Home Warranty Plans for Rental Properties

[Paul Salmela]

I own several rental properties and have had them under a repair plan through Xcel Energy (our local utility company).  I had been paying $14/month and they will cover most repairs on my furnace and three appliances for this cost.  I live in MN and I primararly get this plan so that my tenants can call in an issue with their furnace and have a tech out there in a matter of hours (this is needed when the temps drop below 0).   I just got a notice that they are increasing their cost to $20/month and I'm considering dropping this or changing to another plan. 

I just got off the phone with American Home Shield and it sound like they offer more of a cadillac but the cost is $40/month and they charge $125 per call (more than I'm paying).   Does anyone out there use this or anything else like this?  If so, what has been your experience?

Thanks! 

[John Underwood]

@Paul Salmela Sounds like what you have is a bargain even at the increased costs. Some of these home warranty companies take days to get someone out even if the temp is below 0.

Not only do they have the service fee as you mentioned they also don't cover everything. They may charge over $100 per pound for freon for an HVAC unit above a pound or two.

If your utility company gets someone out within hours for $20.00 a month never let this. It sounds like it is worth its wait in gold.