In Los Angeles residential real estate sales it is customary for the seller to purchase for the buyer a 1 year Home Warranty plan. Write it in your offer.
Home warranties are great because if something goes wrong with your new home that the home warranty covers, it doesn’t cost you anything to have it fixed and you don’t have to worry about finding the right person to do the job. Home Warranty Policies offer standard coverage, with additional coverage options that can be added on. Their length is one year long. After the first year, the Home Warranty company will decide whether or not to offer you a renewal. They will mail you a notification before your policy expires- many home owners who used the policy renew.
American Home Shield is one of the Largest Home Warranty companies and they are who I usually recommend.
When choosing an American Home Shield policy I recommend getting the Combo plan which covers both a homes systems and appliances.
The Combo plan covers the following:
Additional Coverage can be added on for:
**Note that American Home Shield does not offer additional Home Warranty coverage for Wine Coolers, nor do they offer coverage for Fireplaces (no home warranty companies offer coverage for fireplaces). Home Warranty plans do not cover windows, the structure, doors, or the roof (roof warranty can be purchased separately by companies that specialize in them)
Whenever you have a problem you give AHS’s 800 number a call and tell them what’s broken. They send out a trade person to take a look at it, if it can be repaired, they repair it at no cost, and if it needs to be replaced, they replace it at no cost. However depending on which Trade Service Fee Option you choose, each visit by a trade person will cost you the Trade Service fee. The Average number of trade service visits per year is 2. If you are buying a property with very old appliances and systems, where you think it is likely you will have numerous service calls then selecting a lower trade service may make more sense- after 3 service visits, the best policy to choose is the $25 service fee.
Home Warranties are also available for Duplex/Triplex/4plex, prices vary. Double check how much the Home Warranty you want costs, so you can write the correct amount for it into the offer- if you end up short you will have to come out of pocket for the difference.