If you or someone you know is in the process of selling their home, understanding a home warranty and what a home warranty covers in San Diego is essential in helping you stay informed throughout your house selling journey. Understanding the coverage details of a home warranty is crucial to know what is included and excluded from the warranty plans. Unlike homeowners insurance, which covers damages from events like fires or theft, a home warranty provides added protection by covering necessary repairs and replacements after an appliance or home system breaks down from normal wear and tear. Today, we are going to help you understand the ins and outs of a home warranty, especially what a home warranty covers in San Diego.
What is a Home Warranty Company?
Definition and Purpose of a Home Warranty
Let’s first get into what a home warranty is. A home warranty is a service contract that covers the repair or replacement of important appliances and home systems components that break down over time. It provides protection for your budget and peace of mind. This is extremely valuable when you are jumping into one of the largest financial decisions of your life.
Benefits of a Home Warranty Company
There are many benefits of using a home warranty company. A home warranty offers peace of mind all year, and you won’t have to worry about steep expenses from major repairs or replacements. According to thisoldhouse.com here is a breakdown of some costs you would incur without a home warranty:
Cooktop/range: $100–$430
Dishwasher: $100–$300
Garbage disposal :$70–$400
Microwave :$50–$400
Oven :$100–$400
Refrigerator :$200–$500
Washer/dryer: $100–$650
A home warranty covers sudden appliance breakdowns and system failures, which are not covered under an insurance policy. Home warranties protect against costly repairs or replacements of major home systems and appliances as noted above, providing financial protection and peace of mind to homeowners.
How Home Warranty Companies Work
Service Contract Overview
Now, let’s understand a service contract. A home warranty is a yearly service contract that covers the repair and replacement of important household appliances and home system components that inevitably break down over time. Without this contract, you are responsible for major repairs and replacements which could amount to tens of thousands of dollars.
Top Home Warranty Companies in 2024
Below are a few of the top home warranty companies in 2024.
AFC Home Warranty
AFC Home Warranty leads in comprehensive coverage options and flexible service fees.
Liberty Home Guard
Liberty Home Guard shines in extensive range of customizable add-ons and rapid response times.
American Home Shield
American Home Shield offers premium ShieldPlatinum plan with extensive protection against climate impacts.
Cinch Home Services
Cinch Home Services stands out in enhanced warranty perks and rust and corrosion protection.
Home Warranty of America (HWA)
Home Warranty of America caters to homeowners with straightforward, easy-to-understand plans and essential appliance protection.
Home Warranty Cost and Pricing
Average Home Warranty Cost
So now that we know what a home warranty is and what a contract entails, you may be wondering what the average cost for a home warranty is. Well, the average home warranty cost is $733 annually, or $48–$79 per month, depending on the provider and coverage. When compared to potential replacement costs for major home systems and appliances, such as gas furnaces, ovens, plumbing systems, refrigerators, and roof leaks, a home warranty can provide significant savings and valuable insights for homeowners.
Factors Affecting Home Warranty Cost
Your final price will vary based on your plan, service call fees, location, and additional coverage options. Coverage limits, including any restrictions or financial caps on the coverage provided, can also affect the final price of a home warranty plan.
Service Fee Comparison
Depending on the issue and the company you use services fees can range quite a bit. Service fees range from $65-$125, depending on the provider.
Choosing the Right Home Warranty Company
Key Considerations for Homeowners
When embarking on the home buying process, there are key considerations for homeowners. Research and compare home warranty companies to find the best option for your needs. A home warranty plan connects you with local service providers, eliminating the need to research or shop for the best pricing for repairs or replacements.
Research and Comparison Tips
Consider key points such as coverage, pricing, and customer service when choosing a home warranty company. After all, you want a good relationship when dealing with home repairs and issues.
Home Protection Plan Benefits
Standard Coverage and Additional Options
Home warranties cover systems and appliances in the home that suffer from wear and tear. Often, these plans include coverage for air conditioning systems, protecting homeowners from expensive repairs and potential coverage caps.
Member Benefits and Perks
Some home warranty companies offer additional services like seasonal HVAC tune-ups and rekeys. This is a huge perk, so definitely find out what your home warranty company offers!
Home Warranty Reviews and Ratings
Customer Testimonials and Feedback
Generally, homeowners who purchase home warranties are happy with their decision. Customers appreciate the ease of being connected with a qualified service provider for repairs or replacements, as part of their home protection plan.
Frequently Asked Questions
Let’s get into some frequently asked questions when dealing with a home warranty.
Can I purchase a home warranty at any time?
Yes, you can purchase a home warranty in California at any time.
Do home warranties cover HVAC systems?
Yes, most reputable California home warranty providers offer HVAC system coverage.
How soon should I file a claim with my home warranty company?
You should file a claim with your California home warranty company immediately after you notice a system or appliance breakdown.
Can you cancel a home warranty?
You can cancel your California home warranty plan at any time.
Trusted House Buyers
As you can see, a home warranty is a great idea to provide the homeowner peace of mind when diving into the home selling process. If you are looking to sell your home quickly, consider working with Trusted House Buyers. We are a local cash buying company who is known for our compassionate, professionalism, and dedication to our clients. We are able to help home sellers exit their homes quickly and efficiently, hassle free. For more information, give us a call today at 619-86-0973.