6 Important Questions to Ask when Purchasing a Home Warranty

It’s normal to worry about something going wrong when buying a home. Perhaps you are worried that you will move in only to discover a nest of termites along the foundation or maybe your basement will turn into a swimming pool once it starts raining. You can now arm yourself against such calamities using a home warranty.

A home warranty is designed to cover what a home insurance will not. According to Brooke Niemeyer at Huffington post, home warranties are basically service contracts that promise to cover the cost of replacement or repair if items covered such as plumbing, appliances, air conditioning and heating systems stop working. Generally, having a home warranty can offer you a peace of mind if anything goes wrong.

It’s however worth noting that providers of these warranties often leave room that makes it easier for them to escape making the payments. As a result, numerous consumers have complained about their home warranty plans, mostly because they never received payouts as expected. But still, home warranty can’t be wished away especially if the appliances and the home itself is a little older. When it comes to what to look out for when purchasing a home warranty, the following questions will offer excellent guidance.

1. What does the home warranty cover?

When purchasing a home warranty, the first thing you should consider is coverage. So before you start going through the contracts and squinting at the fine print, you should first take a look around your house. Note down a list of items you would like covered. And if you aren’t sure of what items you should have covered by your home warranty, keep in mind that home warranties replace or repair appliances or a system when it breaks down from wear and tear.

Generally, you should plan to cover items that are well maintained but a little older, expensive to replace or repair, and those necessary for your comfort living around your home. When coming up with this list, remember that home warranties are generally designed to cover mechanical components of appliances and systems, and not necessarily the structure of your house. Foundation and structure coverage will most likely be taken care of by your home insurance.

After creating your list, go through a number of warranty contracts from reputable home warranty companies and find out the kinds of items they cover. According to this article by Andree Brooks, you are better off with a home warranty contract that doesn’t include structural coverage.

2. What are the exclusions and limits with the home warranty?

All home warranty offers have monetary limitation and exclusions. Exclusions are often listed as specific situations, items and parts that the warranty won’t cover under the contract. Limitations, on the other hand, are monetary amounts your home warranty provider will pay you for repairs and replacements of your appliances or systems, but any extra accrued costs will become your expense.

Some companies have limitations on specific items and parts within your home, while other warranties have limits on all replacements and repairs. So when you go over the set limits, you will be required to pay for the extras out of your pocket. Understanding the limitations and exclusions of a home warranty will help you to determine which company suits your situation.

3. How much will it cost?

The answer to this depends on the provider you choose and the kind of plan you buy. You can generally buy one of the three common plans; a warranty to cover a specific appliance, for all the appliances in your house or for your appliances plus your electrical and plumbing systems.

So the prices will vary depending on the cover you choose. A typical plan that covers major appliances will cost you between $200 and $300 annually. A warranty that includes your plumbing and electrical systems can cost you between $800 and $1000. Apart from the cost of the home warranty contract, you are likely to incur some additional costs. When a contract comes in to fix repairs, you may have to make a co-payment.

4. What are the company’s reviews and ratings online?

By reading this, chances are you’re searching for a home warranty company online. If this is the case, then be sure to look at ratings of the company from major real estate and Home Warranty platforms. Go deeper and take a look at the number of negative and positive reviews while paying attention to concerns pointed out in the negative reviews.

If the company is making an effort to fix the concerns raised, chances are they have a good customer support team that will work with you should you find yourself in the same situation. However, if the company doesn’t make any effort to sort these concerns, they might treat you the same way, so be sure to perform your research in advance.

5. If Something Needs Repair, How can I Make a Claim?

One more important thing to remember is that you should always keep written records of each communication with your home warranty provider and the service vendor given the job. Always make your requests in writing and request for return receipts for your record keeping. After you’ve notified your warranty provider, they will contact a repairman to fix the broken item or recommend a replacement where applicable. There might be some service charges for the repair, but this will come from the warranty provider rather than the repairmen.

6. Will broken items be repaired or replaced?

This is often thrown under the fine print section. Some company will promise to repair your broken items and parts but will keep quiet about replacements until you squint at the fine print. Most home warranty providers explain that in the event that a repair is considered expensive, the provider might opt to replace it instead. In this case, your home warranty provider may only offer to give you the depreciated value and require that you pay more for the item to be replaced. Make sure that you are clear on this before making your decision.

The Bottom line

If you keep all these questions on what to look out for when purchasing a home warranty, you will find the best cover for you’re and your home. You will be able to save money, time and have peace of mind, and in addition, you will be better prepared on what to expect from your home warranty provider.

