Buying a home is an involving process, especially for first time home buyers. After navigating through the murky waters of the real estate market and choosing the property that best resonates with the requirements you want to see in a house, you would expect to have no issues with the home after closing the sale. However, it is widely known that anything can go wrong in the home after you have bought it. There might be appliances and features in the home that may break down a few weeks after buying the home. It is in an effort to allay the fear of having to pay for repairs and replacements immediately after purchasing a home that home warranties were created.
What is a home warranty?
A home warranty is a home protection plan, an insurance plan that assures the prospective home buyer that in the event that any appliance breaks down or if there is a malfunction in the home, the costs of repair and replacement will be met by the company providing the home warranty. Many sellers of real estate properties have incorporated home warranties into their marketing strategies. They have come to understand that buyers are more likely to close a deal if they are assured of protection and cover in the event of a malfunction or breakage in the home.
In most situations, it is the seller of the home who foots the bill for the home warranty. This is due to the fact that if anything in the home is found to have malfunctioned in the new house, it is the seller who will have to deal with agitated residents. It is in an effort to get rid of these calls that the seller pays the cost of the home warranty. Therefore, when there is something in need of repair, all the new home owner has to do is call the home warranty company, without having to involve the seller.
What to look out for in home warranties
As a prospective home buyer, you should endeavor to ensure that the property you are considering has a home warranty attached to it. it is also important to make sure that the home warranty covers specific things that are likely to break once you move in. different home warranties cover different things in and around the house. It is therefore wise to know beforehand what is covered and what is not.
For instance, not all home warranties will reimburse the cost of repairing or replacing garage doors, refrigerators or washers. It is rare to find a home warranty plan that will cover outdoor items like sprinklers. Knowing these items beforehand will allow you to plan yourself accordingly, to prevent disagreements and quarrels with the seller and the real estate agent.
What can make your request to be denied by the home warranty company?
There are many things that can cause your requests for payment to be denied by the company covering your home warranty. Some of these reasons include: