Many times throughout a real estate transaction home warranties are mentioned. A buyer or seller can purchase a home warranty to protect the major appliances and mechanical systems. While costs vary from plan to plan, a home warranty typically costs about $500 for the first year. It is a lot like other warranties or insurance plans where there is a deductible and then most of the other costs are covered by the warranty. In some cases, there are some things that are not covered like permits or recycling fees, etc. But in those cases, the repair is likely significant and the savings is more than those additional fees.
One of the home warranty companies that 8 of our clients choose to work with shared the savings that just our clients received over the past year by having a home warranty. The savings was over $6,500 just for those 8 homes. Many times the cost of the home warranty is negotiated by Zach & Carly to be covered by the sellers for our buyers. Even if all of those homeowners bought their own warranties, it would still have paid for itself plus an additional $300 on average, keeping more money in our buyers pockets!