Category: Arizona Home Warranty

Home warranties have many benefits for homeowners that protect their homes and offer peace of mind.  When it comes to buying and selling homes,  both buyers and sellers can benefit from having a home warranty.  One might think that, when selling a home, a home warranty would only benefit the buyer who will take over the home but, in fact, it benefits everyone.

The first and most important benefit for sellers is that it offers a competitive edge in the housing market.  When you go to sell your home, you want to sell it quickly and for top dollar.  With a home warranty, buyers will be that much more attracted to your home because they will feel safe and covered should something go wrong and they will also know that you have taken good care of your home.  If they are considering a similar home in the neighborhood, having a home warranty may give your home the competitive edge it needs to be out the other home.  Additionally, having a home warranty may help lessen the amount of negotiations with the buyer after an inspection because they will feel covered should something go wrong.  Another benefit for sellers is that the home will be covered and protected should something go wrong or break while the home is listed or in escrow.

The seller is certainly not the only one who benefits from a home warranty, the buyer benefits immensely from purchasing a home with a home warranty.  First, purchasing a home is very expensive and you will be spending money on not just the home but on moving expenses and decor. If you purchase a home that has a home warranty, you will not need to worry that a huge repair will pop up, costing you money you may not have readily available.  A home warranty protects home buyers from additional costs for surprise repairs.  Additionally, buyers will have peace of mind that their new home is covered should something break down.

When you move into a new home there is a lot to learn about the new home and having peace of mind that your home is protected is priceless.  An existing home warranty will also make home ownership easier.  When things break down, it can be very frustrating to try to find a reliable and knowledgeable handyman or repairman that can do the job. When you purchase a home with a home warranty, you simply need to call the home warranty company and let them handle it from there.  They will send a trustworthy and experienced handyman to handle your job and will handle all of the legwork.  A home warranty is simply a good choice for both home sellers and home buyers.

You are sure to get homeowners insurance to protect yourself in the event of a major problem, but homeowners insurance does not necessarily cover all of the things you may think it does. What about the gaps in homeowners insurance? If you have just put a lot of money into building a home, the last thing you want is to have something break and have a major out of pocket expense. Many people purchase a home warranty when they buy an existing home, but what about a new build? Is it worth it? And, what is really covered with a home warranty?

Realtor.com discusses why everyone should have a home warranty, “A home warranty is a service contract that covers repairs and the replacement of appliances and other systems in your home. A home warranty differs from a general homeowner’s insurance policy in that it covers repairs and replacement of failed appliances or systems. Homeowner’s insurance covers your home and its contents from hazards such as loss, theft, and destruction.

Home warranty plans can differ quite significantly, but most cover things such as major appliances, heating and cooling systems, and plumbing and electrical systems. The more you are prepared to pay for a plan, the more likely it is that additional items are covered.” Depending on who built your home and your contract, some things may be covered, but some things may not be like your refrigerator. And you may think, “But, my refrigerator is brand new, it should be fine.” While this may be true, sometimes, things happen and appliances or other things break.

MSN Real Estate points out why a home warranty is a good idea, even for new construction or new appliances, “Knowing the average life span of an appliance can help determine if buying a home warranty is a good deal. Even with new appliances or home systems, the original equipment manufacturer warranties can be less than a year. Today’s appliances and systems have a lot of technology packed into them, meaning a lot more things can break.” A home warranty will provide peace of mind that your newly built home will be protected in the event of any problem. And with that stress gone, you can focus on what is most important, enjoying your brand new home!

Purchasing your very first front load washer and dryer can be very exciting. Despite what some people think, maintaining these appliances is actually very simple. You can even add to your peace of mind by making sure the washer and dryer are covered under your home warranty. If you are worried about maintaining your washer and dryer properly, here are some tips for front loads.

Run a clean cycle at least once a month with bleach for your washer. Many washers have a specific tub rinse or tub clean cycle that you can select for this. If not, you may just want to run a hot cycle with bleach. This helps prevent the mold and mildew smell and buildup you might have heard about. Remember to also clean the rubber seals around the door and around the washer drum, as mildew can build up there as well.

