Home warranties: 3 things to consider
When it comes to protecting your home and what's inside of it, there aren't many things homeowners wouldn't do to ensure they're kept safe. Home insurance often provides a baseline of security (and is mandated by most lenders anyway). But the next, and more comprehensive form of protection, isn't as widely known.
Home insurance can help during emergencies and weather disasters. But what happens when the dishwasher breaks down or when the refrigerator stops cooling? These types of scenarios are more applicable for home warranties.
A home warranty can cover the repair costs of common household items and appliances. In some situations, it could also fully replace the faulty item. In short: home warranties help fill the protection gap left by traditional home insurance.
If you already don't have one, it's something every homeowner should contemplate getting. Not sure about pricing or if you're in the market for a home warranty? Find out today with a few quick and easy steps.
Home warranties, it should be noted, are not one-size-fits-all remedies. There are a series of considerations to account for with this unique personal financial protection.
Home warranty considerations
Consider these three items when trying to determine if a home warranty is right for you.
Age of appliances: If you have appliances that are new or a few months old, you may not need a home warranty. Brand new appliances often come with their own (limited) warranty anyway, so you're covered there. And if that introductory warranty has lapsed but the appliance is still early in its predicted lifespan you're probably safe.
If your appliances are old or prone to breaking, it may make sense to get home warranty protection before it's too late. This will help guarantee service that you'll likely need sooner than later. Just note that warranties often don't apply to pre-existing issues, just ones that arise in the future.
If you're worried about the future of your appliances, you may be a candidate for a home warranty. Check out what kind of protection you're eligible for today.
Your bank balance: What can you afford if something breaks? If you have a robust savings account readily available to be withdrawn from when things break or need to be replaced, then you may not benefit from a home warranty. Home warranties act as a hedge against future repairs and replacements. If you can afford to pay for those inevitable issues, then you may not benefit from a warranty.
But if money is tight — or you simply don't want to put yourself on the hook for what will eventually be big expenses — a home warranty makes sense. The cost you'll pay monthly (approximately $25-$100) will pale in comparison to the repair and replacement price you'll have to pay down the line.
It's probably worth keeping your peace of mind (and your bank account) intact by securing a home warranty in advance. You can easily put one in place now.
Your peace of mind: Household appliances break, need to be fixed and sometimes even need to be replaced. That's inevitable. But the stress of dealing with these predictable issues can be overwhelming. Think of how often you use appliances like your dishwasher, washer, dryer and refrigerator. Now, what happens when they're broken?
A home warranty shifts the stress of finding services and replacement companies off of your shoulders. Home warranty providers employ trained professionals readily available to step in to help you. They understand the issue and can fix it quickly while you focus on other things. While this sort of assurance may not be important to all homeowners, there is a select group who would benefit by shifting the responsibility to the warranty provider instead.
Just note: This is not an exhaustive list. There are other benefits that home warranties offer homeowners that are worthy of consideration while reviewing this option.
Still not sure if you would benefit from a home warranty? Speak to a provider to determine what's best for you and your home.
