Sign on Dotted Line for Peace of Mind

Sales of home-service contracts climbed last year, according to the Service Contract Industry Council, as more consumers seek the convenience of being able to call someone to fix appliances and other items in their dwellings. While such agreements differ, most will repair or replace certain appliances due to normal wear and tear at no cost or limited cost to the homeowner. They can save homeowners a substantial amount of money; and these days, they are being used by sellers to attract buyers. However, experts say homeowners should not view these warranty contracts as insurance and keep in mind that they do not cover items that fail for reasons other than normal wear and tear. First-time homeowners used to having landlords handle repairs will find such contracts valuable, but experts do not recommend them for buyers whose brand-new units feature service contracts provided by the builder or when homeowners plan to undertake extensive renovations. | Read More