Are they worth it?

All the big home warranty companies have a ton of bad feedback online.
It is like everyone of them is bad.

Anyone have anything good to say about home warranties?
TIA

I guess I will add to my own thread:
homebuyersadvocate.wordp…

If you are selling your house and the buyer wants one thrown in for $400 for one-year coverage, that's not a lot considering you want to end up with a sold house.

But you should read this:
articles.moneycentral.ms…

If you are buyer, look, you have to do your inspections *more than thoroughly* and do not enter into contract on a house with iffy or dodgy plumbing, for example!!!

Some companies are probably good at making home warranties worth the annual fee. But WHY would you buy a place that is a money sink and will cost you thousands and thousands in repairs???

kind of in the same category as extended warranties for electronics - sounds like a good idea on paper, but they dont sell those policies because they LOSE money. not really worth it, having had one and canceled it.

I always read that warranties are a bad idea, but for the most part I have been happy with the warranties I have gotten.

* laptop 400 bucks - they replaced the screen, the keyboard, the hard drive twice, and the motherboard
* home warranty 2 years for 700 bucks (first 400 from the seller) - free pest control, they paid for a new oven, a new furnace and a 200 dollar plumbing bill. They did not pay the 4000 plumbing issue with the line to the sewage because the break in the line is not withing the foundation but in the front yard.
* microwave 50 bucks - got a new microwave
* dishwasher (?$) - they have been out to repair it a couple times
* washer - replaced the pump
etc...

lastly their is piece of mind... the uncertainty of repairs is a pain. I would rather pay up front and be done with it. Ther eare things I dont get warranties on, some things tend not to break or if they do its just time to get a new one. Also our current oven is a weird brand and the warranty company is being piss poor at dealing with it. Its way easier when your delaing with sears with a sears product.

For those who had luck with home warranties, what companies did you use?

My own experience, my dishwasher failed and they paid me for the part only although they agreed it made no sense to replace the part and a new dishwasher was the only way to go. Not enough money to replace the dishwasher. Company's comment, "you can buy a dishwasher for $180." That's nice but not comparable to the high end dishwasher that came with the house.

Great for your first year in the home.

I've renewed my home warrenty for the past 5 years as I own a 46 year old home.  I've used the warenty 3 out of the five years and have made my money back from the premiums I've paid for.  Mainly for plumbing issues and central heating.

If you are a buyer, insist on the seller providing one at his expense.  I got them on my last two purchases and was glad I did.  The last thing you need after spending all your money getting in is for the water heater or furnace to fail and you have to come up with $5K.  Get it, you won't regret it.

as someone who has placed dozens if not hundreds of them on houses...I'd say they are worth the money....usually because one of the following often happens during the first year:
furnace problem
sewer back up
electrical problem
roof leak..(extra coverage required)
water heater failure...heard enough?

Fffft. It's worth it to SOME. Especially if you didn't have thorough inspections done.

statistics say they get used 50% of the time....so ....

Definitely get it.   We had one, and it came in handy when we had to replace our water heater and thermostat.   The companies are a pain in the ass, but if it saves you money - go for it.  Some realtors offer it as an incentive when they are selling an older home.

We bought a 60 year old house, the seller's paid the premium.

We've used it 6 times (it has a $50 copay) and I figure it's saved us between $2-4k. I'm seriously considering extending the warranty and paying the premium myself for another year.

It's definitely something to push for when purchasing an older home ... especially in a buyer's market like this.

Maybe...if you think whoever you're buying it from can actually cover it.  ...but don't listen to me.  I'm moving all of my assets to my mattress.

My real estate agents paid for mine for the first year as a thank you for being their client.
After that, it was up to me....I didn't renew. Most of my stuff is rather new, and I am not too worried.

However...it was nice knowing I had it when my dog jumped on the counter and turned on the garbage disposal for the whole day. Had that burned out, the warranty would have replaced it.

Are you buying a new (old) home and asking if you should get a warranty?  Usually, the warranty is provided by the seller's agent.  It's usually an incentive for the buyer so that they don't have to worry about any problems that may come up.  Unless something was overlooked in the professional home inspection, or the appliances are old, you probably won't put it to use in a year's time.

good to have... it only runs about 300 bucks and everything should be covered for a year...   if your dishwasher, stove, range, water heater, hvac system goes out...  its replaced...  

nice to have for piece of mind sake...  

have  a good day

I used to work at a home warranty company and I would have to say if you have an older home or it's for the first year you are in your home, it's totally worth it. However, a home warranty company will do most anything they can to do the bare minimum and therefore are very by the book. Most contracts have a stipulation that all things covered in the contract must be in good working order before you purchased the warranty but how they define that varies from company to company.

Where I used to work rust wasn't covered which makes sense because it takes a while to build up. But sometimes the water heater would go out and it wouldn't be covered because of rust even if it wasn't the rust that caused the problem. Being on the inside, the reasoning always made sense, even if it felt a little shady.

Even though we had a 95% satisfaction rating, we always used to joke about how crap our warranty was. But it was also the cheapest. So I guess you pay for what you get.

kwang, what company actually replaced these items? That's not been my experience. Mine's been more of Alexis' "bare minimum." For me it was a high end, newer appliance that failed and the money I got didn't even cover the cost of a lower-end appliance, no less installation. So I guess something is better than nothing.

I am currently unemployed and am thinking of getting this to make sure I have no surprises from the house.

I might fork out the 360 bux ($1 a day) to get it.  I am not sure it is worth it but I am thinking about it.
I guess I am betting $360 that something will go wrong.

there are cheaper ones than that: $260 from Old Republic ... orhp.com

Gur, get them to fax or email you the contract before you sign it. Like Alyson said if you have high end appliances, or really anything high-end or older and at risk for a pre-existing condition, it may save you some money, but it very well may not.

Can I ask which co. is soliciting you? The pricing and sales pitch sounds familiar :)

In Phoenix the two I use for my clients are Service One and Republic. Service one is good that in if a repair is needed and a part needs to be replaced they use original parts, not a cheap copy like may others do.

Home warranties are good over all if when you get it what you are warranting is in good working order. I always ask my listing clients to offer one when their homes sells as it gives a bit of protection if something does go bad soon after a sale.

I do carry one on each of my properties and the oldest property I own was built in 1954.

Read the warranty and see if it is going to cover what you want, there are ad on options with all companies. Some companies will come to evaluate the property to see that what you want covered is working and then they and you have a basis from which to make a claim if need be.

Gur, part of it may be which company you choose. Has anyone had a good experience with a specific company they'd like to recommend?

I've had one for 2 years now and I would say I've gotten my money back.  In the 2 years, I've gotten a new water heater, new garbage disposal, repaired a clog in the dishwasher, and repaired a clog in the bathroom sink.  I guess with having a 40-year old house, it definitely is good for piece of mind.