Orlando Real Estate » Home Selling » Homeowners Warranty
Homeowners Warranty ~ Preventing Lawsuits
When a seller finalizes a deal with a buyer, the buyer expects the utilities and major household appliances to work. So if the home is sold during the heat of summer, next winter when the thermostat is switched over to heat and nothing comes out of the vent but cold air, you can imagine the reaction.
Anyone can sue anyone, even when it isn't "fair." Since it costs money to defend against lawsuits, the seller generally gives in and replaces the heater, even when it was in perfect working order last winter. Or the dishwasher, or whatever else has gone wrong.
All of which can be easily avoided through the purchase of a Homeowners Warranty or Home Protection Plan, which is basically a different kind of insurance. If the electricity, plumbing, heating, air conditioning, water heater or major appliances break down, the insurance company fixes it.
For houses under 5000 square feet (which covers most houses) the cost is usually less than $300. Sellers should price this insurance into their cost expectations when pricing their home. It is not much to pay for peace of mind and the knowledge that when your house is sold, you really will be done with it. |