Looking for a reliable Home warranty company! Any suggestions ?

11 Replies

I have a rental house and will be self-managing my house this year. I’ve spent lots time online search for a reliable home warranty company, but ....lots of reviews all about bad home warranty companies. Please any thoughts or suggestions are welcome!

Hi @Joanna Love ,

We manage hundreds of homes and I can't honestly tell you that there has been a warranty company that we have seen that actually does what it says it will do for you.  Last year around this time, I had two separate properties with two separate warranty companies deal with similar AC issues.  In both instances, there were numerous trips to the home, numerous appointments with the tenants, numerous co-pays and in the end the problem was not resolved.  After complaining enough, they agreed to replace the unit, provided a $500 credit against the aging unit as they depreciated the value and gave a price for replacement.  We then sent our people for a exact match system and saved our clients $1500 even after applying the credit provided by the warranty companies.

The moral of the story was that in the end, cost much more to have the warranty vs. not.  Tenants were furious and it was headaches.  After this occurred, I sent my clients an email that we would no longer work with any warranty companies.  We would honor the existing warranty until it expires, but do not renew.  Everyone has been much happier since then.

I know this sounds bleak, but it is what we have seen over the many years of managing homes.  I hope this helps.

@Elias Camhi summed it up pretty well. Just recently dealt with a non-functioning HVAC and the homeowner had a home warranty. The homeowner had authorized the tenant through the HW to submit maintenance requests. The tenant tried to submit a request and the HW told the tenant that the homeowner had to submit the request, pay a deductible, AND provide the vendor to fix the issue. 

I would generally advise against HW.

Elias said it best. I have been in the business for over 40 years (new to this forum) and have never found a home warranty company that is not a crook. The service fees ($50-$75) per visit, unskilled contractors, etc, make them useless. Read the fine print, they can choose to replace with 'contractor grade'  instead of repairing or give you a cash settlement based on their depreciation schedule. If you think they will replace a 10-year-old water heater for just a service call charge, think again.

Cheaper to rely on a professional repair person. 

They don’t exist.

The problem with home warranty companies is they pay next to nothing to the contractors. So the contractors that get sent out are the ones that are desperate for income, probably because their phones aren’t ringing due to their poor service.

You should hear what the home warranty contractors say about what they're required to do.

They are incentivized to deny your service request as much as possible, because home warranty companies don't pay s*** to the contractors. They'll give you all kinds of BS "not covered" reasons not to do the work and collect their service visit fee.

The contractors who deny the most are bumped up the list, and get more service calls. They don't let you choose your contractor. So the contractor you get is most likely the crappiest one.

I had a dishwasher with a hose that came loose, causing a leak. The technician they assigned said a rat chewed my pipes.

If you have a clogged toilet, they'll say it's not covered because of limescale deposits.

If you have a malfunctioning water heater, they'll say not covered because of sediment and lack of maintenance.

Home warranty companies have had plenty of time to craft every sort of denial imaginable. 

The point of a home warranty is to make the company money not fix your problems. You'd be far better off saving that money and using it to fix problems as they come up and hiring quality and competent people to fix as things as they come up.

used appliances and or 0% financing can really help manage costs as well.