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A home warranty is one of the most effective ways to protect your home. They ensure your home systems and appliances can be affordably repaired or replaced when something goes wrong, and they often go beyond the scope of homeowner’s insurance. For those just beginning to investigate home warranties, however, the variety of available plans can be overwhelming.
In this article, we’ll demystify the home warranty space by reviewing three of the most common home warranty types: homeowners’ warranties, homebuyers’ warranties, and home sellers’ warranties.
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There is variation among homeowners’ warranties. Cheap home warranty plans may cover a limited number of items around the home. More comprehensive homeowners’ warranties can cover virtually everything, from kitchen appliances to plumbing to pools.
Homeowners’ warranties can also be tailored for different kinds of homes and circumstances. For example, a homeowner can purchase a manufactured home warranty for a mobile or modular home. A landlord can purchase a home warranty for rental property.
Liberty Home Guard can help you with the specifics. The bottom line is this: if you already own a home and want to protect your systems and appliances with a warranty, you want to purchase a homeowners’ warranty plan.
As its name suggests, a homebuyers’ warranty is a unique kind of warranty that is designed for people who are purchasing a new home. It relieves the worry of a major piece of home equipment failing shortly after closing on a home sale.
Important to note is that a homebuyers’ warranty can be dependent on the home inspection. Home inspectors may find defects with equipment in the home, or they may deem some equipment as likely to fail. In this circumstance, the warranty provider can invoke a home warranty pre existing condition clause. This means they can refuse coverage for a system or appliance that was found to be faulty before the warranty plan became active.
If you’re on the market for a homebuyers’ warranty, it’s important to take careful notes on your new home’s inspection. If there is a piece of equipment that will be difficult to cover under warranty, you should renegotiate with the home seller or realtor for a more favorable agreement.
Also remember that unlike a homeowners’ warranty, a homebuyers’ warranty cannot be purchased at any time. The window of availability varies from provider to provider, but most homebuyers’ warranties must be purchased within 1 to 3 months of buying a new home.
A home sellers’ warranty is designed for homeowners who are planning to sell their home in the near future. One of the primary benefits is homeowners can affordably repair or replace equipment with issues that only come to light during a home inspection.
A sellers’ warranty can also raise a home’s value and facilitate a sale because buyers have some assurance that any problems with the home will be promptly diagnosed and corrected. Some sellers’ warranties can even be transferred to the new owners of the home.
You may know by now the type of home warranty that’s best for you, but there’s still more to learn and consider. Check out our blog to learn more, or call (866)-396-5837 to speak with an expert at Liberty Home Guard. We’re here to talk you through the process so you can make an informed decision.
In this 2021 home warranty guide, we’ll go into the specifics of what our home warranty plans can cover. We’ll also share some information on how the home warranty process works.
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