Streamline Your Building Monitoring with Comprehensive Warranty Coverage

Published Feb 24, 23
8 min read

What is a home warranty?

Home warranties are contracts which cover the repair or replacement of the appliances and systems in your home if they fail because of normal wear and wear and tear. Home warranties are not like home insurance which covers the structure of your home from natural disasters and theft however they do ensure the security of your home's systems as well as appliances. Home warranties are available for all types of housing and can help lower the cost of repairs and replacements, making them perfect for both existing and new landlords. The cost of service is the amount charged to the home warranty provider per claim. A majority of the providers will cover older homes, but certain providers do not cover home items that have preexisting issues.

What are the benefits of using a home warranty to rent properties?

1. Protection against high repair costs

Using a home warranty for rental properties can help protect against the high cost of repairs by offering speedy service, the convenience of a one-stop shop and there is no charge for service. This cuts down on cost and time used on repairs and provides financial protection against unplanned repairs and replacements. Regular maintenance can help retain tenants and clients. Tenants can request service without requiring approval from the landlord. Systems and appliances that are covered are also fixed quickly, which reduces the chance of negative reviews. This can help landlords save money while charging more for rent, thus increasing the amount of money they can put in their pockets.

2. Protection for household appliances that are commonplace

What appliances are covered under a home warranty for rentals and what do they cover? [Expanded List] Refrigerators and dishwashers, dryers for clothes and clothes washers; trash compactors; cooktops and rangesand ovens, built-in microwave ovens; built-in food centers; HVAC systems, heating electric systems; water heaters; garbage disposals, smoke detectors, central vacuums, smoke alarms; plumbing systems. Doorbells, ceiling fans, exhaust fans, septic tanks, sump pumps spas and garage door openers.

3. Peace of mind knowing repairs will be made

Landlords enjoy many advantages from having repairs covered by the warranty on their home. Landlords can avoid having to pay cash on demand for repairs and maintenance. A home warranty policy will make it simpler for everyone who are involved in repairing their home by sending an inquiry to the warranty provider , who will then send a technician to fix the problem at the rental property. Property management companies will see less the amount of invoices from third-party contractors and insurance costs due to the fact that most repairs and replacements are completed quickly. Having a home warranty for rental properties can help in enhancing client and tenant retention by tackling the primary reason that causes tenants to move out: maintenance issues. In allowing tenants to request service without landlord approval the covered appliances and systems are fixed swiftly, which reduces the chances of receiving negative reviews from unhappy tenants. Home warranties give landlords a cost-effective and efficient solution to repair rental properties.

4. It saves time and effort of the search for a contractor.

Using a home warranty for rental properties can help to reduce the time and effort when it comes to finding the right contractor. Instead of having to search for a reliable contractor in an instant, landlords could make a claim with their home warranty provider. They will send a person to their rental property to resolve the issue as fast as they can. This is a lot easier than having to reach out to several contractors to find the most suitable contractor.

Property managers can cut down on time and hassle by sending an experienced and reliable vendor to oversee a home. They are familiar with the costs as well as the quality of work and how the company has performed over the years. There is no need to spend time searching for the right contractor. Furthermore, trained vendors are more likely to be honest and respectful to tenants which is important to the tenant's satisfaction.

Sometimes, it may take days to receive help from a company that offers home warranties. Tenants can become dissatisfied if they are not satisfied with the speed at which repairs are completed. This causes frustration. Property managers are a middleman between tenants, the homeowner warranty company, and property owners.

In the end, the home warranty option for rental properties can be beneficial since it saves the time and effort of searching for contractors. Property managers can send trusted vendors they already know to homes they manage, while homeowners can make an claim to their warranty company and get the issue fixed within a matter of minutes.

5. Budget for repairs

Using a home warranty to pay for repairs and replacements of appliances and mechanical systems at home can make budgeting for operating expenses easier for property owners who own rental properties. A home warranty program helps in making repairs more predictable, keeping tenants content and improving the financial results. The home warranty plan is convenient because it provides a single source for all maintenance and replacement requirements. It also eliminates the need to swap money in service calls. A home warranty can reduce the owner's annual costs by covering the total cost of replacing or repairing malfunctioning appliances or systems.

6. Added protection against landlord liability

A landlord's home warranty safeguards landlords from liability. It provides skilled repairs to equipment and systems that are failing due to normal wear and tear or age. Tenants are less likely be able to sue landlords due to repairs and replacements to appliances and systems are done swiftly. Repairs covered by the warranty reduce the need to seek approval from landlords and can also settle disputes. This further lowers the risk of liability for landlords. A home warranty can provide additional financial protection as it's tax-deductible, and aids to offset rental costs.

7. You can choose from a variety of warranty providers

It isn't easy to choose a home warranty service for rental homes. You must consider costs, industry reputation, customer service, as well as other features. We suggest considering the available service plans and additional coverage options, the depth of coverage plans, cost of plan, brand reputation, customer support infrastructure, and other features when selecting a home warranty provider. Also, think about whether you are able to choose your own contractor and then upgrade your coverage package. Additionally, consider how simple to transfer your policy from one owner to the next.

Our research suggests that coverage for plans is the most importantfactor, then customer service. The industry reputation, plan availability and additional features should all be considered equally. Price should not be the primary factor when choosing a provider of home warranties that is able to meet your requirements.

For example, if the rental property you are renting has a saltwater pool, appliances from the pro-series, or a reverse osmosis device, Liberty Home Guard has a suite of add-ons that may interest you. If you're not available to attend to repairs within the typical 30-day workmanship guarantee period, AFC Home Club offers an extended-plan guarantee that could give you additional protection. The HomeServe plans that are tailored to your needs are an excellent alternative for those who are concerned about the lines of electricity of their rental property. American Home Shield is the best option for those seeking more protection.

We suggest having quotes from at minimum three home warranty companies and reviewing the contract carefully to ensure you are aware of any limitations or exclusions. This will help you make informed decisions and help you choose the right provider of home warranties for the rental properties you own.

8. You can benefit from discounts or other incentives

A home warranty plan could be a great method to save money on rental properties. The first is that these plans give you a more convenient and affordable solution to fix important household appliances and systems because they are likely to break. This can save landlords the expense of regular repairs. Additionally, based on the manner in which a landlord is registered the entire premium and service costs of the home warranty plan could be included as an operating expense on tax returns which will reduce the total amount of income they earn and tax burden.

9. Online submission and monitoring of repair claims

Renters will find their home warranty plans extremely helpful as they allow them to repair their home. If an item covered by the warranty breaks or malfunctions, landlords just need to submit a claim to their warranty company. The company will then send technicians to the rental property to fix the problem as quickly as they can, saving landlords the time and effort of finding a reliable contractor on very short notice. Home warranty plans allow landlords to ensure that their rental property is properly taken care of through prompt service and convenience.

10. Greater tenant satisfaction

Tenants can benefit from a variety of benefits of a HomePRO Warranty, such as improved service and customer satisfaction. The HomePRO Warranty reduces service calls since tenants can make request directly without having to wait for approval from the landlord. This can improve the relationship between landlords and tenant. In addition, HomePRO Warranty eliminates the need for landlords to have to keep up with multiple suppliers, since the warranty will cover repairs and replacements for various systems and appliances. Tenants can rest assured they will receive speedy and effective service. The house warranty, which can increase the property's rental price as well, is a fantastic option for landlords who want to earn more money each month.