Home Warranties: What You Need to Know Before Buying or Selling a Home

Homeownership is exciting, but it comes with its fair share of unexpected expenses. From a furnace that quits in the middle of winter to a refrigerator that suddenly stops cooling, surprise repairs can strain your budget and your patience. That’s why home warranties are often a hot topic for buyers, sellers, and even long-time homeowners. In this blog, we’ll cover everything you need to know about home warranties—how they work, what they cover, and why they might be a smart move for you. What is a Home Warranty? A home warranty is a service contract designed to cover the repair or replacement of major home systems and appliances that fail due to normal wear and tear. Think of it as a safety net for things that aren’t covered by homeowners insurance. What Does a Home Warranty Typically Cover? Major systems: HVAC (heating and cooling), electrical, plumbing, water heaters. Appliances: Refrigerators, ovens, dishwashers, washers, and dryers. Optional coverage: Pools, spas, well pumps, or septic systems (depending on the plan). Coverage varies by provider and plan, so it’s essential to read the fine print. Some warranties have limits on what they’ll pay out for certain items, and not everything is automatically included. How Does a Home Warranty Work? Here’s a quick overview: File a claim. If something breaks, you call your warranty provider or file a claim online. Schedule a repair. The provider sends a licensed technician to assess and fix the problem. Pay the service fee. Most home warranties require a small service fee (typically $75–$125) for each repair visit. It’s worth noting that home warranties don’t cover pre-existing issues or damage caused by improper maintenance. They’re designed to handle normal wear and tear, not neglect or misuse. Why Home Warranties Make Sense for Buyers If you’re buying a home, especially an older one, a home warranty can provide peace of mind during your first year of ownership. Moving into a new house is expensive enough without having to replace a water heater or fix a broken air conditioner. Key Benefits for Buyers: Financial protection: Covers costly repairs or replacements for major systems and appliances. Convenience: One phone call to the warranty provider saves you from searching for contractors. Peace of mind: You can focus on enjoying your new home instead of worrying about what might break next. Why Sellers Should Offer a Home Warranty If you’re selling your home, offering a home warranty to potential buyers can be a powerful incentive. It reassures buyers that they’re protected if something goes wrong after closing—and it can even help you sell your home faster. Key Benefits for Sellers: Increased buyer confidence: Buyers feel more secure knowing major systems and appliances are covered. Competitive edge: Including a home warranty can make your listing stand out. Fewer post-sale headaches: If something breaks after the sale, the warranty takes care of it, reducing the chance of disputes. Covers the seller during the listing period: Some home warranties offer coverage while your home is on the market, which means if something breaks before you sell, you’re also protected. Are Home Warranties Worth It for Current Homeowners? Even if you’re not buying or selling, a home warranty can still be valuable—especially if you live in an older home with aging systems and appliances. For example, the average cost to replace a furnace is $4,700, while replacing an air conditioning unit can set you back $5,000 or more. With a home warranty, you’d pay only the service fee and potentially a small percentage of the repair or replacement cost, depending on the plan. Choosing the Right Home Warranty Not all home warranties are created equal. Here are some tips to help you pick the right one: Compare providers: Research reputable companies and read reviews to ensure they have good customer service. Understand coverage limits: Check for payout caps or exclusions in the contract. Know the service fees: Look for a plan with a reasonable service fee that fits your budget. Ask about response time: Find out how quickly they dispatch technicians when a claim is filed. Popular home warranty providers include Cinch Home Services and American Home Shield, but there are many others to consider. The Bottom Line A home warranty isn’t a one-size-fits-all solution, but it can be a lifesaver in the right circumstances. For buyers, it provides peace of mind. For sellers, it’s a way to make your home more attractive to potential buyers. And for current homeowners, it’s a safety net for unexpected repairs. If you’re considering buying or selling a home—or just want to learn more about how a home warranty might fit into your plans—let’s chat! I’m here to guide you through the process and help you make the best decision for your situation. Ready to get started? Let’s connect today!

