Customers of all kinds rely on warranties for their devices, automobiles, mattresses, and more, but many homeowners have never even heard of a home warranty.
Unlike a typical product warranty, a home warranty doesn’t just cover the home itself, but rather the major systems and appliances within the home. Home warranties can cover home appliances, electrical systems, HVAC systems, roofing materials, and many additional home fixtures. And unlike home insurance, a home warranty will often cover appliances that break down through normal wear and tear.
“Home warranties provide financial protection for homeowners who might be faced with unexpected problems with their appliances,” said Shawna Bell of Landmark Home Warranty. “The warranty plans offered at the time of the real estate transaction typically offer the most comprehensive coverage and price points, so that’s why it’s the ideal time to lock it in.”
Home warranty organizations can provide excellent service and peace of mind to new homeowners, but unfortunately not all of these companies are living up to their promises. According to KVUE, many Texas and Georgia homeowners have been struggling to find a credible home warranty organization.
Gabriel Neila recently moved his growing family into a townhouse in Austin, Texas, and after noticing a few minor issues around the property, he decided to contact Delta Home Protect out of Atlanta and spend $400 for a home warranty.
“I thought I’d made a good purchase,” Neila added. “I kept calling this person and she kept saying there was nothing she could do.”
After continuously asking for help, Neila discovered that the Better Business Bureau (BBB) had received more than 1,800 calls and complaints about Delta Home Project over an eight-month period.
“Generally the things we get complaints about are about coverage and difficulty in getting certain items repaired,” added Erin Dufner, the chief marketing officer at the BBB.
Of course, there are legitimatize home warranty companies that provide quality coverage and protection. Typically, a home warranty will cover all qualified structural defects from the date of closing to a period of between one and 10 years.
Because homeowners are having trouble working with some home warranty companies, other companies are stepping up to provide better service. According to EconoTimes, ServicePower and Encompass agreed to a five-year partnership to provide more new and replacement parts for the home warranty industry. In particular, the joint partnership will help warranty underwriters repair the complex electronics that are increasingly covered under a home warranty program.
“We offer service professionals expedited access to parts needed for just about any repair imaginable,” said Joe Wang, ServicePower Chief Services Officer.
For homeowners wary of purchasing a home warranty, be sure to read all of the contract’s fine print, check for complaints through the BBB, and look for companies that have been in business for at least a decade.
