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Home Warranty

By Terri Habecker

Services for Real Estate Pros with AIG, Allied, Fireman's Fund, CNA, Travelers,The Hartford, Pr

October 04, 2007 02:17 PM

As an Insurance agent, I am here to support you.

Home Warranties have been a little under used in the past few years, but...

It might become a tool to assure lenders that the properties are protected and less of a risk, a solid safety net for you and your Brokerage and an incentive for your buyers and sellers.

As an agent who knows and understands this is an important need, whoever you use, bring it up. Whatever Insurance Company you use, ask if your Homeowner/ Landlord policy can add the Home Warranty product in the same fax!

Easy!

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J Perrin Cornell

Coldwell Banker Cascade Real Estate - Wenatchee, WA

Broker, ABR, VAMRES

I represent three builders...I have all of them using the 2/10 Home Warranty (besides a good marketing tool and value it saves them real dollars on their insurance). I almost always get a Warranty on existing homes over 10 years old... ask for it in the offer and if necessary provide it myself (much better than a cheesy closing gift). Works for me.

Oct 05, 2007 01:37 AM

Terri Habecker

AIG, Allied, Fireman's Fund, CNA, Travelers,The Hartford, Pr - Dana Point, CA

Life Matters & So Does Your Insurance Co

Perrin,

I agree. Thanks for your input.

Oct 06, 2007 01:35 AM

Laura Resnick

RE/MAX Associates West Bartlett, Il. 60103 - Carol Stream, IL

Carol Stream, IL 630-975-0615, RE/MAX Unlimited

Terri: after reading Perrins response....are you guys saying that some insurance companies holding the homeowners will reduce it, if there is a home warranty such as American Home Shield or the like? Or am I missing the context of this blog?

Oct 06, 2007 04:02 AM

Terri Habecker

AIG, Allied, Fireman's Fund, CNA, Travelers,The Hartford, Pr - Dana Point, CA

Life Matters & So Does Your Insurance Co

Laura,

My point is, I can quote the Homeowner and Warranty at the same time- same fax. Reducing added paperwork for the Realtor. I quote American Home Shield along with Farmers and Foremost as well as Flood and CEA product lines. Check with your Lender that you might have difficulty getting a loan through. Maybe it will make a difference. Other Agents in my office have been losing policies because the loans aren't going through Escrow since the Lender requirements have tightened up. I thought this might be helpful for all of us. There just might be advantages bringing in the Home Warranty in todays market.

The point of this Blog is to help the Realtors and your customers gain a little advantage to your sale. As Perrin added, this is a great tool he uses to build his client relationships.

Oct 06, 2007 04:42 AM

Robert Johnson

Your Family Realty llc - Eau Claire, WI

We use an HMS home 1 yr Home warranty as a listing tool, buyer incentive, and buyer protection (which the seller pays for :-) . It gives the buyer genuine peace of mind.

Oct 06, 2007 09:07 AM

Terri Habecker

AIG, Allied, Fireman's Fund, CNA, Travelers,The Hartford, Pr - Dana Point, CA

Life Matters & So Does Your Insurance Co

We have a neighbor up the street who bought an adorable remodel...no warranty and they ended up with having to tear out the entire ktchen out for plumbing repairs. No Warranty...

Yes Ron, I know what you mean.

Oct 07, 2007 02:37 PM

Anonymous

Brad

I don't get it. Are you saying that the warranty would have paid for the new kitchen?

Oct 08, 2007 04:15 PM

Terri Habecker

AIG, Allied, Fireman's Fund, CNA, Travelers,The Hartford, Pr - Dana Point, CA

Life Matters & So Does Your Insurance Co

Brad, there are different types of home warranty products and coverages to choose from. If the plumbing that was "gone" had been under a home warranty, the cost of plumbing the home would have been covered.

The scenario of the story regarding having to tear the kitchen, bathrooms, etc. out had more to do with the quick rise in home prices. The cute little remodel went from the low 2's to 499,000 in just a few months. In the fury of quick buy a house before they go up any more really put this young family in a poor situation which could have helped quite a bit by having a home warranty protecting them from the hidden problems. The people remodeling did not live in the house, so disclosure was really not a method of relief. To answer your question, the new owners had to take apart the kitchen, bathrooms, everything else to get to the plumbing to replace. The warranty would not have buit a new kitchen for them. Warranty's have more to do with appliances, pools, plumbing, heating and HVAC. Check with your local agent to see what packages are available to you.

Oct 12, 2007 07:41 AM