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Winter Property Maintenance: A Comprehensive Guide to Protecting Your Investment (Plus Tips for Tenant Occupied Properties)

Winter can be tough on properties, with freezing temperatures, snow, and ice posing risks to structural integrity, heating systems, and personal safety. Taking proactive steps now will help protect your property investment, save on energy costs, and prevent unexpected maintenance calls. Here’s an in-depth guide to essential winterization steps, plus tips to help tenants maintain a safe, comfortable living environment. 1. Preventing Frozen Pipes Frozen pipes can lead to major water damage and costly repairs. Protect pipes by understanding the main causes of freezing—quick temperature drops, poor insulation, and low indoor temperatures—and taking these preventative steps: Insulate Exposed Pipes: Use foam insulation or heat tape on pipes in unheated areas like attics, basements, garages, and crawl spaces. Seal Drafts Near Pipes: Check for gaps around wiring, plumbing, or vents near pipes, and seal them with caulk or insulation. Shut Off and Drain Outdoor Faucets: Close indoor valves leading to outdoor spigots, then drain remaining water to reduce freezing risks. Keep the Thermostat Consistent: Avoid temperature drops by setting the thermostat at a minimum of 55°F at all times. Many insurance policies require this minimum to cover freeze-related damages. Let Faucets Drip in Extreme Cold: Allow a slow trickle of water from faucets on exterior walls to keep water moving and prevent freezing. Open Cabinet Doors: In extremely cold weather, open cabinets under sinks to allow warm air to circulate around pipes. If Pipes Freeze: Know the Water Shut-Off Location: Ensure everyone knows where the main shut-off valve is located in case of emergency. Call a Professional if Necessary: If water flow stops, call a plumber. If pipes burst, shut off water at the main valve and seek emergency assistance. Avoid Open Flames for Thawing: Never use a torch or open flame. A hair dryer is safer, directing warm air from the faucet outward. 2. Roof and Gutter Maintenance: Preventing Water Damage Snow, ice, and rain can create heavy loads on roofs and cause water to back up. Proper roof and gutter maintenance are essential to avoid structural damage and leaks. Inspect the Roof: Check for missing shingles, cracks, or gaps near chimneys. Address any issues before heavy snow or rain arrives to prevent leaks. Clean Gutters and Downspouts: Clogged gutters can lead to ice dams, causing water to seep under roof shingles. Clear debris to ensure proper drainage away from the roof and foundation. Flood Prevention for High-Risk Properties: In flood-prone areas, raise HVAC units and water heaters on platforms, and use sandbags or barriers to prevent water entry at ground level.   3. Heating System Efficiency and Safety Heating systems work overtime during winter, so regular maintenance helps prevent breakdowns, improves efficiency, and reduces energy costs. Change Furnace Filters Regularly: A clogged filter makes the system work harder and can even cause it to fail. Replace filters every 90 days, or sooner if visibly dirty. Schedule Annual HVAC Inspections: A professional inspection can catch minor issues like leaks or worn parts before they become costly repairs. Clarify Tenant Responsibilities: If tenants are responsible for filter changes, specify this in the lease. Encourage tenants to report unusual furnace noises or issues immediately. Additional Tips for Natural Gas and Oil Heating Systems Inspect Fuel Lines and Tanks for Leaks or Damage Natural Gas: Regularly inspect gas lines for corrosion, cracks, or loose fittings, which can lead to dangerous leaks. Listen for any hissing sounds near the gas line, and use a soapy water solution to check for bubbles if you suspect a leak. Oil: Examine the oil tank for rust, corrosion, or any signs of oil leakage. Tanks located outdoors are more susceptible to weather damage and should be checked for stability on their base. Schedule Professional Burner and Pilot Light Inspections Gas and oil burners can accumulate soot or debris over time, affecting combustion efficiency and safety. Have a professional inspect and clean the burner annually to maintain smooth and efficient operation. Ensure that the pilot light or electronic ignition is functioning properly. Faulty pilot lights can waste fuel and reduce heating efficiency. Check Carbon Monoxide Detectors Natural gas and oil furnaces produce carbon monoxide (CO), which can be dangerous if there’s a malfunction or improper ventilation. Test carbon monoxide detectors throughout the home and replace batteries regularly. Ensure detectors are located near bedrooms and on each level of the home. Refill Oil Tanks Early and Monitor Levels For oil heating, schedule deliveries before the tank reaches the low point, ideally above one-quarter full. Extreme cold can affect the viscosity of oil, making it harder to pump, so avoid letting levels get too low. Consider a remote oil tank monitor, which allows you to track oil levels without manually checking the tank, and helps avoid emergency refills. Additional