Home Warranties are Great for First Time Home Buyers

In December of 2007 I purchased my first house, which was also a foreclosure.  Per the advice of my Realtor, Brenda Richterkessing, I purchased a home warranty which was paid for by the seller at closing.  Since the property was a foreclosure and had some older home systems (outdoor AC unit, furnace, refridgerator, and a few others) the home warranty made a lot of sense to purchase.  In addition, I had limited funds after making this major purchase.  If I were to have an unpredicted major expense to repair or replace something I would be up a creek!  The Old Republic Home Warranty that I have on my home systems, appliances, and swimming pool have saved me from numerous financial crisises.

Home warranties help you budget for the repair and replacement of major home systems and appliances.  Most home warranties will cover Plumbng, Electrical, HVAC systems and kitchen appliances.  In addition, many hom warranty companies provide optional coverage choices that can be purchased to “custom fit” the Plan to the unique needs of your home.  This means that you could also include your swimming pool or roof in the plan as well!

There are many home warranty companies to choose from…I recommend using either Old Republic Home Warranty or American Homeshield Home Warranty.  Most home warranty company’s offer a basic/standard plan that typically ranges from $350 to $500 per year with a fee per service call between $55-$75. 

Here’s how a home warranty works:

• You pay an annual rate to cover your home’s systems and appliances (renewable each year)
• You can opt to have additional coverage to “custom fit” the plan to your home
• The plan you choose will determine the deductible that you will pay each time a service technician comes to your property
• When a home system or appliance needs to be repaired or replaced you contact the home warranty company and inform them of the problem
• The home warranty company will provide you with the contact information of a preferred vendor that will contact you to setup an appointment
• The service technician will usually be out to your house within 24-48hrs.
• If needed repair or replacement is covered by your plan, then you pay your deductible ammount and the home warranty covers the remaining balance
• If needed repair or replacement is not covered by your plan, you pay the deductible ammount and have the option of paying the technician out of pocket o resolve the problem

In an eight month period I have used my home warranty plan a total of five times and only one issue was not covered under my plan.  As a result of my plan the following reapirs have been covered:  kitchen faucet replaced, garage door opener sensors replaced, outdoor condensing unit (AC) replaced, and a new AC fan motor installed.  (To date I have saved thousands all as a result of having a home warranty)

I strongly urge anyone to purchase a home warranty and renew it every year…at the very least, look into what the cost would be for a plan that fits your needs.  A home warranty plan is great for the first time home buyer, older homes, investment homes, or rental homes.  I have avoided situations of extreme stress as a result of having a home warranty plan…you could to!

Have you saved money by having a home warranty?  Tell us about it.

Glazer Design & Construction

Whether you are thinking about making changes to your home or business, or building something new, Glazer Design & Construction offers a wide-variety of construction services, designed to meet your every need.

Glazer Design & Construction has been serving the design, remodeling and construction needs of Metro Atlanta since 1995. We are proud to provide our clients with premium quality work at affordable prices, without sacrificing the integrity of the design or the materials that go into it.