Home Warranty - Select Home Warranty Review?

Question

Planning to offer a potential buyer a home warranty in lieu of credit.  Has anyone had experience with Select Home Warranty?

https://selecthomewarranty.com/plans/

John Barrows · Answer

Sandy,

Over the thirty years in real estate, I quickly found out that a American Home Warranty was a terrific gift at closing! Why? because I can't count the number of times that my buyers that I represented had called me after closing to let me know that the water heater went out or the furnace died. At every instance, the warranty company came out and replaced the items for $75.00! Now I had a client that sent their entire family to me for business.

People will say what they want but, for me, a home warranty is an excellent way to say thank you for your business. It gives the buyers some guarantee they aren't buying a property that the appliances and systems are ready to die. Within the past year three of my buyers had their systems replace, fixed or renewed their warranty. So, stay with the warranty, in my opinion.

Paul Doty · Answer

I have not. I have been on the receiving end of a home warranty in lieu of credit though. In hindsight, I believe I'd get more value by watching a small pile of money burn. Perhaps a gift basket of fireworks and fine cheeses instead?

Vaughn Smith · Answer

@Sandy S. A home warranty usually sounds a lot better than it is, its a great hook when selling a home but for the buyer, the experience when trying to make a claim is usually an awful experience. There are some people that swear by home warranties though. My advice would be to offer the warranty in lieu of the credit and see what happens (before you buy into a policy), if the buyer isn't interested then you may have to issue a credit

Paul Camuto · Answer

For you the seller it might make sense if it is less then the credit : ) For the buyer or anyone else they are garbage. You have to go thru loopholes to get something approved and it takes time to get the work done.

Michael King · Answer

As @Paul Doty said, receiving a home warranty is like getting a pair of socks for Christmas when you wanted the Daisy Red Ryder. Most home buyers wouldn't know that and welcome the peace (piece) of mind it brings. So at the end of the day as the seller, who cares which one you get? The value you get is that it's a negotiation tool, after the sale, you are done with that little gift that keeps on giving...

Home Warranty - Select Home Warranty Review?

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