We Realtors, when representing our seller and buyer clients, often time recommend a Home Warranty to protect our clients from something major happening to the home. We recommend to our seller clients to have protection during the sales process as offering it to a buyer. On the buyer side, we often time use this a negotiating tool for our clients.
However, does your Realtor really know if the protection is really the protection your needs? I would argue NOT.
Do they really consider the age of the home or do they just recommend a carrier that covers things like water-heaters, HVAC etc. and assume that you can sleep well a night because ‘ we got it covered’!
I can tell you that there is a little secret that the Home Warranty Companies do not tell. Just because your policy says replacing or fixing the water heater is covered, it really might not be.
Case in point!
Our Property Management Division has a client that recently had an issue with the water heater leaking. The tenant called us as required and we in-turn called the Home Warranty Company. The Home Warranty Company called HIS/HER preferred plumber to prescribe a solution. The solution, Water heater had to be replaced!
Cost… $650.00 which included the diagnosis, labor and new water heater. WHAT! , we have a home warranty!!!
However, the plumber stated to the Home Warranty Company that the water heater was no longer ‘up to code’. HUH! Where does it say that in the Policy? uh, er, hmm, IT DOESN’T!
So, I ask again. Does your Realtor really know if you are covered? At Carolina Living we now know to ask a whole more questions instead of just recommending the cheapest Warranty!
Have a Home Warranty Policy? One of your New Years Resolutions should be to call them!
