Home warranty is old news? Now there's down payment insurance.

[Justin R.]

I've always thought that buyers asking for a home warranty might be the dumbest part of selling homes (personal opinion only there).  But, I get that it's about:

(1) Making the buyer feel like they're negotiating something from the seller and

(2) The buyer *feeling* more secure when they're about to make a big purchase.

Along these lines of playing to buyers' feelings (especially when selling a renovated house that's probably at the top of the comp range), I saw this article that insures a buyer's down payment against loss from a declining housing market:

http://www.cnbc.com/2016/04/13/down-payment-insura...

In short, if a buyer puts $20k down on a $200k house, the seller could offer to provide an insurance policy that pays out if the value of the house goes down.  It's insurance for that $20k down payment.

With all the caveats, it seems like a total waste of money, but I'd rather pay $1200 for a buyer's insurance policy than negotiate $2000 off the sales price if it makes them *feel* better about it.

What do you all think?  As a seller, worth considering offering to buyers?