What Is a Home Warranty? Peace of Mind for Home Buyers and Sellers
| Feb 10, 2017
Lots of things you buy come with a warranty in case they break down, from cars to smartphones. But what about homes? It turns out you can get a home warranty, too.
So what the heck is a home warranty, anyway? In a nutshell, it’s a policy you pay for that covers the cost of repairing many of your home appliances if they break down.
“Home warranties provide financial protection for homeowners who might be faced with unexpected problems with their appliances,” explains Shawna Bell of Landmark Home Warranty.
Many people buy a home warranty right when they close on a home, since such protections can provide some much-needed peace of mind that you won’t get hit with unexpected expenses soon after moving in. Imagine what a bummer it would be, after all, to wake up one morning to a broken boiler or leaking, malfunctioning fridge in your brand-new home. A home warranty can lessen those worries, which for many is worth every penny.
What does a home warranty cover?
Don’t mistake a home warranty for homeowners insurance, which covers your home’s structure and belongings in the event of a fire, storm, flood, or other accident. A home warranty, in comparison, will cover repairs and replacements on systems and appliances due to normal wear and tear—no calamities required.