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The Role of The
home WaRRanTy

pricey, too!) and that coverage for
the new owner will commence one
year from the closing date.

While you’re shopping for a new
home, you may see a lot of ads that
mention a home warranty. If you’re
putting your home on the market,
your real estate professional may
suggest offering a home warranty
as a peace of mind for the eventual
buyer. Here’s what you should
know about these policies.

What are they?
Home warranties start where your
homeowners policy ends. Your
policy may cover a roof leak, but
not a leaky air conditioner drain. It
may cover storm damage, but not a
blown fridge. However, Consumer
Reports warns that these service
contracts often have wording that
makes it easy for a company to
wiggle out of making repairs. Your
mileage may vary.

Warranties for
home Buyers
Buying a house is expensive and

the last thing you want to do is

Visit:
azdailysun.com/homes
for your next home.

self-insurance
Once your warranty lapses,
Consumer Reports urges you to
compare costs. Make a list of what’s
covered and what’s not, and see if
you might be better off saving the
money you’re paying for a warranty
against future repairs. That way,
worry about a broken hot water
heater a week after you move in.
If your home came with a home
warranty, this could be covered.
You should always read the fine
print, and remember that most
policies have coverage limitations;
your hot water heater may be
covered, but when your air
conditioner goes out in six months,
you might be on your own.
If you’re buying new construction,
remember that the builder and
manufacturers’ warranties may also
apply. Seek help there before going
to your home warranty company.

Warranties for
home sellers
Home warranties get the most
interest for first-time buyers, the
home services website Angie’s List
says. These buyers aren’t as used
to the trials and tribulations that
come with home ownership, and
the warranty offers them peace
of mind. If your home is in the
price range that interests firsttime buyers in your area, it may be
worth the extra $300 or so to buy
a warranty. Make sure your new
policy covers the home while it’s on
the market (selling a home can be

you know exactly what kind of
coverage to expect.
You may also strike a compromise
by getting a warranty tailored to
specific appliances or systems, such
as just the plumbing or just the
HVAC. But be sure to make yourself
aware of specific instances when
your warranty won’t apply and take
into account any deductibles the
warranty may require.
Also know for sure whether the
warranty will repair or replace
broken items and, if they will be
replaced, at what level.

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