When purchasing a new home, it’s important to do in-depth research on all facets of the home buying process. One thing you’ll need to understand is how to best protect yourself and your investment if anything were to go wrong. Check out the information on home insurance versus home warranty below to educate yourself on your options.
Homeowners insurance pays for any accidental damages and loss that are caused by fire, lightning strikes, windstorms, and hail, however, damage from earthquakes and floods is typically not covered. It also covers the replacement of personal property in case of theft or damage and liability if a person were to get injured in your home or on your property. According to American Home Shield, the average annual cost of a homeowner’s insurance policy ranges between $300 and $1,000 and the bank usually asks you to obtain a policy before the mortgage is issued. Make sure to keep in mind that each type of coverage in the policy is subject to a limit and, in most cases, you will have to pay a deductible.
A home warranty is designed to cover the cost of repairs and replacements of larger appliances and crucial systems in your home that may fail or break due to age and wear and tear. This includes but isn’t limited to HVAC, electrical, or plumbing components, kitchen appliances, and your washer and dryer. With a home warranty, you are required to pay premiums year-round, even if you do not use it, and it won’t cover damages if appliances were not maintained properly or if the damage is from a fire or other disaster.
*About Windermere Homes & Estates*
Windermere Real Estate is the largest regional real estate company in the Western U.S. with over 300 offices and 6,500 agents serving communities in Arizona, California, Colorado, Hawaii, Idaho, Montana, Nevada, Oregon, Utah, Washington, and Mexico. Last year, Windermere closed 77,000 home sales for more than $36.7 billion in dollar volume. The Windermere family has a proud heritage of serving our neighbors via the Windermere Foundation which funds services for low-income and homeless families. Since 1989, the Windermere Foundation has contributed more than $40 million towards improving lives in the communities where we live and work. For more information, visit windermere.com.
Windermere Homes & Estates donates a portion of the proceeds from every home purchased or sold to the Windermere Foundation, which supports low-income and homeless families in the community. What started in 1989 as a grassroots foundation serving families in need in Washington state has grown to encompass eleven states and has raised over $38 million for programs and organizations that provide shelter, clothing, children’s programs, emergency assistance and other services to those who need our help the most.
Windermere Homes & Estates was founded by Rich Johnson in 2013 and has been setting the standard ever since. The forward-thinking company has opened 17 offices and hired more than 500 agents with awards such as the Brokerage Achievement of Excellence and the Standards of Ethics, awarded by the San Diego Association of Realtors® (SDAR). Creating a “3rd place” for agents to collaborate and connect on a daily basis both virtually and in person has been a key factor in Windermere Homes & Estates’ success.