Hi all!

We've had some good rains here the past couple of days--and we've needed it. But now it's time to cut the grass one last time for the winter!

This week's topic--Home Warranty's. I am finding out that many people--those who've owned homes for a while, as well as those who have never owned a home, have no idea what a Home Warranty is, so I'm here to explain them to you.

There are a number of Home Warranty companies out there, and basically, what they are is a company where you "buy" a warranty on your home for one year. It costs approximately $400 for coverage (varies according to your coverage level). If one of the covered systems in your home goes on the fritz--whether is the air conditioning system, heat, plumbing, hot water heater, dishwasher, you name it, you call up the Home Warranty company and say "Hey! It's broke!" and they will send a local company to fix it. You have to pay a fee of about $50 (also varies with the coverage you get), regardless of the price of the repair. The Home Warranty service pays for the rest.

I highly recommend getting a Home Warranty when you buy a home. If it's a new build, though, everything is likely covered under the original builder's warranty, so it's not as much of an issue. With an older home (5 years or more), it's a good idea, though. When I bought my home, it was 8 years old. I got a Home Warranty with it, and 8 months later, my A/C system quit. It cost me $45 for a $1,600 repair. Talk about RELIEF! I didn't have to scrape up that $1,600!!

The good part about a Home Warranty is that you don't have to wait to buy your home to get one. Some companies will only sell them to you when a property is sold, but others don't have that requirement.

When it comes to buying or selling a home, as a seller, you can offer a Home Warranty for buyer's peace of mind. As a buyer, you can request in the negotiations that the seller pay for the Home Warranty. If that doesn't happen, you can always call once you've moved in to your home and tell them you just bought a home and you would like to get a Home Warranty.

You can renew your Home Warranty annually if you so choose, but it is not a requirement. Make sure when you get one, though, that you pay attention to what is covered. I bought a Home Warranty for a property once, and made sure I had coverage for the A/C system, however, found out when I needed it repaired that this company DIDN'T cover geothermal A/C systems. That was quite frustrating. They always say "Read before you sign on the dotted line!" and even though I know that, I didn't this time.

If you have a Home Warranty in effect, and are in the process of selling your home, most companies will allow the warranty to transfer to the new owner.

Good Luck!