Introduction to Home Warranties
A home warranty is a contract between you and your home's manufacturer that covers repairs and replacements for certain parts of your home. It can provide financial protection against costly damages or needed repairs, giving you peace of mind in the face of unexpected expenses.
Benefits for New Homeowners
- Protection against costly damage from natural disasters such as floods and fires
- Financial protection against unexpected repairs, reducing your financial burden
- Peace of mind knowing that you have a plan in place to cover potential repairs
Benefits for Older Homeowners or Those Living in Properties with High Maintenance Needs
Older homes may require more frequent maintenance, and older homeowners may not have the financial resources to replace or repair needed parts. A home warranty can provide relief by covering these costs.
Types of Home Warranties
- North American Standard (NAST) warranties: offer a standard level of coverage for many systems and components
- American Society of Mechanical Engineers (ASME) warranties: focus on equipment and machinery in commercial settings, but can be purchased by homeowners as well