Did You Know that a Home Warranty Service Agreement Offers Protection While Homes are on the Market?
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 during this period. An appliance can break down, the HVAC system might need to be repaired and the list goes on. If these things happen, it’s important to have some sort of coverage to protect the home seller, which is where protection from Home Warranty Service Agreement, with Seller’s coverage* comes in handy.
What Is A Home Warranty Service Agreement?
Home Warranty Service Agreements are referenced in a variety of ways, including home warranties, home service contracts, Service Agreements and systems and appliances Service Agreements. Regardless of the term being used, a home warranty provides protection for a home’s most important systems and appliances, such as air conditioners, HVAC systems, refrigerators and more, when they break from normal wear and tear.
The Perks of Seller’s Coverage for When the Home is on the Market
With a Home Warranty Service Agreement, sellers can also secure coverage for their home while it is on the market. Some companies, like 2-10 Home Buyers Warranty® (2-10 HBW®), offer complimentary Seller’s coverage.
Seller’s coverage is complimentary, where allowed by law, with the condition that an annual Service Agreement is be purchased once the house sells. The seller is typically the party who pays for the Service Agreement.
How Home Warranty Service Agreements Benefit Sellers While They’re Under Contract
Simply put, systems and appliances break down more often than many homeowners realize. The average home needs repairs more than twice per year (Consumer Affairs, 2014), and those repairs can cost as much as 1% of the home’s original purchase price. A Service Agreement ensures that eligible repairs that occur from normal wear and tear are covered.
There are other seller benefits, too.
Using the Coverage Is Straightforward and Simple
Requesting service when a system or appliance breaks down is easy. The selling period is a stressful time, and the last thing a seller needs is another complicated request process. Sellers can submit a service request by phone, and then a qualified contractor will schedule a visit to the home.
This can be especially useful while under contract, when ideas around who is responsible for what might be unclear. Sellers can use a Service Agreement to confidently protect themselves, their finances and not jeopardize the upcoming closing if a system or appliance isn’t working properly.
Prevent Post-Closing Disputes with a Home Warranty Service Agreement
Home Warranty Service Agreements also protect the seller from post-closing disputes with the new homeowners. If something does break down or require repair, the buyers can use the coverage provided by the Home Warranty Service Agreement if the system or appliance was in place and in good and safe working order.
Learn more about how a Home Warranty can save homeowners from unpleasant financial surprises and add value to your business.
*Seller’s coverage is complimentary until closing, where allowed by law, and requires a commitment to purchase the Home Warranty Service Agreement for the Buyer.