As the seller of a home, you want to ensure that you are offering certain items that can entice potential purchasers to make an offer. Certainly one way to go about this is to make sure that your property looks its best. Another is to offer a home warranty.
Most home warranties – not to be confused with a homeowner’s insurance policy that provides coverage for damage and theft – will cover items such as appliance repair and replacement, along with other items like water heaters and HVAC issues.
To a potential purchaser, these types of warranties can oftentimes provide the additional assurance that they need to move forward and make an offer on the home. But with many home warranty options available, what should you include in terms of coverage?
In most cases, including the home’s major systems – such as heating and cooling, along with the larger appliances like the stove, refrigerator, water heater, and the washer and dryer – will be sufficient. Typically, for one year of coverage, such a warranty will usually cost in the range of $400 to $500.
It is important to note, though, that a home warranty – just like a health insurance policy – will generally not cover pre-existing conditions. In addition, the coverage will often begin on the date of closing. Therefore, if an issue is detected during the home’s inspection (prior to the closing date), it won’t likely be covered in the policy.
In this case, then, you may need to take care of such items prior to the sale commencing, or alternatively, negotiate with the potential buyer on how to move forward with the repairs.
Need more information on what to offer with your home for sale in order to make it stand out? Contact Us and we’ll work with you on your home’s ideal marketing plan.