Home Warranty VS. Home Insurance

When purchasing a new home, it’s important to do in-depth research on all facets of the homebuying process. One thing you’ll need to understand is how to best protect yourself and your investment if anything were to go wrong. There are many different options for you as a home owner. Of course, as your trusted realtor for advice and to answer any questions you have!

Home Insurance

Homeowners insurance pays for any accidental damages and loss that are caused by fire, lightning strikes, windstorms, hail etc. It also covers the replacement of personal property in case of theft or damage and liability if a person were to get injured in your home or on your property. According to American Home Shield, the average annual cost of a homeowner's insurance policy ranges between $300 and $1,000, and the bank usually asks you to obtain a policy before the mortgage is issued. Make sure to keep in mind that each type of coverage in the policy is subject to a limit and, in most cases, you will have to pay a deductible. Obviously, for the most accurate information and quote, talk to your local home insurance guru.

I have a network of professionals that I personally use and recommend to my clients. Reach out if you are interested in connecting with my go to insurance guy!

Home Warranty

A home warranty is designed to cover the cost of repairs and replacements of larger appliances and crucial systems in your home that may fail or break due to age and wear and tear. This includes but isn’t limited to HVAC, electrical, or plumbing components, kitchen appliances, and your washer and dryer. With a home warranty, you are required to pay premiums year-round, even if you do not use it, and it won’t cover damages if appliances were not maintained properly or if the damage is from a fire or other disaster.

In some cases, you are able to purchase your home and the seller will include a 1 year home warranty. Ask your agent about this when putting an offer in on your home! If the seller does not include one you can still get a warranty! I have a trusted warranty company that I use and recommend to all of my clients as well :)