A home warranty is a service agreement that covers the repair or replacement of major home appliances and system components that can break down over time due to normal wear and tear. Typically, a seller’s home warranty will include coverage on your home while it’s on the market. Once the buyer takes ownership of the home, the warranty is then transferred to them for one year of coverage beginning on the closing date of the sale.
When selling your home, offering a home warranty along with the sale can provide many benefits for both you as the seller as well as your potential buyers. Let’s look at a couple of reasons why you should offer a home warranty when selling your home.
Protect the sale of your home while under contract.
When an offer is made on a home, there’s always a waiting period between the offer and the final closing. This time period is typically referred to as “being under contract.” Sometimes, things can go wrong while a home is under contract. For example, an appliance can break down or the HVAC system might need to be repaired. If these things happen, it’s important to have some sort of coverage to protect you as the home seller and avoid any out-of-pocket expenses during the waiting period.
You’re more likely to sell your home much faster than you would without a home warranty.
Potential buyers will appreciate the peace of mind a home warranty provides. Buyers may only have enough cash on hand to cover the sale and closing fees. In the event, something were to fail, knowing that they will only have to pay a minor fee to have a system or appliance replaced, can make a world of difference to a home buyer who’s on the fence about a particular home. This is especially true for first-time home buyers, who might be concerned about future repair expenses.
A home warranty can be a great marketing tool.
Buyers may have more confidence when a home includes a warranty. Letting prospective buyers know their home and budget are protected from unexpected repair and replacement costs of covered appliances and systems can make all the difference in the world.
When putting your home on the market, you want to make sure you take advantage of all the tools available to you that will help you sell your home quickly and at the price you deserve. An AdvantageU Certified agent, can consult with you on your options when deciding whether or not offering a home warranty will give you the competitive edge you need in your market.
Listing your home for sale can be daunting, so set yourself up for success with an AdvantageU Certified agent and get results fast!