Imagine this, it’s 10 degrees outside and your furnace huffs out its last breath. For first time homeowners, the initial thought is to probably call the landlord… but that was when you were renting, there is no landlord, this is your first home. So what do you do?
Two words, Home Warranty. So, what is a home warranty?
Similar to a warranty you would buy for your smart phone or your new gaming system, a home warranty is something that will cover costs in the event of a malfunction in your home. It can range from $300 to $900 a year.
A home warranty guarantees that you won’t pay out of pocket for problems when they occur. You would call your warranty provider and make the appropriate arrangements, talk about efficiency! There might be co-pay, but nothing that isn’t manageable, and it will be way cheaper then paying up front.
Who should get a home warranty?
Anyone should! But, warranties are great for first time homebuyers who have rented up until now. These essentially replace the landlord, and they become your go to. There are lots of different providers and types of home warranties. UHM or vLoan does not sell them, or recommend one over another. Very often your real estate agent will make a home warranty available as a part of purchasing a home. You should always read the contract (and the fine print!) to see what specifically is covered, what isn’t, and check for deductibles or maximums on claims.
With Millennials being the majority of first time homebuyers and working full time and staying out long hours. They definitely aren’t looking forward to fixing their leaking faucet after work, that’s why home warranty is a benefit for first time buyers.
Start saving time and money on your first home, and enjoy all the perks that come with owning your new crib!
As always, if you are ready to become a first time homebuyer please don’t hesitate to contact a member of the Housing Buzz team.