances or systems. So, the home warranty would be the most beneficial thing for those people, who are planning to purchase old homes.
But as a whole, it can be said that even in case you choose to purchase home warranties, always make it sure that you work with only reputable companies with long standing record of operating in your area. And last but not the least, make sure you do a comparison shop before making the final choice.