{"id":201,"date":"2020-08-10T02:31:33","date_gmt":"2020-08-10T02:31:33","guid":{"rendered":"https:\/\/artesiantitle.com\/blog\/?p=201"},"modified":"2020-08-10T02:31:33","modified_gmt":"2020-08-10T02:31:33","slug":"home-warranties-a-good-idea","status":"publish","type":"post","link":"https:\/\/artesiantitle.com\/blog\/home-warranties-a-good-idea\/","title":{"rendered":"Home Warranties: A Good Idea?"},"content":{"rendered":"

Home Warranties: A Good Idea?<\/span><\/span>\u00a0<\/span><\/h1>\n

When you think of \u201cwarranty\u201d your\u00a0<\/span>mind may think of warranties for a car or a new electronic. But have you ever thought about a warranty for your home? If not, it makes a lot of sense to have one. <\/span>\u00a0<\/span><\/p>\n

According to Mikey\u00a0<\/span>Rox<\/span>\u00a0at\u00a0<\/span>Homeside<\/span><\/i><\/a>, \u201cA home warranty, also called a home service contract, covers the repair or replacement cost of covered appliances and systems. This is an additional expense that comes out\u00a0<\/span><\/i>of your pocket, but it makes sense from a financial standpoint.\u201d\u00a0<\/span><\/i>\u00a0<\/span><\/p>\n

It\u2019s important to keep in mind that home warranties aren\u2019t the same thing as insurance policies. Rather, they are more like service contracts. Like a service contract that would cover a rep<\/span>air for your TV,\u00a0<\/span>couch, or car<\/span>, a home warranty is a company\u2019s agreement to pay for fixing, or maybe even replacing things in your home.\u00a0<\/span>\u00a0<\/span><\/p>\n

According to Marilyn Lewis at\u00a0<\/span>Money T<\/span><\/i>alk News<\/span><\/i><\/a>, \u201cA basic home warranty costs about $350 to $500 a year or more. A warranty typically covers kitchen appliances, plumbing, water heater, heating and electrical system components, sump pump, whirlpool tub, and ceiling and exhaust fans.\u201d<\/span><\/i>\u00a0<\/span><\/p>\n

So<\/span>\u00a0the real<\/span>\u00a0question is will buying a home warranty keep you afloat if things go wrong? Or will it be a waste of money? Today, we\u2019re reviewing why a home warranty is a good idea, but also some cons that may come with it.\u00a0<\/span>\u00a0<\/span><\/p>\n

PROS<\/strong><\/h1>\n

Home Warranty Helps You Save Money<\/h2>\n

If yo<\/span>u own a home, you know that repairing things can be quite costly. No matter how much you take care of something, nothing will last forever, and eventually, you\u2019ll end up fixing it or replacing it. The fixes or replacements can be thousands of dollars and pu<\/span>t a real dent into your bank account since as a homeowner you are responsible for these expenses.\u00a0<\/span>But,<\/span>\u00a0what if it didn\u2019t have to?\u00a0<\/span>\u00a0<\/span><\/p>\n

Mikey\u00a0<\/span>Rox<\/span>\u00a0at\u00a0<\/span>Homeside<\/span><\/i>\u00a0<\/span><\/i><\/a>expl<\/span>ains more,\u00a0<\/span>\u201cA home warranty\u00a0<\/span><\/i>can protect your pocket and help you save on certain repairs. These warranty plans are an excellent choice if you don’t have a big budget for home repairs, or if you don’t want to drain your emergency fund on repairs. If a cove<\/span><\/i>red item breaks, simply call your warranty\u00a0<\/span><\/i>company, and the company will send a licensed technician to your home to repair the broken item. If the item can\u2019t be repaired, the warranty replaces the item.\u201d\u00a0\u00a0<\/span><\/i>So<\/span>\u00a0while a home warranty isn\u2019t required when owning\u00a0<\/span>a home, it\u2019s recommended because it can save you a lot of money in the long run.\u00a0<\/span>\u00a0<\/span><\/p>\n

Home Warranty is Affordable<\/h2>\n

On top of a home warranty saving you money, they are also quite affordable,\u00a0<\/span>too!\u00a0<\/span>Consumer Reports<\/span><\/i><\/a>\u00a0says, \u201c<\/span>Prices may vary depending on where you live. The American Home Shield website, for example, says a plan that covers most major a<\/span><\/i>ppliances runs about $480 annually for a home in central Ohio; one that also includes the home\u2019s electrical and plumbing systems costs close to $600.<\/span><\/i>\u201d If you think about it, $480 a year is minimal of what you spend if you had to pay out of pocket for repai<\/span>rs. However, keep in mind home warranties keep up with the cost of living. If you go to a higher cost of living city such as Manhattan, they may be a bit more expensive but affordable for anyone living in that city!<\/span>\u00a0<\/span><\/p>\n

Home Warranty Provides Complete Coverage<\/h2>\n

Additionally, home warranties should provide complete coverage. While these plans do not cover every single thing in your house, it does provide coverage of the home\u2019s main items, which can save you thousands over the years. The plan covers appliances, e<\/span>lectrical, plumbing, HVAC system, water heaters, etc. A home warranty plan does not cover roofs, floors, windows or doors, so still keep an emergency fund just in case!<\/span>\u00a0<\/span><\/p>\n

