“A home warranty gives both parties peace of mind,” said Fran Broude, president and COO of Coldwell Banker Residential Brokerage. “Our home warranty at Coldwell Banker protects the seller while the home is listed and provides protection for the buyer after the transaction is complete. This guarantee makes the home more attractive to prospective buyers.” Here are several things sellers should consider when it comes to investing in a home warranty:
- Check out pre-sale coverage. Make sure that the home warranty service you’re investing in covers the home while it’s listed. For a few hundred dollars, it means that any mechanical failures you experience while the home is on the market are not out-of-pocket expenses. This is especially helpful if you plan to move out of your home before it sells.
- Understand what is covered. Review a full list of all that’s included in the home warranty. You may need to consider optional coverage for an in-ground pool or well pump.
- Know the deductible. As with any insurance policy, be aware of the deductible you’ll have to pay for repair requests. The dollar figure may vary depending on the size of the claim.
- Read the fine print. You don’t want any surprises. Check to see if there are any restrictions, like how many claims you can make in a certain time period. You’ll also want to ask the provider who will do the repair work. Find out if there is a network of repair people or if you can select your own contractor.
