do I need the home warranty program

[Dong Yan]

HI ,

My realtor insists me on buying a home warranty program for my newly invested single family house.

Is it make sense financially?

Which one is a smarter way in terms of maintaining the rental property solve the problem when it happens or buying a home warranty program?

Stella

[Chris T.]

@Dong Yan

Remember, all insurance companies need to make $. Most policies have loop holes and probably a big deductible. Unless the seller is offering to buy me one, I would pass.

First, find a good home inspector and/or contractors to figure out the deficiencies in your house.

2nd. Make sure you budget monthly for repairs, CAPEX and vacancies.

3rd. Screening tenants is very important. The more work  you do up front, the less issues you should have during the rental period. Search on BP and you will find a lot of good tips and articles.