CONS\u00a0<\/strong><\/h1>\n

Home Warranty Companies Choose the Contractors<\/h2>\n

Unfortunately, with the pros of hom<\/span>e warranty plans, also come to<\/span>\u00a0a few cons. Not everything is as great as it seems all the time. One of which is that the home warranty companies choose the contractors that come out to make your repairs. This can mean one of two things: the contractors are e<\/span>xcellent companies, or they aren\u2019t. Regardless, you aren\u2019t able to do the research yourself and look for those <\/span>five-star<\/span>\u00a0reviews.\u00a0<\/span>\u00a0<\/span><\/p>\n

Anthony\u00a0<\/span>Giorgianni<\/span>\u00a0and Kevin\u00a0<\/span>Brasler<\/span>\u00a0at\u00a0<\/span>The Washington Post<\/span><\/i><\/a>\u00a0stated,\u00a0<\/span>\u201cOnce a problem has been diagnosed, the plan provider decides whether to repair it. Or the\u00a0<\/span><\/i>provider might replace the item, with no guaran<\/span><\/i>tee you will get the same brand or color, which can be an issue with appliances such as refrigerators and ovens.\u201d<\/span><\/i>\u00a0<\/span><\/p>\n

Your Claim Could Be Denied<\/h2>\n

A common problem with home warranties that many residents seem to find are claims being denied and claim caps. For\u00a0<\/span>example,\u00a0<\/span>\u201cyou need to replace an AC unit and furnace. The cost is $9,000 but the company caps its liability for any one claim at $2,000,\u201d<\/span><\/i>\u00a0says Peter Warden at\u00a0<\/span>The Mortgage\u00a0<\/span><\/i>Reports<\/span><\/i><\/a>.\u00a0<\/span>\u00a0<\/span><\/p>\n

Even more, if a home warranty company wants to deny your claim they can absolutely do so, w<\/span>hich really just turns everything into a big disaster and leaves many frustrated.\u00a0<\/span>\u00a0<\/span><\/p>\n

Read the Fine Print<\/h1>\n

It\u2019s important to keep in mind that many ads for hom<\/span>e warranty companies are definitely better than they really are. Sales pitches can make it seem as if you\u2019ll never pay for a home repair again…oh,\u00a0<\/span>but if only life was that simple. Even the most comprehensive plans include long lists of fine-print exclusi<\/span>ons. \u201cMost limit the companies\u2019 financial exposure from items that break often or can be costly to fix or replace,\u201d says Anthony\u00a0<\/span>Giorgianni<\/span>\u00a0and Kevin\u00a0<\/span>Brasler<\/span>\u00a0at\u00a0<\/span>The Washington Post<\/span><\/i><\/a>.\u00a0<\/span>\u00a0<\/span><\/p>\n

So before sealing the deal on a home warranty plan, it\u2019s important to read the fine print for any exclusions and fees.\u00a0<\/span>\u00a0<\/span><\/p>\n

In conclusion, a home warranty can be worth\u00a0<\/span>it<\/span>\u00a0and it can save you a lot of money down the road. However, be mindful upon signing because t<\/span>he things\u00a0<\/span>actually<\/span><\/i>\u00a0covered by a home warranty vary by company. And there are always going to be exceptions in the fine print.\u00a0<\/span>\u00a0<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

Home Warranties: A Good Idea?\u00a0 When you think of \u201cwarranty\u201d your\u00a0mind may think of warranties for a car or a new electronic. But have you ever thought about a warranty for your home? If not, it makes a lot of sense to have one. \u00a0 According to Mikey\u00a0Rox\u00a0at\u00a0Homeside, \u201cA home warranty, also called a home\u2026 Read Home Warranties: A Good Idea?→<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":202,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","footnotes":""},"categories":[107,352,353,226],"tags":[],"yst_prominent_words":[342,335,350,339,341,252,343,349,345,333,347,336,346,338,340,344,337,351,348,334],"class_list":["post-201","post","type-post","status-publish","format-standard","has-post-thumbnail","","category-basic-insurance","category-home-insurance","category-home-warranty","category-real-estate"],"_links":{"self":[{"href":"https:\/\/artesiantitle.com\/blog\/wp-json\/wp\/v2\/posts\/201","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/artesiantitle.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/artesiantitle.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/artesiantitle.com\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/artesiantitle.com\/blog\/wp-json\/wp\/v2\/comments?post=201"}],"version-history":[{"count":0,"href":"https:\/\/artesiantitle.com\/blog\/wp-json\/wp\/v2\/posts\/201\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/artesiantitle.com\/blog\/wp-json\/wp\/v2\/media\/202"}],"wp:attachment":[{"href":"https:\/\/artesiantitle.com\/blog\/wp-json\/wp\/v2\/media?parent=201"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/artesiantitle.com\/blog\/wp-json\/wp\/v2\/categories?post=201"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/artesiantitle.com\/blog\/wp-json\/wp\/v2\/tags?post=201"},{"taxonomy":"yst_prominent_words","embeddable":true,"href":"https:\/\/artesiantitle.com\/blog\/wp-json\/wp\/v2\/yst_prominent_words?post=201"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}