What are Home Warranties and How Do They Work?
Home warranties are contracts between you, the homeowner, and a third-party provider that cover your home's major systems and appliances in case of breakdowns or damage. These warranties can provide peace of mind and financial protection against costly repairs and replacements.
- Vaulting systems
- Plumbing and gas fixtures
- Electrical systems
- Appliances (e.g., refrigerators, ovens)
Why Home Warranties Make Sense for Homeowners
Home warranties can save you money and time in the long run. By covering your home's major systems, you can avoid costly repairs and replacements, which can add up quickly. Additionally, having a warranty can provide peace of mind, knowing that you're protected against unexpected expenses.
Some potential benefits include:
- $500-$2,000 in annual savings
- Reduced stress and anxiety
- Increased property value
- Extended warranty periods (typically 1-5 years)