When purchasing an existing home, a home warranty can provide peace of mind knowing that repairs to leaky pipes, broken furnaces, or appliance break-downs can be fixed for a “nominal” service charge. However, upon closer inspection, these warranties may not provide all the coverages you might expect. Home warranties purchased on existing homes are more like limited service contracts that are in effect for only one year. The warranty policy holder typically has no control over who provides the repair service – that is determined by the warranty company itself.