4 Things You Need to Do to Maximize a Home Inspection Service

The success of a home inspection service depends not just on the inspector but also on the home buyer. The home inspector and home buyer must work hand in hand to ensure that the property being considered for purchase will not turn out to be a home improvement nightmare in the future.

Are you buying a home and hiring the service of a home inspector? Here are the things you must do to get the most out of your home inspection:

1. Do your own inspection prior to the official inspection

So that you have a clear idea of what you would like your home inspector to focus on during the official inspection, make time to do your own pre-inspection in the property. Check the light switches, outlets, walls, ceilings, roof, and paint job. Take note of any possible issues. You can ask about them later during the official inspection.

2. Be present during the home inspection

The most important thing to do is to show up on the day of your home inspection. Your home inspector will be checking your home for the first time, so he needs your guidance. He needs you to be there to specify the issues that you would like to examine.

3. Ask questions

Don’t hesitate to ask your home inspector if you have any concerns or when you don’t understand what he is talking about. At Gold Bears, we value customer feedback and opinion and encourage two-way communication between our team and our clients. So don’t be afraid to speak up.

4. Trust your home inspector

You hired your inspector for his technical knowledge about checking the quality of a house inside and out. So it’s important to maintain a reasonable level of trust and respect during the home inspection so that things will go smoothly.

Why Real Estate Companies Need to Invest in Home Inspections

Are you starting a real estate company? Among the services you will need are home inspections for real estate firms. Home inspections offer a lot of benefits for everyone who want to generate income from investing in real estate.

What is real estate inspection?

Real estate inspection refers to the organized checking of a real estate property to assess its condition. A real estate inspector primarily checks for any defect in the property.

Why is it necessary?

Real estate inspections are important for a number of reasons. For example, if a real estate firm is going to sell a property, a home inspection is necessary. Since real estate agents are too busy to conduct the inspection themselves, they outsource the job to save more time and focus on their core job, which is to sell houses.

What does a home inspector do?

Home or real estate inspectors are trained and tasked to spot any flaws that cannot be fixed before the property is released for sale. Afterward, the property has to be checked again after the sale and after it has been vacated. This ensures that anything that should stay with the property is retained.

The service also includes examining the condition of the home. If there is an additional damage after an owner has moved, it should be repaired before the new homeowner occupies the property. A home inspector can also be asked to check any rentals that a real estate firm has.

Home inspections are among the most important investments you can make as an owner of a real estate firm. It is because you must make sure that a property—whether old or new—has structural integrity, excellent quality, and high resale value before you sell it on the market. This way, you can attract and sustain more buyers to your real estate business.

Why You Need a Home Security Alarm

You may be looking into home security alarm systems to protect your home. There are choices that you need to make to find the one that offers the best protection to your home and even renting or owning can play a significant role in which one will work the best for you.

If you rent your house or an apartment, then you should also consider renting the equipment. A wireless system may be the better choice since they only need to drill one hole, which cuts down on damage. This places the receiver, keypad, and panel on one telephone line to operate the system.

Check to see the rules in transferring service. See if you can do it with a new tenant, or what fees are associated with your move. While they may advertise a free transfer if you do move, in many cases you can pay $200 to $600 to do so if you have had the system for less than two years of the contract. Make sure there are not additional fees involved.

For those that own their home, buying the equipment is a better choice. This cuts down on the cost of renting it and can be placed where you want it. For single story homes, you must have hard wire the system, but if you have more than one or a basement, then a hybrid system with wireless and hybrids may be a better option.

You may also want to partition off your home, especially if it is larger than average. Partitioning allows you to arm sections of the house separately so you can cover parts that are not in use. This often can be done on one phone line and even only require one keypad for the entire system.

Homeowners may also want to look into perimeter protection, which can help you safeguard against intruders before they get inside. Perimeter protection covers garages and windows with glass break alarms as well as outdoor motion detectors. An outside siren and strobe lighting may also be used as an additional detriment.

Once you determine what you may need, then you need to find a company. You can look online for them and even see special offers that they have for installation. You should schedule a consultation to see if they can provide what you want to have, and listen to any suggestions. Read reviews of the company by people that use them to judge what type f services they provide and response time so that you can make n informed decision.

Home security alarm systems offer protection in your home and can help you make sure that your family is kept safe all the time. The right way to do this for your home can save you time and money and ensure that you have the best protection you can get. Honestly, identify the needs you have and discuss them during the consultation to get this need met. Make sure that you read the contract over well before you sign anything to avoid any surprises.