[EdFNJ]

I have read so many bad things (customer complaints) about dozens of home warranty companies it makes me wonder if any company who sells them is really on the up and up.

As a soon to be TV homeowner (don't know where yet) I am wondering if they have any real value.

R.E. Agents say "don't worry about buying a home with an old A/C (or whatever) just buy a home warranty because they will replace it if it breaks."

I am not so naive to believe that and I know for a fact that is not true. They will make dozens of attempted repairs (with $xx$ deductible) before they finally give in.

Is there a home warranty company that actually has a GOOD reputation for being fair and honest? Everything I have read says that "fair and honest" should not be used in the same sentence as "home warranty companies."


Any opinions on either side of that argument?

[retiredguy123]

In my opinion, home warranties are a total ripoff. Not because the companies are not "fair and honest". But, because the cost is too high, and there are too many exclusions written into the contract. Home warranties are used by real estate agents as a sales gimmick to convince people to buy a house with the promise that the warranty will provide peace of mind. Almost any air conditioner of other appliance can be repaired for a hundred dollars or so, even though the smart thing to do is to replace it. Most of the time, the warranty company will repair it rather than replace it.

[EdFNJ]

Originally Posted by retiredguy123

In my opinion, home warranties are a total ripoff. Not because the companies are not "fair and honest". But, because the cost is too high, and there are too many exclusions written into the contract. Home warranties are used by real estate agents as a sales gimmick to convince people to buy a house with the promise that the warranty will provide peace of mind. Almost any air conditioner of other appliance can be repaired for a hundred dollars or so, even though the smart thing to do is to replace it. Most of the time, the warranty company will repair it rather than replace it.

That's the same feeling I have. The only thing I disagree with is that there's no way you can repair an air conditioner for 100 bucks or virtually any other major appliance unless things are so different in TV then they are up here in New Jersey. In general though I agree with you.


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[Boomer]

Originally Posted by EdFNJ

I have read so many bad things (customer complaints) about dozens of home warranty companies it makes me wonder if any company who sells them is really on the up and up.

As a soon to be TV homeowner (don't know where yet) I am wondering if they have any real value.

R.E. Agents say "don't worry about buying a home with an old A/C (or whatever) just buy a home warranty because they will replace it if it breaks."

I am not so naive to believe that and I know for a fact that is not true. They will make dozens of attempted repairs (with $xx$ deductible) before they finally give in.

Is there a home warranty company that actually has a GOOD reputation for being fair and honest? Everything I have read says that "fair and honest" should not be used in the same sentence as "home warranty companies."

Any opinions on either side of that argument?

Ed, I don't know if what I say will help you because I am talking about an Ohio sale, but here goes........

(Disclaimer: I do not know if this is how it works in Florida.) But where I come from, some agents push home warranties. Some do not. I was told that it is the agent who makes a commission on the sale of a home warranty.

Buyers often request sellers to provide a home warranty. But as buyers, up north, we never worried about it because we knew who we would want to do the work if anything was needed and did not want the hassle of going through some company in the middle. We are maintenance freaks and want to pick our own people.

We also have a house in TV. We bought a pre-owned in an established neighborhood. Our wonderful neighbors there know "who to call" should something be needed. Reading recommendations on TOTV also helps.

My point is that when you are all moved in and know the territory, you might find that even with a home warranty in place, if something goes wrong, you might decide you would rather just cut to the chase and get someone to fix it on your own dime. I know we are of an age where we usually have some cash stashed in case the house needs something.

I don't know what a warranty costs in TV but in my Ohio area it's not a whole lot in the scheme of things. Young buyers especially want home warranties so sellers provide them sometimes. As buyers, we have never asked for one. For us, it would not be worth the hassle and run-around that I have heard can happen sometimes.

Good luck to you in your search and be sure to find a good inspector -- that is really important. But I am sure you already know that.

[retiredguy123]

I agree. When something goes wrong in your house, you want to have control about who fixes it, when it is fixed, how it is fixed, and whether of not replacement is a better option. With a home warranty, you have very limited options. For example, if your heating goes out on Sunday morning, there are companies who will come out that day, but probably not the warranty company.