Home Warranties

November 6, 2018



One of the scary things about making the leap from property renter to property owner is the idea of maintenance and upkeep. You’re no mechanic or repairman. You don’t know a socket wrench from a sheep ranch. And calling repairmen—how do you know you’re not going to get ripped off because of your lack of knowledge? One solution is the home warranty. These are often offered as part of the buyer’s incentive package when you are buying a home.


What a home warranty is not: It’s not a blanket insurance policy against anything ever going wrong in your home. It’s not a permanent warranty. It does have exclusions. Before you purchase or accept a warranty, it’s good to know what the warranty is, what it covers, what it doesn’t and how it works.


How does it work?: Most home warranties are very similar. You’ll want to read your warranty thoroughly and mark anything you don’t understand to have explained to you. But in general:


1.) If a home system or appliance breaks down or stops working, you call the home warranty company.


2.) Your home warranty company will call a service provider it has a business arrangement with.


3.) The service provider will call you to make an appointment.


4.) The service provider will fix the problem. If an appliance or system is malfunctioning and can’t be repaired, depending on your contract coverage, your home warranty company will pay to replace and install the appliance.


5.) You will pay a small trade service fee (usually less than $100).



What If the service provider doesn’t fix something to your satisfaction or says that the problem is your fault and isn’t covered by your warranty? Call your real estate agent. Your real estate agent should seek resolution for you.


What’s not covered?: Check your specific policy, but in general:

 - Outdoor items such as sprinklers

 - Faucets

 - Refrigerators

 - Washers and Dryers

 - Garage door openers

 - Spas and pools (unless specific coverage requested) 

 - Permit fees

 - Haul-Aways 


Again, it is important to know and understand your specific policy in order to be aware of what is and is not covered. 


What can cause denial of a claim?

 - Improper maintenance

 - Code violations

 - Unusual wear and tear

 - Improper installation



General coverage includes

 - Air conditioning

 - Dishwashers

 - Doorbells

 - Furnace/heating systems

 - Water heaters

 - Ductwork

 - Garbage disposals

 - Inside plumbing stoppages

 - Ceiling fans

 - Electrical systems

 - Range and oven

 - Telephone wiring


Your responsibility is to read thoroughly and understand your warranty before you agree to the terms. Be sure to clear up anything you don’t understand before you sign anything. Never be afraid to ask questions to your real estate agent or provider of your home warranty plan.  




Thank you for reading!

Do you have additional questions regarding home warranties or wish to speak to one of The Derhake Team members regarding real estate?


Feel free to contact one of us anytime!




Jenny Derhake


phone: 636-379-5103


email: jenny.derhake@cbgundaker.com







Garrett Mainer


phone: 636-379-5117


email: garrett.mainer@cbgundaker.com






Mercedes Dunlap


phone: 314-520-8728


email: mercedes.dunlap@cbgundaker.com






Follow The Derhake Team:


Facebook - www.facebook.com/thederhaketeam/ 


Instagram - www.instagram.com/thederhaketeam/




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