When we show people a home, we are very thorough about asking questions to ensure you are getting the best value for your home-buying dollar. In addition, you will probably have a home inspector check your potential new home for existing issues or issues that may arise in the near future. Even with all this, though, you should consider getting a home warranty, either as the buyer or the seller, to get the peace of mind that you have either just sold or purchased a well-functioning home.

A home warranty protects the actual structures, systems and appliances in your home. It’s not a replacement for home owners insurance, which protects your home and your belongings in the event of a fire or other catastrophe. A home warranty is a good supplement to have just in case you have issues with your major appliances, systems or structure of your home that result from the natural breakdown of manmade materials over time. A home warranty typically costs a little up front with a small fee each time services are needed, but can potentially save you thousands on repairs over time. Inevitably, things in your home will break, and it’s good to have the reassurance a home warranty can provide.

Not all home warranties are created equal. I highly recommend a 2-10 Home Buyers Warranty for my customers. A warranty from a company like 2-10 can help cover your repair costs on things like your HVAC system, plumbing, hot water heater, wiring, etc. You can purchase separate structural coverage which can cover things like foundation systems, beams, columns, load-bearing walls and more. You can also get additional coverage for items like pools, septic tanks, roof leaks, wells or extra refrigerators and freezers. Most policies last one year, but are renewable every year.

How can a warranty benefit a potential seller? Sometimes people selling their homes purchase a home warranty to protect their investment during the time their house is listed and as an added bonus for purchasers. Buyers who may have depleted their savings to purchase a new home won’t have any additional major expenses should repairs arise in the first year they own their home.

If you’re the buyer, you will probably want to keep your out-of-pocket expenses low, especially if you depleted some of your savings as a down payment on a home. You may want to consider purchasing a home warranty to ensure that you don’t have any major expenditures in your first year of home ownership.

Jacobson Realty and Home Staging provides expert advice when you are looking to buy or sell a home. If you have questions on the process, feel free to contact us. We’re here to help.