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Home warranties Yes or No?

By
Real Estate Agent with United Country Westmark brokers LLC.

 

I think it is very important to get a home protection plan. It not only assures the buyers that they will have some

protection after the purchase of their new home, but it is also a perk. If you had the choice between two identical

houses for the same price and one house had a protection plan and one did not, what house would you choose?

In the slowing market we are all facing having a home warranty or home protection plan may be your best

chance in getting the listing sold. I have sold every home I've ever had a protection plan on. No expireds for

me! What are your thoughts on home warranties? I would love to hear your stories!

Show All Comments Sort:
Patricia Beck
RE/MAX Properties, Inc., ABR, GRI, SRES - Colorado Springs, CO
Colorado Springs Realty

Lisa I like the idea of home warranties but when you really look at what they cover, I don't think it's that much...I don't know, I'm kind of on the fence with this.

Jun 11, 2007 08:31 AM
ARDELL DellaLoggia
Better Properties Seattle - Kirkland, WA

Thbe price here for a home warranty is very low.  Like $255.  Clearly the buyer would buy the warranty if they wanted it vs. it being a difference between choosing between two houses.  Buy the house they want, and then buy the warranty if it is not the house offering it.

Clearly as a buyer's agent, I would never let someone choose a house based on warranty issues. As a seller's agent the warranty offers some protections against after closing problems.  All the way around, a warranty is almost always a good choice for all parties. 

Jun 11, 2007 09:04 AM
Frank Rubi
Frank Rubi Real Estate, LLC - Metairie, LA
FrankRubiRealEstate.com
I clearly stated in my blog that this is a yes. For everyone involved. Great Post.
Jun 11, 2007 09:24 AM
Donna Lueder
Integrity Group Inc. - Boise, ID
Meridian Idaho Real Estate

A home warranty is always the choice for my buyers or sellers. I always add them in my contracts.

Jun 11, 2007 09:42 AM
Debbie DiFonzo
Debbie DiFonzo - United Country VIP Realty, SW Missouri - Lebanon, MO
Lebanon MO and Buffalo Missouri Real Estate

I always suggest a home warranty be offered by my sellers and as Donna mentioned, add them to the contracts for my buyers.

There is a big difference between warranty companies and like anything else, I think you need to watch what is covered and what is not. One of my agents has a seller policy in effect. She's had her garage door opener replaced and her refrig fixed. $50 deductible each time and she hasn't yet paid for the warranty. Not a bad deal so far.

 

Jun 12, 2007 03:40 PM
Anna Biondolillo
Keller Williams Western Realty - Lynden, WA
I agree!  I find that my buyers are more enthusiastic about looking at homes listed with a home warranty.  Added incentive never hurts!
Jun 12, 2007 03:47 PM
Frank Rubi
Frank Rubi Real Estate, LLC - Metairie, LA
FrankRubiRealEstate.com
I always suggest for my buyers and seller to get them. For under $400 buck some piece of mind is better than nothing. Great Post.
Jun 12, 2007 03:49 PM
Anonymous
Bruce

 

To buyers: 

Gain a little knowledge of home care maintence..don't waste you money on the standard warranty.

It'might help protects the agent from lemon laws.

Jun 13, 2007 12:20 PM
#8
Linda Stern
The Stern Group Professional RE Services - Orlando, FL
I think Home Warranties can be ok if they are sold correctly.  Be sure you are aware of exactly what they cover.  I worked for a Home Warranty company for a short time last year....a short time because the company found a loophole to deny every claim that was made.  I had nothing but angry customers, and angry Realtors...and a company that basically said, "too bad, they should have read the contract".  And this was a market they were attempting to break into.  I'm sure they are not all as bad as this company is but in this market I don't see a Home Warranty as a deal maker.  The house should come first.
Jun 13, 2007 12:37 PM
Lisa Stevenson
United Country Westmark brokers LLC. - Montrose, CO
Thank you all for your comments!
Jun 19, 2007 04:21 AM
Dale Baker
Baker Energy Audits and Commercial Properties Inspections - Claremont, NH
New Hampshire Relocation Real Estate Information

Howdy Lisa

Congrats on a good post here. Who pays for the warrantie on the house. The saller or the buyer ?

Have a good one

Jul 12, 2007 10:41 AM