Home warranties cover existing appliances and household systems. Appliances and household systems by their electrical or mechanical nature will wear out. You may never experience a house fire or car wreck, but your water heater will wear out. Most appliances have predictable life spans.
The benefits of having a home warranty:
Sellers usually purchase home warranties for the benefit of a buyer for the first year after a home sale. Why? Buyers are more likely to buy a home knowing they have peace of mind against major appliance and system failures.
Sellers find the price small in comparison to the house sale and both seller and agent can be confident knowing the buyer will not be calling them when something fails.
Homeowners find a home warranty does what they cannot—provide the expertise and time to fix things around the house correctly and quickly. It also allows the homeowner to prepare a more predictable repair budget. With so many families relocating every three to five years, few have time or confidence to find reliable plumbers, heating and cooling technicians, and electricians in their new neighborhoods. A home warranty gives homeowners one number to call to provide reliable service by proven and reputable contractors in their community.