| Many people think that home warranties are | | | | Money Pit" - well, that kind of thing (houses |
| reserved for new homes - which home builders | | | | falling apart at the seams after you move in) |
| provide them for the new homes built in case | | | | happen every single day. You really have no |
| something goes wrong. However, home | | | | idea what you are purchasing with an older |
| warranties have been around for many years | | | | home. Even having an inspection done on the |
| and furthermore, they are often used for | | | | home is no guarantee - an inspection can't |
| older homes. | | | | necessarily tell you that the water heater |
| | | | will give up the ghost completely in three |
| Home warranties are not a new concept, | | | | months' time or that the fridge will need to |
| although many people are new to the idea of | | | | be replaced in six months. |
| purchasing a home warranty on an older home. | | | | |
| It's true - many of the home warranties are | | | | There are many reasons why you should have a |
| done on new homes that are being built - | | | | home warranty - protection for yourself and |
| there's just no guarantee with a new home and | | | | your family, and of course, your finances is |
| everything working out for you. However, | | | | the main reason. You have to look at the fact |
| older homes have even more issues with not | | | | that a home warranty will cover any major |
| knowing what you're going to get. What looks | | | | repairs that need to be done and in many |
| good on the outside could quickly turn into a | | | | cases, replace your major appliances if |
| money pit. What are you to do when you are | | | | needed through the term of your home |
| buying an older home and you just aren't sure | | | | warranty. This could mean coverage for |
| what you're getting yourself into? Purchase a | | | | thousands, or tens of thousands of dollars of |
| home warranty for your older home. | | | | repairs that may need to be done to your |
| | | | home. The real question is can you afford NOT |
| It is just as simple to purchase a home | | | | to have a home warranty on an older home |
| warranty for an older home that you are | | | | purchase? Most likely the answer is no - it's |
| purchasing as it is for a new one. In fact, | | | | usually in your best interest to purchase the |
| many sellers are offering home warranties as | | | | home warranty when you purchase the home. |
| a selling feature on the house they are | | | | |
| selling. If the home you are buying doesn't | | | | Home warranties when purchased by the buyer |
| have a home warranty, you can purchase one | | | | are usually renewable after the original term |
| yourself. | | | | (usually a one year term) has passed. If the |
| | | | seller is offering the home warranty, most |
| Home warranties on newer homes are less | | | | often it is non-renewable when the term is |
| expensive than those on older homes, simply | | | | up. Either way, the protection offered to you |
| because the chance of something 'going wrong' | | | | by a home warranty is paramount and can save |
| is much less likely with a newly built home. | | | | you quite a bit of money should something |
| With older homes, there's always the chance | | | | major need to be replaced. |
| that the water heater or furnace will give | | | | |
| out and need to be replaced, or that the | | | | When you are shopping for a home warranty, |
| appliances will need to be repaired. Of | | | | it's best to do some research and ensure you |
| course, there are major systems in the home, | | | | are getting the best home warranty for the |
| such as plumbing and electrical that could | | | | best price. Each home warranty is different - |
| also need to be repaired or replaced. The | | | | they vary from company to company and state |
| costs of labor and parts for any of the major | | | | to state. Be sure to find out what your home |
| systems in your home could be quite costly. | | | | warranty will cover and what it will not |
| These are the chief reasons why having a home | | | | cover and any provisions on the coverage that |
| warranty on an older home is more expensive | | | | are present in the contract. Read the |
| than on a new home, and why it is also a good | | | | contract thoroughly to be sure you understand |
| idea to have a home warranty when you are | | | | what is and isn't covered and all the |
| purchasing an older home. | | | | provisions allotted for in the contract. If |
| | | | you aren't sure on some point or another, ask |
| Purchasing an older home is often a gamble - | | | | the agent selling you the home warranty |
| you've likely seen or heard of the movie "The | | | | policy. |