Leave the washer door open to let the inside dry completely after you use the washer. You should do this whenever you are done using the washer, whether you ran a clean cycle through or have finished regular laundry. Don’t just close the door when the inside is still wet. If you are concerned about this, you might make sure that your home warranty covers your washer and dryer for mold and mildew repair or replacement.

Wash the detergent drawer of the washer once a week. If you have hard water, you will see buildup in the drawer. You should be able to pull the drawer out and wash it in soapy water. Clean it thoroughly to help prevent buildup and stains.

Drain the pump filter of the washer regularly. This may help with the water flow and backup in your washer. Just pop open the door, pull out the hose, and drain it into a bucket. You will notice the water is dirty. It can be advisable to do this every couple of weeks.
Wipe down the dryer drum at least once a month. It can be useful to do this when you run the clean cycle on your washer. Just take a rag and wipe down the drum to help get off any lint or dust on the inside. Also take the time to wipe around the door.

Check for lint buildup under the lint trap in the dryer. Despite what you may think, your lint trap will not capture all of the lint. You might need to find a thin, flat attachment for your vacuum and suck up the excess lint. Excessive lint can become a fire hazard. Be sure to check your home warranty to make sure you are doing everything you need to in order to keep it valid.

Your home warranty might cover a lot, but you still want to make sure you do everything you can to take care of your appliances. Make sure to check the hose of your dryer at the turn of the season. Detach the hose, vacuum out the lint inside, and reattach it when finished. Lint can be a fire hazard, so doing this will help keep your home and dryer safer.

Taking care of your front load washer and dryer is actually fairly simple. You’ll want to get into good maintenance habits as your home warranty might not cover every single issue that pops up with your appliances. Make sure you understand your warranty coverage and take the time to take care of your washer and dryer. You’ll be happy that you did.

One universal struggle that homeowners seem to have is how to keep the home cool in the summertime. This can be a huge task, especially if you live in an area where you regularly see triple-digit temperatures in the summer months. How do you keep your home cool without driving up your bills? A little bit of home maintenance may be able to help you out. While not all options will be totally free, you still might be able to save some money by choosing to go with portable AC, whole house fans, insulating your attic, keeping sunlight out, and checking the seals of your home.

Portable AC is just how it sounds: it’s an AC device that you can move around your home. It usually fits inside of a window and helps to keep the hot air out and the cool air in. The nice thing about portable AC is that there are not nearly as many filters that you need to change, and when the hot season is over you can just box it up and put it away until you need it next summer. It also shouldn’t drive your utility bills up ridiculously high.

Whole house fans are another inexpensive way to get the air moving in your home and hopefully keep it cool. Many fans are usually put up inside of an attic to help the air move around the home better. These fans don’t usually require a lot of home maintenance other than the occasional cleaning. You can have as many fans in your house as you want, and they should be cheaper than a traditional central air system.

If you are in the mood to do a little bit of home maintenance, insulating your attic is a great way to protect against the heat. Extra insulation will work to keep the cool air inside and the hot air outside. This can help the air inside your home remain cooler for longer without the assistance of fans and AC. It can also help keep the heat in during the colder months.

One basic thing to get in the habit of is to actually keep as much sunlight as possible out of your house. Sunlight that streams into the house only helps to heat it up. Keep the sunlight out by closing the shades and curtains if it’s going to be shining through a particular window. It’s a simple and inexpensive way to keep that extra heat out.

If your home seems to be hot no matter what you do, you might need to do some home maintenance on the seals of your home. Seals around the windows and doors of your home can actually leak cool air out or hot air in. If you are unsure about the seals of your home, you might want to have a professional look at them. Making sure the seals of your home are in proper shape is a great way to help make sure your home stays cool in the summer.

