When Is the Best Time to Add a Home Warranty?

In working with real estate clients, you’ve likely seen the benefits of home warranty coverage first hand. Perhaps you’ve witnessed a seller who experiences a major system malfunction when the house is under contract, threatening to derail the deal. Or, maybe you’ve had a client move into their dream home only to have an expensive appliance fail within days. Even though you understand the value and advantages that home warranties bring to real estate transactions, you may have wondered what the best time is to secure coverage for your clients. Here are some suggestions:



At listing

One of the most advantageous times to add a home warranty is when you list a property for sale. In addition to helping protect sellers’ budgets from unexpected, covered breakdowns, an American Home Shield® home warranty with the Seller Coverage Option can help market homes by giving listings a competitive edge. Home warranty coverage can also help reassure potential clients, giving them the confidence they need to proceed with an offer. The Seller Coverage Option includes everything in the American Home Shield Essential plan for up to six months while a home is listed, with no money due until closing. Seller coverage is limited to $2,000 on covered repair and replacements during the listing period and is subject to the limitations and exclusions of the contract. In addition to budget protection, sellers also enjoy access to American Home Shield’s nationwide network of local repair professionals when covered breakdowns occur, saving your clients time and hassle.


At offer

Including an American Home Shield home warranty in real estate purchase contracts makes sense for many reasons. Your buyers will enjoy the reassurance of knowing they’ll have budget protection for covered system component and appliance malfunctions that happen after closing due to normal wear and tear. If buyers are moving into a new area, they’ll also rest easy because they’ll know who to call for help with covered breakdowns instead of frantically searching for reliable, reputable contractors in a new area.


After inspection

The addition of American Home Shield home warranty coverage can help mitigate inspection report findings and may facilitate inspection issue negotiations. There’s no inspection required for American Home Shield home warranties and no age limit on systems and appliances. Coverage also includes undetectable, pre-existing conditions, breakdowns caused by lack of maintenance, improper installations, repairs or modifications, malfunctions due to sediment, rust, or corrosion, and removal of old, defective items.


At closing

Buyers can add American Home Shield home warranty protection at closing so they can enjoy the budget protection and repair convenience in their new homes at special Real Estate Edition prices. They can choose the plan that best suits their needs and even customize options. Adding coverage is simple, quick, and won’t delay the transaction. Simply register for MyAccount PRO to securely access American Home Shield at your convenience to enter new home warranty plan applications, along with other tasks. You can also contact your American Home Shield Account Manager for assistance.


Up to 60 days after closing

Many agents and clients don’t realize that buyers can add an American Home Shield home warranty plan up to 60 days post-closing and receive the same valuable protection at Real Estate Edition special prices. Be sure to remind your clients that they still have time if they didn’t opt for coverage before their transaction closed.


American Home Shield home warranties are Included in more than 300,000 real estate transactions every year. Don’t let your clients miss out on this important protection.

AHS assumes no responsibility, and specifically disclaims all liability, for your use of any and all information contained herein.

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