Reply
Regular Contributor
Posts: 133
Registered: ‎03-29-2009
0

Home Warranties

Does anyone know anything about home warranties? Are they even worth it?

Moderator Emeritus
Posts: 5,267
Registered: ‎03-18-2008
0

Re: Home Warranties

When we purchased our home several years ago, our real estate agent bought us a home warranty as housewarming gift.  The cost was somewhere around $300, if I recall correctly, and was from a company called Hisco.  We actually used it on a handful of occasions, and the cost of the warranty was definitely covered by these service calls.

 

We renewed the warranty for the next couple years.  Keep in mind that for some home warranties, the renewal coverage (i.e. policies beyond the first year of home ownership) is not as good as the new homeowner warranties.  There's a lot more restrictions as to what is covered.  We stopped renewing the policy when we realized that we weren't recovering the premium cost anymore, and when we got to the point that anything that went bad (furnace, washing machine, etc) would be replaced and not repaired.

 

The response time of the contractors through Hisco was actually very good.  But I've heard that other companies are not as quick to respond.  You're also restricted in your choice of service providers.  Actually, you have no choice whatsoever - the warranty company will send whomever they've contracted with.

 

There's typically a copayment of sorts that goes along with a warranty service call - around $25-50, depending on the company.

 

IMO, if you're reasonably handy with minor repairs, then a warranty may not be necessary.

Valued Contributor
Posts: 1,115
Registered: ‎10-31-2011
0

Re: Home Warranties

The are good because you just never know and for the most part the are fairly inexpensive ($299-$599) and cover a wide range of things in your house...nothing worse than moving in and a week later your hotwater heater/ac/fridge/etc goes out....ours was included in our closing cost that the sellers paid.

ccpics2.jpg

Copyright ©2001-2015 Fair Isaac Corporation. All rights reserved.   | Terms of Use | Privacy Policy | Sitemap

IMPORTANT INFORMATION: All FICO® Score products made available on myFICO.com include a FICO® Score 8, along with additional FICO® Score versions based on Experian or Equifax data (additional FICO® Score versions based on TransUnion data are not currently available on myFICO.com). Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more

FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.