Despite the booming home sales market in Pasadena, the average buyer wants to know that the home they are buying is in good shape. The problem is that you can tell the buyer your home is in great shape until you’re blue in the face, but this may not be good enough. A much better way to reassure your buyer is to offer them a home warranty and pay for it out of your pocket.
Why Should You Purchase a Home Warranty?
The best way to look at a home warranty is an insurance policy for your Pasadena home. These warranties are intended to cover a wide variety of areas within your house. What areas are covered is based on the policy you choose and how much you are willing to pay for this coverage. In the real estate world, anything that goes wrong with your home after the new owner takes possession of it is the new owner’s problem to deal with. However, you may find your home much easier to sell if you offer the buyer a decent home warranty.
Why Should I Pay for the Warranty?
A home warranty can be purchased by either the seller or the buyer and no matter what you choose to do, the buyer may still end up buying their own warranty. Before you get too far, be sure to research the cost of a home warranty in Pasadena as different areas may have different rates. Ask yourself if you are willing to risk the loss of a sale over something as simple as paying the cost of a warranty. Typically, the cost of this type of insurance runs around $500 or less. These policies do come with a deductible and like auto insurance, the higher the deductible, the lower the premium.
What Does a Home Warranty Cover?
What areas of your home will be covered by a home warranty depends on how much you are willing to pay for the policy. The most common policies are those that cover your Pasadena home’s major systems. These include plumbing, electrical, and climate control. You can also add coverage for things like major appliances.
Bear in mind that the more systems and items covered under the home warranty, the more any potential buyers are likely to consider your home over one that the seller has not purchased a home warranty. A good home warranty can also help you to sell your home for a final amount much closer to your asking price rather than forcing you to take less than you can afford to for it.
The best time to purchase a home warranty is immediately after you have had it professionally inspected. Not only can they tell you what needs to be repaired before you place your home up for sale, they can also help you determine what level of insurance to purchase for your Pasadena home. One last thought, a home warranty can help you pay for the cost of anything that happens to fail once the buyer has taken possession of your old home, which could save you a lot of money out of pocket.