In this Realtor's opinion - yes! I am an Oakwood, Ohio resident where most of the homes are around 60 years old. With older homes the mechanicals and appliances in the homes can fail. I negotiated that the seller pay for a home warranty (average price $450) for our home which covers mechanical breakdowns due to normal wear and tear of the major systems and appliances. After living in our home for only a month the air conditioner stopped working and it was a humid July! After contacting the home warranty company and paying a $50 service fee, the technician who was sent to the home determined the air conditioner was beyond repair. The home warranty company replaced the air conditioner! The average price of an air conditioner is $3000 - $6000 installed! If you don't at least purchase home warranty insurance for yourself, then you could be gambling thousands of dollars!
Christina
About the Author...Blog article was provided by Christina Asad Edwards, a Nationally recognized Realtor and Residential Relocation Specialist. Christina can be reached via email at Christina.Asad@RealLiving.com or by cell phone or text message at 1-937-205-4741. Christina helped thousands of people move in and out of the Dayton Ohio area and other Southwest Ohio towns. For Ohio real estate and homes see Dayton Ohio Real Estate.
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Thanks for the comments Val and John!
Christina
Christina,
Your right on the point. I start to offer free 120 day seller warranties, and 90 day buyers warranties to my clients that also works in conjunction to the warranties you offer to your clients. I feel that mine helps cover anything that happens right up front, and yours will cover anything that might happen in the long term. It is always nice to know that you are providing a great service for your clients.
Thanks Wayne, Cindy, Mark, and Jeff for all your comments!
Christina
This isn't my experience at all. And in Texas, we are not allowed to make gifts to our clients of this size. I suppose we could gerrymander the commission so that, in effect, the seller could use $450 of our commission money to buy the thing.
I wrote what I'll admit was a hateful blog about American Home Shield. You would be amazed if you knew the number of their customers -- current and former -- who read it and then actually picked up the phone and called me long distance to tell me about their personal horrible experience.
One New England newspaper reporter called to say that she was working on a piece about AHS. In the process, she had tracked down about fifty of their customers so far. If memory serves me, she said that at that moment, she had not found one of them with a good thing to say.
This is an industry that needs to be state or federally regulated just like all other insurance companies are...except on the one hand ASH says it's not an insurance company, but on the other hand it is.
Its business formula is not in the renewal of business, but the constant replacement of lapsed policies with new ones. By doing that, they heavily weight the actuarial experience in their fsvor. And real estate agents nationwide are their free sales force. Such a deal....