Beneficial to both Buyer & Seller.....

Many home purchasers erroneously assume that the Seller is always somehow liable when there is a defect or failure found in the home's cooling, heating, plumbing, electrical and/or appliances after the Buyer moves in.  Unless otherwise provided for in the contract however, risk of loss often falls on the Buyer.  Even where the contract provides that heating, plumbing, pool & equipment, electrical, etc. be "operative" on or until date of possession, disputes can always arise as to when the breakdown occurred, who is responsible, how the repairs are to be funded, and when they are to be made.

Home warranty plans go a long way to alleviate these risks and concerns.  For a modest price (currently basic coverage is $400 to $450, and sometimes slightly more for optional coverage).  Sellers can provide the Buyer a one-year warranty covering specified heating, plumbing, electrical, water heater or appliance breakdowns.  This usually also covers the seller during the listing period, and the cost is not paid until closing!  This not only makes the home more appealing to buyers, especially if it is an older home, but it may reduce your liability also.  In all cases, there are important limitations and exclusions (example:  appliances/systems must be operative at commencement of coverage).  Let's make a decision regarding this now!  Remember, it's too late to opt for coverage once the covered system fails.

For most, purchasing a home is the largest investment they will ever make.  It is no wonder then that many homebuyers employ professionals to inspect the structural and mechanical systems of the home and report to them on their condition.  Sometimes sellers also employ Home Inspectors to alert them to problems with their homes which could arise later in the transaction.  But normally Home Inspectors are employed by buyers.  For this reason, this brochure is written from the viewpoint of the potential homebuyer.