What Does a Home Warranty Cover?
Buying a home is one of life’s big milestones — but along with all the excitement comes a few inevitable “uh oh” moments. You move in, unpack the boxes, and then…the water heater sputters out. Or maybe the fridge decides it’s had enough just weeks after closing. That’s when a home warranty can step in and save the day.
But what does a home warranty cover, exactly? And is it something buyers should care about? Let’s take a closer look.
Home Warranty 101
This just in: A home warranty isn’t the same as homeowners insurance. Insurance protects against big unexpected events like fire, storms, or theft. A home warranty, on the other hand, is a service contract that helps cover repairs or replacements when your systems and appliances give out from normal use.
In other words? It’s there for the everyday breakdowns that make homeownership feel a little less glamorous.
Why Buyers Care About Home Warranties
If you’re buying a home, chances are you’ll come across the idea of a one-year home warranty. Sometimes sellers throw it in as a perk, or you can purchase one yourself at closing. It’s popular because that first year is when you’re learning your new home’s quirks — so having coverage can feel like an extra layer of reassurance.
Interested in brushing up on other homebuying topics? Check out these posts next:
- Things That Fail a Home Inspection
- How to Buy Your First Home in DC
- Building Vs Buying a Home
- What Do HOA Fees Cover?
So, What Does a Home Warranty Cover?
Coverage can vary, but most warranties include:
- Big systems: HVAC, plumbing, electrical
- Everyday essentials: Refrigerator, oven, dishwasher, washer/dryer
- Optional extras: Pools, spas, septic systems (if you want to add them)
In other words? It accounts for the parts of your home that you rely on daily — and that can cost a fortune to replace if they fail unexpectedly.
So if you’ve ever wondered, “What does a 1-year home warranty cover when buying a house?” The answer is: usually the same big-ticket items, but with a fixed timeline that helps ease you into ownership without any (unwanted) big surprises.
Why They Exist in the First Place
Let’s be real — repairs are pricey. A new HVAC system can run upward of $10,000. Even a quick appliance fix can be a few hundred dollars. A home warranty spreads those potential costs into manageable service fees, so you don’t get hit with a giant bill out of nowhere.
A Few Things to Know
- They don’t cover everything (cosmetic issues, improper maintenance, or pre-existing problems are usually excluded).
- There’s often a cap on how much the warranty company will pay out per item.
- Each company’s coverage is a little different — so always read the fine print.
Bottom Line
So, what does a home warranty cover when buying a house? The short version: the systems and appliances that keep your home running smoothly. For many buyers, that peace of mind (especially in the first year) is worth the investment — and then some.
Ready to kick off your home search this season? Let’s start with a game plan tailored to your needs and goals. Get in touch by filling out the form on this page, calling us at 202.280.2060, or emailing us at connect@jennsmira.com.
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