Staying cool in the summer is something that many homeowners struggle with. Use these 5 tips along with regular home maintenance to keep your home cool while hopefully not driving up your utility bill. Hopefully, it just makes the summer that much more pleasant.]]>

Few periods in American history have witnessed as much change in the real estate market as the last ten years. Homeowners in a majority of U.S. cities saw housing prices peak at all-time highs in 2006. Just two years later, the housing bubble burst, devastating the value of homes and property everywhere. The effect was felt by homeowners across the nation. Only in the last year have many housing markets seen significant rebounds, causing experts to label this period a seller’s market. One question many people ask in a seller’s market is: Should I consider home a home warranty? Despite the recent switch from a buyer’s market to a seller’s market, home warranties remain a solid investment that can pay big dividends down the line.

What Is A Home Warranty?

Different kinds of home warranties have existed as long as real estate has been on the market. Purchasing a home is one of the biggest investments many people make in their lifetime. To protect that investment, a home warranty offers insurance against the breakdown of appliances and other home systems. Coverage from home warranties can apply to a broad range of specific items, but some areas that are often included in a plan are:

  • Washer / dryer systems
  • Dishwashers
  • Furnace / heating systems
  • Central air conditioning
  • Electrical systems
  • Stovetops and Ovens
  • Microwaves
  • Security and Alarm systems
  • Refrigerators
  • Sprinkler systems
  • Garbage disposal
  • Basic plumbing systems
  • Radon units

What Does A Typical Plan Look Like?

Typical home warranties will be structured with a one-time fee or monthly payment that guarantees the repair or replacement of predetermined appliances and systems should they fail. Additionally, a smaller fee may be required at the time of making a claim, similar to a deductible with car insurance. Just like other warranty and insurance plans, there are many different offerings and plans available depending on the company issuing the warranty. It’s important to familiarize yourself with the specifics with any home warranty. Let’s consider a hypothetical example to see how home warranties could potentially benefit a typical new homeowner.

A Plan For Mrs. Jones

Mrs. Jones recently purchased a home. Despite being beautifully maintained, the house was built over 20 years ago. Because it was a seller’s market, Mrs. Jones had to move fast to make a successful bid on the property. She decided that purchasing a home warranty would protect her in case some of the older appliances presented problems. For $600, she purchased a one-year warranty that covered most of the systems in the house. Just one month after moving in, the dishwasher stopped working. After paying a $100 service fee that was part of the plan, her warranty company determined the old unit was a total loss, and she was given a new dishwasher valued at $350. A similar issue arose with the central air conditioning unit a few months later. After paying the service fee once again, her warranty covered extensive repair work that would have set her back $500.

In the example with Mrs. Jones, a total of $700 came out of her pocket. (Initial warranty $500 + service fees $200) In the end, she received replacements and repairs that totaled $850. (New dishwasher $350 + air conditioning repair $500). The net savings for Mrs. Jones from having a warranty was $150. But even more than that, she was able to move forward with the peace of mind that her home systems were covered in the event of any issues.

Who Should Consider A Home Warranty?

The benefit of peace of mind that comes with home warranties is perhaps the biggest factor in a seller’s market. Potential homebuyers have to be much more decisive on a home they are interested in. With fewer properties on the market and more buyers looking, things can move pretty fast. For first time homebuyers, this only adds extra pressure! In such an environment, home warranties add an extra layer of insurance that can pay off if any issues arise after you move in.

As you begin the search for your home, consult with your real estate agent about how a home warranty plan could benefit you. Many real estate agencies offer warranties as a part of their business. But it’s important to shop around and compare plans before you make a decision. Understand the plan’s specific costs and coverage. Whether you are a seasoned homebuyer or entering the market for the first time, you’ll be able to move in to your home with greater confidence after securing a home warranty.

A home warranty is like a garage that covers your entire house and keeps it safe from bad financial weather. It doesn’t matter if you’re buying a home, selling a home or if you currently own a home, there are several special benefits for each category when it comes to having a home warranty.

Benefits for Sellers

Your home will be much more desirable to potential buyers if they see that the home is covered by a home warranty plan. You’ll be able to sale your home that much faster if you get a warranty before putting your home on the market. A second benefit for sellers is that they can avoid extensive delays in closing if they get a warranty for their home, minimizing the odds of an equipment or system failure slowing down the closing process. A third benefit for home sellers for getting a warranty for their home is that they’ll save money if the home repair or problem is caused by a workmanship issue that needs to be fixed more than one time. In some cases, your repairs are covered for 180 days.

