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I have a brand new house, it is one year old. When we got it, we paid for a thorough home inspection, and our house is in tip top shape. Our one year waranty is expired, and we can extend it for three more years for $ 666. It it only structural and for the ac unit and stuff like that. Is it worth it? Everything is brand new, and I hear these companies will go out of their way to not have to pay for stuff.

6 Thoughts on Should I buy a home buyers waranty for my brand new house?
  1. Reply
    Robin C
    November 25, 2011 at 1:12 pm

    I’ve never kept a whole home warranty.

    If the damage is structural, then your home owners’ insurance will most likely cover the expense. Anything smaller and there will be a good chance that even the warranty will not cover it, and you just tossed $ 600 out the window.

    It would be more cost effective to get really good home owners’ insurance, and a warranty on individual appliances.

  2. Reply
    John J
    November 25, 2011 at 1:37 pm

    The number 666 should say plenty. They usually are not worth the paper they are written on. You are correct that they try to cheap out on any possible claim.

    For a brand new home I would not waste the money. My house is much older and other than normal maintenance I don’t spend that on what they would normally say they cover.

    Put the money every year in a special account of your own drawing interest. I would be willing to bet after many years you have a sizable nest egg and the money is yours.

  3. Reply
    Rokadara
    November 25, 2011 at 2:14 pm

    I don’t see where the extended warranties are worth what you pay for them. If you are covered for structural and a/c and something goes wrong with them then your a/c warranty should cover the problems, if you have structural problems then the contractor or builder messed up and you can sue him. You have a new home that has passed inspection why spend money that can be used for other things.

  4. Reply
    bandit
    November 25, 2011 at 3:11 pm

    Extended warranties of any kind are not a wise purchase. They are very profitable for those selling them so that is why they push them so hard.

  5. Reply
    Ginger
    November 25, 2011 at 4:05 pm

    There are great companies like American Home Shield which are sold with a lot of resale homes as part of the contract. They cover the hot water tan, etc, and appliances but cost more than the figure you quoted.

    Since a service call for plumbing can cost $ 75 on up before any real work is done, consider whether you can fix basic things yourself or have a friend or relative do it before not continuing the warranty. Sears does lots of appliance warranties but they are extremely expensive.

  6. Reply
    DAN Y
    November 25, 2011 at 4:56 pm

    I’m in the heating business and I went to a customers house and found that the furnace had a crack in it due to undersized duct work.The owner happily told me that he had a home warranty. I called the co. for him to make the claim and to verify the need for a new furnace.I told them my price for a good, quality furnace plus new plenums,flue pipe,oil line, switch ,etc . and the increased duct so the new furnace would’nt crack as well. They told me that they would ship a new furnace( a brand I’ve never heard of) and all of the things that are needed for a quality installation were up to the homeowner including my labor. That was quite a let down for the guy after paying all those years for a policy.I did’nt do the job because I can’t be responsible for a no name furnace. Definately not worth it.

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