Home warranty...are any good?

[Mark Weinmann]

So I'm looking at home warranties for my property. I currently have one and it's crap but my realtor bought it. I want to find a good one. Any suggestions?

[Dave Melton]

Ive never bought a home warranty except when selling a house to unsophisticated buyers. Most of these warranties are largely a commission generator for the agent selling them. I've heard many stories of all the things they won't cover. Just like any insurance it's a math game. The warranty companies spent a lot of time and money making sure their policies aren't likely to have to payout much if anything. It's not something I suspect any seasoned investor would buy. We own property and things wear out and need servicing or replacement from time to time, it's the cost of doing business.