Benefits for Buyers

One of the immediate benefits of a home warranty if you plan on buying a home is that you’ll save money and you won’t have to make major changes to your budget to save up enough money for expensive home repairs and appliance replacement. With a home warranty, all you’ll have to pay for is the trade service call. Another benefit is the comprehensive coverage, meaning that your warranty covers appliances as well as systems and that there aren’t any square footage restrictions. A third benefit is that you’ll have a technician that has been pre-screened to take care of your repairs and replacements rather than a technician who may or may not know what they are doing and may or may not have the proper training to adequately handle your particular repair.

Benefits for Current Homeowners

With a home warranty, placing a claim is easy, free and can be done online as well. Something else to think about is that with a home warranty you can call for as many system and appliance repairs as you need without worrying about going over a limit. A third benefit for current homeowners who have a home warranty is that they can save a lot of money on popular appliances if they ever decide to remodel their home or upgrade their appliances. If you don’t already have a home warranty, look into getting one whether you’re buying, selling or currently own a home. Your nerves and your bank account will thank you for it.

Buying a home is generally the largest purchase that an individual will make.  Costly repairs and replacement of older items that can be found in an existing home are not usually things that a new homeowner wants to deal with.  It can be both expensive and time consuming.  Unfortunately, as a home ages it is bound to have some items that need to be repaired or replaced.  To protect your investment and your sanity when buying a piece of real estate, be sure to investigate home warranty options.  A home warranty provides coverage that a standard hazard insurance policy would not.  Fill in the gaps in your home insurance policy with a home warranty.

Homeowner’s Insurance Policy Coverage vs. Home Warranty

In order to close on a home it is required to have a homeowner’s insurance policy of some sort in place.  The lending company can even require a homeowner to obtain specific coverage levels or endorsements to ensure the risk they are taking on as the lender would be lessened.  Only under rare circumstances would a homeowner get away without having an insurance policy on his home.  It’s simply a must have item.  There are always gaps in coverage that provides the insurance company a way to wiggle out of some responsibility, however.  In order to fill these gaps, particularly in the first year of homeownership, a homeowner can obtain a home warranty to provide coverage where the insurance policy typically ends.  Major appliances and electrical, heating, and plumbing systems would be covered.  The out of pocket expense to obtain a home warranty is negligible, particularly when compared with the coverage it provides.

Manage Unexpected Household Expenses with a Home Warranty

A home warranty can protect you from having to deal with the expenses of repair and replacement items within your home. In fact, it can help you manage those items which will eventually expire in a way that reaches well beyond a standard insurance policy’s provisions.  Usually a home warranty is one year in length and covers major appliances and systems that an insurance policy does not.  A basic warranty would provide coverage for the following items:

  • Ductwork
  • Central heating
  • Air conditioning
  • Plumbing systems, stoppages and toilets
  • Water heaters
  • Electrical systems
  • Telephone wiring
  • Garage door openers
  • Ceiling fans
  • Ovens, ranges, cooktops
  • Garbage disposal
  • Dishwashers

In addition to these items listed here, there are many more systems and appliances that would be covered under the provisions of a home warranty.  Rather than worry about the expenses associated with these items during the first year of homeownership, manage them with the purchase of a home warranty.

Home warranty coverage has never been mandatory. This differs from many other types of insurances. In stark contrast is automobile insurance, which is enforced with a fine in most states. Other optional insurances include life insurance, health insurance (for now), and house payment insurance. Whether a family takes advantage of these insurances depends on their current financial circumstances, their sense of responsibility, and their ability to produce a long-range financial plan. On the other hand, home warranty coverage, although optional, tends to be considered essential to many who contract it.

