Home Warranties:

A home warranty pays repair or replacement costs for the mechanical systems and built-in appliances that break down in a home.

Warranties can be purchased by either the buyer or seller.  We usually negotiate in a free home warrantee for our buyer client to be paid by the seller at closing. 

The coverage period is normally one year. There are a lot of companies offering home warranties and coverage of individual policies can vary widely.   Take note of the deductables with various policies, and study the coverages in detail.  (We can refer you to the ones that we think are best - based on past client experiences.) 

Usually, central heating and air conditioning systems, electrical, plumbing and major appliances are covered. It is important that you read the policy closely and understand what is and is not covered. 

The cost for a one year home warranty typically runs between $350 to $500, depending on the size of the home and the specific types of coverage.  In addition to the policy premium, there is normally a deductible of $75-$200 to pay when making a repair claim.   
 
The first year after buying a home is a time when most people don't have a lot of cash on hand to cover problems that might arise. 

Having a one year home warranty in place can provide peace of mind during this time, and if something does break down, it could really save your budget.