Tips for Wood and Pellet Stove Heating Systems Wood and pellet stoves are effective heating sources, especially in rural areas, but they require careful maintenance to function safely and efficiently. Schedule an Annual Chimney and Flue Cleaning Wood stoves create creosote buildup, a highly flammable byproduct that can cause chimney fires. Schedule a professional chimney cleaning once a year to remove soot and creosote and check the flue for blockages or cracks. Burn Only Seasoned Wood or Premium Pellets For wood stoves, use only seasoned (dried) hardwood, as green or wet wood creates excessive smoke, creosote, and reduces heat efficiency. Pellet stoves should use high-quality pellets with minimal dust and additives for cleaner burns. Empty Ashes and Check Ash Pan Regularly Empty ashes when they reach a depth of about one inch to maintain airflow and avoid overheating. Always allow ashes to cool fully before disposing, as embers can stay hot for hours. 4. Programmable Thermostat: Save Money and Energy A programmable thermostat allows you to create a heating schedule that reduces energy use when the home isn’t occupied, saving on costs. Create a Heating Schedule: Program the thermostat to warm the home only when needed, such as in the morning, evening, or weekends. Lower the heat when everyone’s at work, school, or asleep. Energy Savings for Tenants: For tenant-occupied properties, suggest they set a schedule on the thermostat to maintain comfort without overspending on heating. 5. Test Fire Alarms With increased heating system use, fireplaces, and cooking, it’s essential to ensure fire alarms are in good condition. Test Fire Alarms Regularly: Check that all alarms are working correctly, and replace batteries or the unit itself if necessary. Winter is a great time to ensure these safety devices are up to date. 6. Energy Efficiency: Sealing Windows and Doors Sealing drafts is a simple way to improve energy efficiency and maintain comfortable temperatures indoors. Apply Caulk and Weatherstripping: Seal any gaps around windows and doors, which can reduce heating costs by up to 20%. Consider Temporary Window Insulation: Add plastic window film on drafty windows for an added layer of insulation and heat retention. 7. Reverse Ceiling Fans to Distribute Warm Air Reversing ceiling fans to run clockwise during winter can help distribute warm air more effectively, making heating more efficient. Set Fans to Run Clockwise on Low: This pulls cool air up and pushes warm air down, keeping rooms warmer without increasing heating costs. 8. Snow and Ice Management for Safety Ice and snow on walkways, stairs, and driveways can create safety hazards. Proper snow and ice management help reduce risks and prevent liability issues. Use Eco-Friendly Ice Melt or Sand: Apply ice melt to prevent slippery surfaces, especially around entryways, steps, and common walkways. Ensure Stable Handrails and Mats at Entrances: Secure handrails and add mats to reduce tracking water and ice indoors, preventing slips. Arrange for Snow Removal Services if Needed: If tenants handle snow removal, clarify this in the lease. For larger properties, hiring a service may be worthwhile.   Additional Tips: Home Insurance & Emergency Contacts Review Insurance Coverage and Emergency Contact Lists Confirm Coverage for Winter Hazards: Make sure your insurance policy covers winter-related damage, such as burst pipes or ice dams. Encourage tenants to obtain renter’s insurance for their belongings. Update Emergency Contact List for Tenants: Provide tenants with a list of contacts, including the property manager, plumber, and utility companies, for different emergencies. Winter Tips for Tenant-Occupied Properties In rental properties, tenants play an important role in winter maintenance. Educating them on simple winterization practices can help avoid costly issues and maintain a comfortable living environment. Maintain a Minimum Thermostat Setting: Encourage tenants to keep the thermostat at or above 55°F to prevent frozen pipes. Replace Air Filters Regularly (if specified in lease): If tenants are responsible, remind them to check and replace filters to keep the heating system efficient. Report Heating Issues Immediately: Ask tenants to report any furnace or heating issues, such as unusual sounds, leaks, or low performance. Use Programmable Thermostat to Manage Heating Costs: Advise tenants to use the programmable thermostat for a more economical heating schedule. Let Faucets Drip in Extreme Cold: This prevents pipes from freezing by maintaining a small water flow. Open Cabinet Doors for Pipe Warmth: This helps warm air reach pipes under sinks, reducing freezing risks. Know the Water Shut-Off Valve Location: Show tenants how to locate and operate the main water shut-off in emergencies. Close Garage Doors When Not in Use: Keeping the garage door closed, especially if water pipes are present, prevents freezing. Following these winterization tips will help you protect your property, reduce winter costs, and ensure a safe, comfortable season for tenants. Proper winter maintenance preserves the value of your investment while preventing expensive and stressful emergency repairs.

