Home warranty worth it?

6 Replies

I have a rental property that is in another state that I cannot make go fix like one that is closer. With the home being just over 20 years old and just going on the age there may be bigger repairs coming like roof, A/C unit, or the appliances which are original. Any opinions on a home warranty? Service charge looks to be the same as calling a repairman, but they would cover the cost of the repairs.

Hi Gary,

Here is a short blog i did on home warranties;

First, as a Property Manager for over 20 years I have found that Home Warranties to be an absolute nightmare when it comes to tenants, owners and warranty companies.

I find that most of the time they magically don't cover the item that you are calling about, and you end up paying a service call fee, calling another vendor and then paying for and repairing it anyway.

They also take forever to get someone out to take care of anything. I think that most of the time they make people frustrated and you end up losing money in the end.

Typically the vendors they send out undercut each other to get the work, but then end up making no $, so your job falls to the bottom of the list!

Waiting for them to replace or warranty is a real issue with tenants in the property. The tenant, the property manager or owner must pay for the service fee immediately, and then we play the hurry up and wait game!

If you do purchase, it's important to make sure that you know your policy inside and out, what does it and does not include.

Make some connections with local tradespeople, property managers or use sites like Angies List or HomeAdvisor

Originally posted by @Kim Meredith Hampton :

Hi Gary,

Here is a short blog i did on home warranties;

First, as a Property Manager for over 20 years I have found that Home Warranties to be an absolute nightmare when it comes to tenants, owners and warranty companies.

I find that most of the time they magically don't cover the item that you are calling about, and you end up paying a service call fee, calling another vendor and then paying for and repairing it anyway.

They also take forever to get someone out to take care of anything. I think that most of the time they make people frustrated and you end up losing money in the end.

Typically the vendors they send out undercut each other to get the work, but then end up making no $, so your job falls to the bottom of the list!

Waiting for them to replace or warranty is a real issue with tenants in the property. The tenant, the property manager or owner must pay for the service fee immediately, and then we play the hurry up and wait game!

If you do purchase, it's important to make sure that you know your policy inside and out, what does it and does not include.

Make some connections with local tradespeople, property managers or use sites like Angies List or HomeAdvisor

 Do you have a direct link to the blog post you're mentioning? Great stuff!

Hi Alex,

No, that was the post, short, sweet and to the point

Originally posted by @Alex Smith :
Originally posted by @Kim Meredith Hampton:

Hi Gary,

Here is a short blog i did on home warranties;

First, as a Property Manager for over 20 years I have found that Home Warranties to be an absolute nightmare when it comes to tenants, owners and warranty companies.

I find that most of the time they magically don't cover the item that you are calling about, and you end up paying a service call fee, calling another vendor and then paying for and repairing it anyway.

They also take forever to get someone out to take care of anything. I think that most of the time they make people frustrated and you end up losing money in the end.

Typically the vendors they send out undercut each other to get the work, but then end up making no $, so your job falls to the bottom of the list!

Waiting for them to replace or warranty is a real issue with tenants in the property. The tenant, the property manager or owner must pay for the service fee immediately, and then we play the hurry up and wait game!

If you do purchase, it's important to make sure that you know your policy inside and out, what does it and does not include.

Make some connections with local tradespeople, property managers or use sites like Angies List or HomeAdvisor

 Do you have a direct link to the blog post you're mentioning? Great stuff!

@Kim Meredith Hampton is correct. Most property managers I know will not even manage a home that has a warranty on it. They are too slow to respond, deny claims often, use the cheapest vendor they can find, etc.

Insurance companies make profit by denying claims, not by taking care of your home.