Does a home warranty increase your home’s resale value?
Yes, a home warranty may increase your home’s resale value. In the best scenarios, having home warranty coverage can increase your home’s resale value by nearly 1% and help you sell your home more quickly. Let’s talk about how a home warranty does that, three reasons why you should get one, and some of the perks of having coverage from 2-10 Home Buyers Warranty (2-10 HBW).
What does a home warranty do?
A home warranty is a service contract that protects your home’s major systems and appliances against breakdowns caused by normal wear and tear. Over time, things like your water heater, air conditioner, and dishwasher get worn down from use. Often, these home systems and appliances break down long after the manufacturer’s warranty expires.
With 2-10 HBW, you have more choices to cover the things that matter most. If you just want to cover your major kitchen appliances, like your dishwasher and fridge, you can. If you want to cover as many things as possible—from your stove to your air conditioner and plumbing—you can do that, too. And of course, 2-10 HBW offers many additional coverage options, so you can protect things like your washer and dryer as well.
Additionally, if you ever decided to sell your home through a real estate agent, they may be able to provide certain coverage. Learn more about 2-10 HBW’s coverage for home sellers here.
Why should I get a home warranty?
There are tons of reasons. But let’s stick with three big reasons related to your home’s value.
1. Budget protection
First, a home warranty can really protect your budget against unexpected breakdowns. When you have coverage from 2-10 HBW, you can reduce the cost to repair or replace covered items to a small Service Fee (usually less than $100). That’s a big deal, especially when you consider how much it can cost to repair or replace your home’s systems and major kitchen appliances. It can even help you save money on breakdowns for use toward home improvements you actually want to do.
2. Less time vetting contractors
Second, a home warranty gives you access to local, vetted Service Contractors. One of the hardest parts about addressing breakdowns is finding the right person to address them. With 2-10 HBW, we do all the research and vetting for you. When something breaks down, we find the right person and put you in touch with them so you can make an appointment that fits your schedule. That gives you more time to make improvements that increase your home’s value in the long run.
3. Deal closing
Finally, providing coverage for a potential home buyer can directly affect the value you get from selling your home. Even in a seller’s market—like the one we’re seeing in 2021—move-in-ready homes are preferable to big renovation projects. When you provide a home warranty for a buyer, you’re telling them two things.
- My systems and appliances work well, and this warranty proves it. (Home warranties cover items that are in good working condition when the warranty term starts.)
- If something were to break down, you have cost-effective coverage to help you address it.
Providing buyers with this peace of mind can help you sell to the buyer you prefer. That could lead to a home sale that provides the best price for you on a timeline you’re comfortable with. It’s a big reason why home sellers use a home warranty more than any other incentive on average, according to the National Association of REALTORS.
Conclusion: A home warranty can increase value and so much more!
It’s clear that a home warranty can increase your home’s value and help you sell your home for more money more quickly than homes without one. But even if you don’t intend to sell anytime soon, coverage from 2-10 HBW can provide so much value.
It protects your budget and reduces the time it takes to find someone to address breakdowns. Plus, warranty holders get access to special perks that can help them continue to build value in their home.
For example, you can access 2-10 HBW’s Appliance Discount Program and save on GE and Whirlpool brand appliances. Or you can use our Appliance Replacement Offer, and 2-10 HBW will give you $100 toward a brand-new appliance if a covered appliance breaks down and you’d rather buy a new one over having the old one serviced.
See which home warranty plan is right for you by visiting our Pricing and Plans page. 2-10 HBW works hard every day to keep homes humming and help you enjoy home ownership, from relaxing to value building!
2-10 HBW offers the most comprehensive home warranty coverage for homeowners. Let us help you protect your home.