Moving into a new home often comes with the “perk” of a home warranty policy. Usually the seller offers to provide the warranty; but if not, many buyers still elect to purchase this $300 – $700 annual policy for a bit of peace of mind in their new home.
As my husband and I are moving into a new home shortly, we’ve spent a lot of time researching the various home warranty companies and reading through online reviews.
What a mixed bag! Some reviewers are thrilled with their warranty — especially those that got a brand new furnace, refrigerator or other major appliance out of the deal.
Others are disenchanted, complaining about slow service and the warranty company’s loop-holed refusal to replace an item that is clearly beyond repair.
Journalists and bloggers have chimed in on the Is a Home Warranty Worth It? question as well. A few have had great experiences – like John and Sherry of Young House Love, who got a new furnace from their home warranty company.
But most of the articles and posts I’ve read have come down (hard) against these policies. Clark Howard, for example, says that home warranties aren’t worth the paper they’re written on.
And Angie’s List says that home warranties have the worst approval ratings of any category on its site.
My husband and I are getting a home warranty from our sellers, so we’ll definitely have one for the first year — since it’s “on the house,” so to speak. We are still checking out companies, trying to decide which one to go with. I’ll be sure to share our experiences with you along the way — especially in the event that we need to call on our home warranty company during the first year.
For now, though, I’d love to hear from you!
What is your opinion of home warranty companies? Are they are a great potential money-saver? Or a total waste of money? Do you have a company that you’ve loved — or hated?