When purchasing a home, you have to make a lot of decisions about how to protect yourself and your new property. One of those decisions will be whether or not to obtain a home warranty. One of the main differences between renting and owning is that you are responsible for anything that needs maintenance or a repair. While many home repairs are simple projects that you can handle on your own, most homes contain appliances and features like HVAC systems, which can cost a lot of money to repair when if they break down. Read on if you're considering a home warranty or want to know more about the benefits a home warranty service can provide for you.

What is a home warranty?

First, it's important to understand what a home warranty is. A warranty differs from homeowners insurance, which many people confuse it for. Homeowners insurance is designed to handle the costs of events like burglaries, fires, hail, and other types of major property damage related to the structure of the house or your belongings. A warranty, on the other hand, is essentially a contract between you and a warranty company. In exchange for a fee, the company provides you with heavily discounted repairs and replacements for the major fixtures in your home. This can include everything from your ducted air conditioning system to your major appliances like a washer or clothes dryer. Even electrical systems and pools are often covered by home warranties.

Homeowners insurance typically does not extend to these components, and in some cases the repair cost isn't anywhere near high enough to meet the policy's deductible. If you have a home warranty, your warranty company will send one of its contractors or technicians to your home when something breaks down or needs to be looked at. As long as the issue is covered, it will be repaired for a small service fee. For homeowners with things like furnaces, vents, and HVAC systems in their home, a home warranty can help alleviate legitimate concerns that can arise from poor maintenance and care.

How can using a warranty service benefit you?

Now that you understand what a warranty is, you might be wondering if having one can benefit you as a homeowner. One of the main reasons people opt to purchase a warranty is the security and comfort that comes along with the investment. If you should find yourself dealing with an unexpected issue that requires repair or replacement, companies like America's 1st Choice Home Club offer peace of mind and an affordable way to resolve the issue without worrying about being overcharged by a contractor you're unfamiliar with.

If you're a home seller, offering a one-year home warranty to a buyer can help assuage any lingering concerns about the quality of the construction or the condition of various components within the property. An addition like this can be the difference between closing a deal and letting the buyer walk away. Many people who don't have much liquidity remaining after a home purchase also prefer a home warranty to defray future costs. Keep in mind that offering a home warranty does not absolve you from your legal obligations as a seller to disclose any flaws or problems with your home prior to closing the sale.

While a home warranty may not make sense for everyone, in many situations a warranty can provide meaningful benefits to you and your family. This is especially true if your home contains a number of fixtures or appliances that are susceptible to costly repairs. How important it is to utilize a home warranty company depends on your situation, what type of repairs you expect to need in the near future, and your budget. 

Ultimately, the reason many homeowners choose to buy a warranty for their property is the knowledge that they're covered if something unexpected goes wrong, which can provide a sense of home security. This is invaluable for anyone who wants to feel they are protected and prepared for anything.