There
are
a
lot
of
things
in
real
estate
that
aren't
rocket
science:
buy
low,
sell
high;
low
interest
rates
give
you
cheaper
money;
and
letting
someone
else
give
you
a
few
hundred
bucks
to
protect
your
house
over
the
next
12
months
will
save
you
money
up
front
and
down
the
road.
Let's
think
this
through.
You
just
spent
thousands
of
dollars
to
get
into
your
new
home.
You
were
able
to
negotiate
a
lower
price,
closing
costs
and
a
buy-down
on
the
mortgage
from
the
homeowner,
who
at
this
point
is
more
than
willing
to
hand
over
thousands
of
dollars
to
you
to
convince
you
to
buy
his
house.
Then
--
against
all
the
common
sense
that
I
can
understand
--
you
don't
ask
them
to
lay
down
$300
-
$500
to
put
up a
home
warranty
that's
going
to
protect
all
your
appliances,
heating/air
conditioning,
plumbing,
electrical,
garage
door
opener,
door
bell,
sump
pump,
well
pump,
swimming
pool
or
spa,
or
washer/dryer.
I
think
you
get
the
picture.
Keeping
in
mind
that
a
home
warranty
is
not
an
insurance
policy,
it
may
not
be
regulated
by
the
insurance
commission
in
your
state.
Thus,
the
fine
print
of
the
warranty
is
very
important
to
the
seller
or
buyer
before
signing
the
bottom
line.
Most
importantly
is
that
it's
going
to
cover
mechanical
problems
in
the
house
that
your
homeowners
insurance
may
not
cover,
such
as
what
I
listed
above.
Even
with
a
good
home
inspection
verifying
that
everything
in
the
house
is
working,
the
warranty
limits
your
liability
in
the
future
in
case
something
breaks
down.
Your
liability
is
usually
the
deductible
per
incident
of
about
$100
(again,
check
the
fine
print
of
your
warranty).
Some
of
the
limitations
of a
warranty
may
include:
Pre-existing
defects.
For
instance,
if
you
buy
the
house
and
have
a
home
inspector
tell
you
that
there's
a
crack
in
the
heat
exchange
and
should
be
fixed
--
the
home
warranty's
most
likely
not
going
to
fix
it
when
you
|
 |
|
|
move
in
just
because
you
bought
the
policy.
The
heat
exchange
must
be
in
working
order
before
the
policy
goes
into
effect.
Some
items
may
not
be
covered.
While
electrical
items
will
be
covered,
the
warranty
may
not
cover
accessory
items
such
as a
house
exhaust
fan,
attic
fan,
smoke
alarms
and
intercom
or
speaker
systems.
In
the
electrical
area
what
would
be
covered
would
be
your
basic
wiring
around
the
house
--
your
light
switches,
main
breaker
or
fuse
panel,
box
receptacles
and
the
like.
(Again,
read
the
fine
print.)
Additional
systems.
If
you
have
zoned
heating,
the
warranty
may
only
cover
one
heating
system,
not
both.
There
may
be a
limit
on
how
many
toilets
it
covers
through
the
house
(only
three,
not
four).
More
than
one
appliance
type
--
the
fridge
in
the
kitchen's
covered,
not
the
one
in
the
garage.
Nevertheless,
many
of
the
warranties
I've
seen
allow
for
riders
to
cover
such
items.
If
you
decide
to
go
with
a
home
warranty,
remember
that
having
one
in
place
doesn't
mean
you
can
quit
taking
care
of
the
house.
The
warranty
is
covering
surprises
to
the
homeowner,
not
homeowner
neglect.
Finally,
read
the
fine
print
of
several
warranties
before
laying
out
cash
for
one.
Compare
the
cost
per
year
(but
don't
necessarily
go
with
the
cheapest);
what
is
the
deductible;
what
are
the
limitations
on
coverage
(some
may
have
a
low
deductible,
but
cap
how
much
they'll
put
out
on
coverage);
caps
on
replacement
cost;
etc.
Should
you
get
a
home
warranty
during
your
home
purchase
transaction?
Let's
put
it
this
way.
I've
never
heard
about
a
homeowner
upset
for
having
one
in
place,
but
I've
heard
many
complain
they
didn't
have
one
when
something
breaks.
By
the
way,
remember
the
home
warranty
is
not
just
for
those
in
the
middle
of a
transaction.
Any
homeowner
can
put
a
warranty
in
place.
For
a
referral
for
a
good
home
warranty
ask
your
real
estate
professional.
|
