How did the American home warranty come about? Originally used to pump up sales for real estate companies, they were, at one time, what might have been the proverbial icing on the cake. All it may have taken for an undecided potential buyer downwind of a property is just one scent of the sweetness of additional home protection to seal the deal. Well, that was the anticipation. But the story doesn’t end there.

True, attractiveness of properties on the market with American home warranties attached would increase and generate a certain percentage of fanfare for seller and buyer alike. The seller could potentially shorten the agony of the listing period and get that added bracket of security with one less thing to worry about; taking comfort in the knowledge that if one of the appliances in the sold property were to take a nosedive in the immediate interval after selling – it’d be covered. No messy mudslinging or litigation. The seller could high-tail it out, sipping a margarita in the sunset with zero liability for unexpected failures in the old homestead.

Buyers and Sellers Unite
The buyer, in turn, would find some solstice and something solid to grab onto amidst the refuge of whatever is left of his shattered bank account; indeed it could be a happy place for both buyer and seller alike. In addition to the contractual obligations an American home warranty provides one with, it essentially acts as a piece of peace, bridging the gap of doubt between buyer and seller, drawing them closer together in trust.

But what other functions does the American home warranty serve? No longer just targeting the home seller or rife with restrictions and exclusions, the home warranty has morphed into a glossy product - bundled in irresistibly charming packages. For instance, real estate agents are enticing buyers by lavishing the home warranty upon them as housewarming gift!

Next stop for the American home warranty media sweep: creative co-branding. Mortgage providers started to offer clients the opportunity to enroll in a home warranty program with a partner provider. For only a few dollars more on a monthly mortgage payment, a homeowner is able to breathe a sigh of relief in knowing his most important investment is covered.

All systems go sooner or later, as we all know. Keeping this in mind, it’s not a bad idea to be prepared in advance for the threat of disaster – which is exactly what attaching a home warranty to your household can do for you. Top contract providers, in order to stay competitive, are throwing in many value-added incentives and bonuses to increase their allure. It pays to keep an eye open for the extras.