Although television can portray home sales as quick, simple transactions, oftentimes, the process can be time consuming and complicated. Real Estate Professionals use their experience and depth of knowledge to facilitate negotiations and advise owners of the ways in which they should prepare their homes to sell. And increasingly, one of the most common – and effective – recommendations made by real estate professionals is to enroll a home warranty at the time of listing.
Home warranties protect owners against the cost of repairing and replacing the major systems and appliances that may fail before, during or after a sale is finalized. However, coverage for air conditioners, refrigerators or washing machines and dryers – to name a few – is not the only benefit to purchasing a home warranty, as they also provide home sellers with additional benefits:
Three Benefits of Home Warranties:
A powerful marketing tool - During active selling seasons, it can be difficult for homeowners to differentiate their properties from others. Homes listed with a home warranty have an edge above the rest. It guarantees that buyers won’t have to worry about paying for sizable repairs or replace major systems and appliances during their first year of ownership is a powerful marketing tool. First time Buyers find home warranties especially appealing, as they might be woeful of the potential expenses they could incur during their first months of homeownership, according to Investopedia.
Coverage during negotiations - In the event an appliance or major system fails while a buyer is negotiating the terms of a pending sale, sellers will not be responsible for covering additional repair costs or replacement expenses. Home warranties vary by brand. However, HMS provides coverage to the seller during the listing period, and the fee for this coverage is only due upon closing.
Prevention of post-sale disputes - While professional home inspectors will likely be called in to complete thorough examinations before the sale is closed, Inspectors aren’t able to predict when systems and major appliances will break down and fail. For this reason, purchasing a home warranty can be an important asset to a seller when they decide to list. According to Inman News, warranties typically last for one year, and most are eligible for annual renewal.
For buyers worried about having to pay for expensive repairs immediately after closing, this can be an attractive aspect. Similarly, for those sellers who want to concentrate on making their new house their home – and not worry about their old one – this can be a great way to guarantee peace of mind. Looking for a reputable home warranty company? Check out HMS Home Warranty