Home Warranties, If it is too good to be true…

[Gary Baker]

Looking at a brochure from a home warranty company it promises great things, however I am sceptical. I see they offer annual system checks and pest services as part of the package, but there is enough small print.

As a landlord do you use home warranties?

If so does it pay off over time?

Any suggestions thoughts experience for the “new starter and smaller landlord”

thanks

[Kim Meredith Hampton]

@Gary Baker here is a blog I wrote on home warranties, my two cents:

First, as a Property Manager for over 20 years I have found that Home Warranties to be an absolute nightmare when it comes to tenants, owners and warranty companies.
I find that most of the time they magically don't cover the item that you are calling about, and you end up paying a service call fee, calling another vendor and then paying for and repairing it anyway.
They also take forever to get someone out to take care of anything. I think that most of the time they make people frustrated and you end up losing money in the end.
Typically the vendors they send out undercut each other to get the work, but then end up making no $, so your job falls to the bottom of the list!
Waiting for them to replace or warranty is a real issue with tenants in the property. The tenant, the property manager or owner must pay for the service fee immediately, and then we play the hurry up and wait game!
If you do purchase, it's important to make sure that you know your policy inside and out, what does it and does not include.