2025 June issue of InMaricopa Magazine

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documentation of system maintenance, including service records for things like HVAC tune-ups. Even with records, approval is not guaranteed, and disputes between the homeowner and warranty company over what constitutes “normal wear and tear” are common. Industry insiders suggest home warranty companies may be more lenient with claims on warranties purchased during the home sale. Providers may be more motivated to maintain good relationships with real estate professionals who refer clients. Homeowners who purchase warranties outside of a home transaction may face stricter enforcement of terms and conditions. A home warranty can be worth it — if you understand what it actually covers, keep maintenance records, and manage expectations. It’s not a magic shield, but it can offer a financial cushion.

A warranty is different from homeowners insurance, which covers a home’s structure and belongings in the event of a fire, storm, flood, or other accident. Warranties are for replacing or repairing items due to normal wear and tear. At their best, home warranties offer convenience and cost savings. If a covered item like an HVAC system or dryer breaks down, the homeowner can call the warranty provider to arrange service for a small fee. This is helpful in the first year of ownership when buyers may still be recovering from closing costs and moving expenses. Beware the fine print, however. Coverage often excludes pre-existing conditions, or anything deemed to have failed due to improper maintenance. Many homeowners discover the policy doesn’t cover what they assumed it would. A good example would be if your air conditioning went out in the summer. If a costly repair or replacement is needed, the warranty may only cover a portion of the costs, leaving you to pay thousands of dollars out of pocket. Additionally, it may take the provider’s chosen repairman days or even weeks to complete the repair. Filing a claim isn’t always simple. Homeowners are frequently required to provide

W HEN BUYING A HOME, PEACE of mind is a powerful bargaining chip. That’s where home warranties come in. Often added by the seller during closing, a home warranty is a one-year service contract covering repair or replacement costs for non-structural issues, including the air conditioning, plumbing and electrical systems, or major appliances, like a refrigerator, water heater or dishwasher. For buyers, it offers reassurances they won’t face unexpected expenses after move- in. For sellers, it can help smooth negotiations. Examining the value of a home warranty BY DAYV MORGAN

Dayv Morgan is a Maricopa realtor and owner of HomeSmart Premier.

480-251-4231 DayvMorgan@gmail.com