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Why Fall is A Golden Opportunity for Home Buyers

  Why Fall is a Golden Opportunity for Home Buyers   (Market Update for Week 11/11/24) As temperatures drop and leaves turn, many buyers assume it’s time to pause their home search until the spring market kicks back into high gear. However, savvy buyers know that fall offers a unique chance to secure a home with significant advantages over the bustling spring season. In Frederick County alone, 55% of homes have been on the market for over 30 days, and 36% are showing price reductions—creating room for negotiation that might not be available once competition heats up. Here’s why fall could be the golden season for your next big move. 1. Less Competition Means More Leverage Spring is traditionally viewed as the peak season for real estate, but with so many buyers entering the market at once, it can be a highly competitive and, often, stressful time to purchase a home. By contrast, fall typically sees fewer buyers actively searching, which gives those who are ready to buy a distinct advantage. Less competition means more negotiating power and potentially better terms on a property. Sellers who list in fall are often motivated to sell before the year ends, which can work in a buyer's favor when it comes to price and closing terms. 2. Price Reductions Create Room for Deals With 36% of active listings in Frederick County showing price reductions, there’s a clear opportunity for fall buyers to secure a home at a more favorable price point. These price reductions indicate that sellers are adjusting expectations in response to the market. Buyers can often find great deals on homes that may have been priced optimistically in the summer. Fall becomes a season of opportunity, where careful buyers can avoid overpaying and potentially get more for their budget. 3. Extended Days on Market Can Signal Flexibility A home that has been on the market for over 30 days—which currently applies to 55% of listings—may mean a motivated seller. When properties linger on the market, sellers are often more open to negotiating the price, closing costs, or even property improvements to close a deal. Buyers can leverage these extended days on market to work out terms that might not be possible in spring, when new listings frequently get snapped up quickly. 4. Real Estate Agents and Lenders Have More Availability In fall, the pace of real estate transactions often slows down from the spring and summer frenzy. This means agents, lenders, and inspectors generally have more availability, making it easier to schedule showings, secure financing, and complete inspections. With fewer buyers in the market, you’re likely to get more personalized attention from your real estate professionals, which can make the buying process smoother and less rushed. 5. The Timing Can Align Perfectly with End-of-Year Tax Benefits Buying a home in the last quarter of the year could also mean some added tax benefits. Homeownership offers potential tax deductions—from mortgage interest to property taxes—that can be claimed for the current year if the purchase closes by December 31. This can result in tax savings sooner rather than later, helping buyers enjoy financial benefits before spring. Make the Most of the Fall Market Fall is an often-overlooked but highly strategic time to buy. With less competition, a greater chance of price reductions, and the potential for motivated sellers, fall is the perfect season to find the right home without the pressure of a crowded market. If you’re ready to explore your options, now is the time to connect with a real estate agent who understands the nuances of the fall market and can help you make the most of these seasonal opportunities. Whether you’re looking for a first home, a bigger space, or an investment property, don’t wait until spring. Fall could be your golden opportunity to buy smart and find a home that truly meets your needs at a price that aligns with your goals.

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