Buying and selling a home is a very stressful experience. There are steps that can be taken to reduce the stress. One step sellers can take to offer home warranty along with the home’s sale. A home warranty protects the buyer from unexpected expensive repairs and replacements. At the same time, it protects the sellers and the real estate agent.
It protects the buyer
Buying home is one of the largest purchases you will make in your lifetime. You should make sure that you are getting a good deal. The home warranty gives peace of mind to the buyer. A home warranty covers appliances in your home, like air conditioning unit, oven or furnace. Appliances have a life span after which they start to wear and tear. The mechanical and electrical parts start failing. In this condition, it is costly to repair or replace them. For example, a new HVAC system would cost $5,230 on average. If you have a home warranty, it will cover the cost of maintenance of the systems and appliances in the house. Buyers should know what the home warranty covers and what it doesn’t cover.
It protects the seller
When a seller has home warranty offer included in the selling offer, real estate companies offer free listing most of the time. This free listing helps the seller to cover problems that are brought up by the inspection. If the seller doesn’t choose home warranty, the buyer may later request a much higher value of the home warranty. If you have a home warranty, your house will sell faster, and your selling price will increase. If a seller doesn’t provide a home warranty, buyers have a fear that something might go wrong.
It protects the real estate agent
A home warranty can protect a real estate agent. When selling a home, the real estate agent as Errors and Omissions Insurance that covers the agent if something goes wrong while selling your home. If home warranties are included, then you get discounts on the Errors and Omissions Insurance.
A home warranty provides an extra layer of protection for the buyer, seller and the real estate agent. It ensures that something is in place in case anything goes wrong.