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A Home Warranty

A home warranty is a contract that is purchased by a homeowner who is keeping, buying, or selling their home. The agreement is for the repair or replacement of appliances and systems through out the home.

home warranty san diego

Who purchases a warranty?

Home warranties are purchased most often when someone is looking to sell or buy a new home. A warranty is a policy on a particular home. Therefore, if a seller has a warranty on the house they are trying to sell, they will have to purchase a new warranty for their next home. Sellers often purchase a one-year warranty as an incentive for others to buy their home. It ensures the buyer that any unexpected costs that arise, depending on the warranty, could be covered by the warranty instead of out of pocket. First-time homebuyers do not have to fret the additional costs of being a homeowner as they can rely on the home warranty for the surprise repairs or replacements that have to be made.


What types of warranties are there?

Home warranties range from $200 to $800. Basic warranties are on the lower end, costing an average of $350 to $500. Additional items can be added to the warranty for $100 to $300 more. Home warranties generally cover heating and cooling systems, plumbing, and electrical. They can also cover a washer and dryer, swimming pool, refrigerator, and septic system. Depending on the contract, a warranty will last for one to three years and can be renewed.


How does a warranty work?

If an appliance in the home breaks, the homeowner can call the warranty company. The company then chooses someone to go to the house and fix the problem. The homeowner will have to pay the hired individual to check and fix the problem, which averages to about $50 to $75. It is important that the homeowner understands what exactly is covered by the home warranty as each warranty has a different coverage. The warranty will not cover appliances that were already damaged, wore out over time, or have not been maintained properly.

A couple home warranty companies used in San Diego include: Home Warranty of America, American Home Shield, and HISCO Home Warranty.

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