Buying a home is a privilege not many can afford. Once you have it on your hands, the work isn’t over. It needs to be valued, loved, and above all else – protected. That’s what you’re going to do if you’re wise, at least.

What most people choose once they own a home is to get a home warranty. This is a great move for many, but at the same time, it might not be what everyone needs. It all depends on the circumstances. Having one might be ideal, but before you dedicate your money towards it, there are a few things you need to know.

The first thing you need to know is that you shouldn’t mix it up with home insurance. The latter is there in a case of a major catastrophe, in a case, your entire home suffers some major damage.

Warranty, on the other hand, is focused on expenses you might have if some part of your home, a device, or a system is in a need of repair. In some cases, warranties are quite affordable, but they might not be what you need at the moment. This is why we’re going to try and talk to you about the five things you should know before buying a home warranty. We are sure you’ll find our article useful, so please keep on reading.

1. They Come With Limited Options


So as we said, depending on the warranty you take on, they might not be covering some major flaws your home might have. While having one will make you feel safer, those who are the sellers of this service often try to work around everyone in an attempt to avoid payouts.

No, it is not a scam, they just do their due diligence on all matters, and are not quick on the trigger when they need to proceed under the agreement. Many people who end up buying a warranty also end up unsatisfied with the product they receive in the end.

There are limitations to what the home warranty can cover, and with their desire not to react to every need of the customer, it’s often recommended that you instead choose self-insurance, or simply have an emergency fund that should cover any additional expense you might have. Of course, an alternative could also be to hire full-pledged professionals at

2. Is It Expensive?

Of course, the price should be a major factor when you’re deciding to have this type of service tied to your expenses. The price may vary from a couple of hundred dollars to even a few thousand. In most instances, you need to pay in front or equal monthly installments all depending on the agreement you sign.

The things that generate the price include the size of the house, the number of appliances and systems it might have, and the age of the property. You should also know that most companies are going to charge you for their attendance on the field if they go to your home even if there’s nothing to repair.

So, even if you pay a premium price for your home warranty, there are no guarantees that it’s going to cover every repair you might need. So, save some money on the side just in case.

3. Which Contractors Are Hired under The Warranty


These days everything is about contacts and expertise. In order to have your home all tidy and neat, you might be in a need of a home warranty. But even if the company providing it looks secure and honest you’ll need to dig a little bit deeper.

When it comes to the end products, and we’re talking repairs you need to make sure that your warranty seller works with good contractors. They’re the ones that will come out on the intervention, and you need to know their qualifications and have faith that they’ll get the job done.

The things you need to know about the contractors are where they’re located, are their people available around the clock, and how quick are they to react to your call. These things matter in a case of an emergency. For example, if you’re having flooding, and a pipe needs to be sealed, but the contractor’s crew is slow to react, you might have your home ruined, and without proper insurance, you’ll be in quite a pinch.

4. Is The Focus on Repairs or Replacements?

Here we are talking about an important matter. Most people will oversee this issue, but they shouldn’t. when something is broken, it needs to be fixed. A common sense. But you need to see what your warranty says about it.

Sometimes something is broken beyond repair. In that case, it will need a replacement. What you should know is if the replacement fits in the bill you already have with your warranty seller or are you the one that needs to pay for it.

This could be a huge item in your budget and you ought to know where you stand on this matter. Little things like this might make a difference between a  smart move or a stupid one when it comes to signing a home warranty.

5. What Are the Benefits?


Above all else – a piece of mind. This is what is intended for a home warranty to provide to the homeowner. If you have a fear of expenses that can’t be predicted you’re better off with having a home warranty.

If you don’t have any savings on the side that could cover emergencies and you’re not adept at fixing things yourself (not that we’re recommending this), a warranty of any kind should be precisely what you need. A warranty can also come in handy when you’re selling the property.

You’ll have a list of things that were repaired or are new, or you’ll have nothing to show for as a testimony to the quality of the home’s built. In any case, it could do you a favor in the long run. With everything said above, you already have a clear picture if you need one, we’re sure.