When a responsible person owns a home, they are concerned about two things: utility and aesthetics. In other words, they want things to work and they want the house to look good. The problem is that when there is a problem with a home or one of the major appliances fails, it is often an expensive repair prospect. For a family that is living on a month-to-month budget, this can mean that the appliance is not going to be fixed for at least a month. If the appliance in question is the air conditioner, and it breaks during the summer, the problems with waiting a month are obvious. Besides the discomfort, the family members may become terminally irritable, and health could be affected. Similar scenarios can be constructed for failures involving the water heater, the house heating system, or the washer / dryer system. This is the first bastion provided by the home warranty coverage, that repairs for key appliances are done within a few hours or days. When critical appliances like the water heater cause a flood that cannot wait for a lengthy repair, home warranty coverage can include emergency service, which can bring a qualified repairperson to your premises almost immediately at any time of the day or weekend.

The second thing that concerns a homeowner is the look of his home. It concerns the neighbors as well. Due to financial circumstances, a family may justify putting off repairs that affect the look of the home, but neighbors may not be so understanding. A home in disrepair lowers the values of the homes in the entire neighborhood. If your neighbor is trying to sell his home, it can cost him actual money. It also attacks the sophistication of the neighborhood, the elements that build a healthy pride in the inhabitants. Of course, not everyone cares what the neighbors think. More fools, they. However, they hurt themselves as well when the state of their home begins to destroy their own pride and self-esteem. Letting your apartment or rented home go to pot a little is one thing, but not taking care of your own property can really be damaging to the psyche.

Of course, you cannot buy what you cannot pay for, but this is when home warranty coverage can be so important. Although a family may struggle to keep up with the costs of home repair, especially when they all come at once, the cost of an annual home warranty is only in the range of several hundred dollars. If a family can budget this amount, then they can take care of problems concerning both how the house looks and how the house works. They can keep their beautiful home looking good and they can make sure that their life goes smoothly and efficiently with the benefit of working appliances.

A home warranty in Arizona is not exactly a warranty but a home service contract. It is meant to cover major home repairs and appliance repairs, in order to lower the risk to the homeowners. For an annual fee, the risk management company or home builder who offers the home warranty covers the cost of the repairs. Generally, there is a low deductible for each repair and the associated service call. The deductible is often close to the average cost a service company would charge to drive out to the premises. One of the best benefits of the coverage is that repairs for normal wear and tear are included. To those unfamiliar with service warranties, such as those offered with automobiles, this is a tremendous boon. It prevents surprises that the insured often gets when the provider decides to classify a failure as normal wear and tear and deny coverage. These sorts of issues are hard to resolve and often cause a lot of frustration to the insured. Standard home warranty contracts do not suffer this drawback.

Even though companies that offer a home warranty in Arizona are governed by strict requirements at both the federal and state level, coverage varies widely from company to company. A little bit of research is a good idea before committing to a contract. On the other hand, the home warranty is often exercised more often than the insurance policy for a car. A car policy holder may go many years before having an incident that would call for the insurance company to jump in. At that point, the policy owner finds out whether his or her insurance provider is a good company or not. If it turns out that the company is not on the level, then it is frustrating to have been making payments for years and not being truly covered in the way that the policy owner thought.

A home warranty in Arizona is exercised roughly once a year on the average. The policy owner generally gets to prove the efficacy of his policy at least once during each term. This gives the opportunity to make sure the home warranty is good. It also gives the warranty provider an extra incentive to keep your business.

Many types of insurance policies involve a lot of premiums without a lot of payoff. A home warranty in Arizona is not this way. Over a period of 5 to 10 years, a homeowner can track the premiums against the payouts and find a definite and immediate benefit. Often, the payouts will be almost as much as the total of the premiums. This proves an effective policy.

If a homeowner has done the analysis for a home warranty in Arizona, he may come to the conclusion that he could have accomplished the same thing by putting aside the home warranty payment into a savings account and handle the problems themselves. However, the reality is that most homeowners do not do that. In addition, that strategy would not cover the situation when a lot of problems hit all at once and the savings account is not big enough to handle the expenses. This is the essence of risk management, that the surprises of failed appliances that do not come along at convenient times are handled by a company that is willing to take that risk. The peace of mind that comes with the reduced risk is well worth the expense of a home warranty.