The Top Five Mistakes To Avoid When Buying A Home Warranty
This ARTICLE On The Top Five Mistakes To Avoid When Buying A Home Warranty Was PUBLISHED On October 6th, 2019
When you are looking at buying a house, you may ask the seller to give you a home warranty.
- However, there are times when you need to get the home warranty on your own
- If you inherit a house that you would like to keep, you need a home warranty
- If you are purchasing homes for rental purposes, you need a warranty on each house
- Use the tips below to avoid any fatal errors when you are buying your first home warranty
- Also, you must remember that every home and warranty will be different
In this article, we will cover and discuss The Top Five Mistakes To Avoid When Buying A Home Warranty.
1. Buying A Standard Warranty
Home warranty companies in Houston create home warranties that suit the kind of home you have. Some warranties are designed for small homes, and these warranties will have lower limits for coverage. You do not want to be stuck paying for something when all you needed was a slightly more powerful plan.
The same is true for expensive warranty plans. If you are using an expensive home warranty with a lot of coverage options, you might realize that could never come close to reaching the maximum level of coverage. Because of this, you are overspending when you buy the warranty.
2. Assuming The Warranty Fixes Everything
The warranty that you get does not automatically fix everything. You need to read the fine print of the warranty so you know how much it actually covers. Some warranties do not cover the replacement of appliances, hot water heaters, or HVAC units. The warranty might pay for repairs, but you will be forced to pay for a new unit on your own.
Some warranties do not pay for water damage. Other warranties do not pay for garage doors and openers. You may come across a warranty that does not pay for carpentry repair, or you might find that the warranty does not cover wiring replacements. You simply need to read what the warranty covers and decide what you are most comfortable with.
3. Assuming Someone Can Come To Your Home Right Away
When you call the home warranty company for assistance, they will contact a partner company in the area that will send a technician. That is the company that is supposed to help you with your repairs. The partners may not be able to come to your home right away, and you may need to wait for the partner company to call you.
If you are concerned about emergency situations, you need to check on how the company handles this emergency. Some home warranties offer an emergency line you can call to get immediate assistance. However, there are other companies that cannot help you. If you get someone else to solve your problem, you cannot send the bill to the warranty company for compensation.
4. Assuming The Home Warranty Company Will Reimburse You
The warranty company can only help you if they send one of their partner businesses to your home to help you. If you thought that you could call any repairman you want, you are wrong. The warranty company expects that you will call them any time you need a repair. You are paying for the home warranty, and you need to make sure you get as much value out of it as you can.
IF the warranty company allows you to get reimbursement for certain services, you need to check their coverage limits. The warranty company may only pay so much for a repair that is done by a company they do not work with.
5. Allowing The Home Warranty To Lapse
The warranty that you buy for your home likely has a term attached to it. Some warranties last for as long as ten years, but other warranties might only last a couple of years. Because of this, you need to know when to renew the warranty. If the warranty is not renewed, you lose your protection. If you forget that you have lost your protection, you will need to pay out of pocket the next time you have a problem at the house.
Plus, you need to change your level of coverage if you ever make any improvements to the house. You want to have a plan that can pay to repair the modern things you have added to the home, and you should consult the warranty company about altering your plan.
When you get a home warranty, you need to make sure that it provides you with a level of coverage that you think works for your home. You also need to get a plan that has terms you are comfortable with. You should ask the warranty company if they allow for reimbursement, and you also need to ask them how they handle emergencies. All these factors will help you make a wise decision when purchasing your warranty.