Today's Homeowner

Do You Need a Home Warranty?

While not legally required in the United States, home warranties provide significant peace of mind that you’re financially protected should your appliances or home systems, like your HVAC system, break down. These repairs and replacements can be hugely expensive, with the average cost to replace an HVAC system costing around $7,500, which is something most homeowners can’t afford without going into debt. A home warranty helps you avoid financial strain when the worst happens. 

How Much Does a Home Warranty Cost?

The average cost of a home warranty is $1,020 per year, although this can range depending on the company, plan, and add-on coverage you choose. For more information, read our article on home warranty cost for a deep dive into what will affect a home warranty’s cost. 

How To Save Money When Shopping for Home Warranties?

The best way to save money when shopping for home warranties is by shopping around with multiple brands, comparing prices, asking customer service agents about available discounts, and checking the company’s website for current offers. 

Is a Home Warranty Worth It?

Yes, for most homeowners, a home warranty is worth it because it protects you from the financial burden of sudden appliance or home system repairs or replacement (which can easily cost hundreds or thousands of dollars). Home warranties are worth it for most individuals unless you have an ample home emergency fund that can cover multiple, large replacement costs at once or a new home with appliances and systems protected under a manufacturer’s warranty.