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Ensure Tenant Retention with Reliable Building Management Guarantee Solutions

Published Nov 30, 22
8 min read

What exactly is an insurance policy for homes?

Home warranties are a service agreement that covers the cost of repairing or replacing your home's system and appliances in the event that they fail due to normal wear and wear and tear. These warranties are not identical to home insurance which covers the structure of your home from natural disasters and theft and damage, instead they protect your home's systems and appliances. All kinds of homes are qualified for home warranties. They can reduce the cost of repairs or replacements, and can be feasible for landlords of both types, new and old. The service fee is the amount due to the warranty provider for each claim. The majority of providers offer coverage for older homes, however certain providers don't cover items in the home with preexisting conditions.

What are the benefits of a home warranty for rental properties?

1. Protection against high repair costs

A home warranty can be used to protect rentals from expensive repair costs. It offers quick service, ease of use, and zero service charges. This reduces the amount of time and expense that is spent on repair work and provides financial protection against repair and replacement costs that are unexpected. Regular maintenance coverage helps to improve the retention of tenants and clients. Tenants are able to request services without landlord approval. Covered appliances and systems are also repaired quickly, which reduces the likelihood of receiving negative reviews. All of this helps landlords save money while charging higher rent, making more money for their pockets.

2. Common household appliances are covered

What are the appliances covered under a home warranty for rental properties and what are they covered for? [Expanded List] Refrigerators and dishwashers, dryers for clothes and washers for clothes; trash compactors; ranges/ cooktopsor ovens; microwaves with built-in ovens with built-in food centers heating systems; air conditioning; electrical systems, water heaters garbage disposals, central vacuums, smoke detectors, smoke alarms; plumbing systems. Doorbells ceiling fans, exhaust fans, septic tanks, sump pumps spas, garage door openers.

3. You can rest assured that repairs will be made

Landlords can benefit from having repairs covered by the warranty on their home. Landlords do not have to pay cash on demand for maintenance and repairs. Furthermore, a home warranty plan makes the home repair process for everyone involved . submitting a claim to the warranty provider, who then sends someone to their rental property to address the problem. Additionally, since many repairs and replacements are addressed and solved quickly, property management companies can expect reduced costs for contractors hired by third parties as well as insurance costs. A home warranty for rental properties is also a way in enhancing client and tenant retention by addressing the most common reason why tenants quit: maintenance problems. In allowing tenants to seek service without the approval of their landlord, covered appliances and systems are repaired swiftly, which reduces the chance of negative reviews from unhappy tenants. Home warranties offer landlords an affordable and effective solution for repairs to rental properties.

4. It saves you time and makes it simple to find a contractor.

A home warranty could be a time-saver when searching for a contractor. Instead of having to search the internet to find a reliable contractor in a hurry, landlords can submit a claim at their home warranty provider. They will send a person to their rental home to fix the issue as quickly as is possible. This can be much more convenient that needing to call multiple contractors to find the right one to complete the task.

Property managers on the other hand, can save time and stress by bringing a reliable vendor that they know to manage a home. They are familiar with the costs as well as the quality of work and how the company has performed in the past. This makes it unnecessary to do a lot of research before selecting the best contractor to do the job. Furthermore, contractors who have been trained are more likely be kind and ethical to tenants. This is important to ensure that tenants are satisfied.

In addition, receiving service from a company that offers home warranties may take longer than you expected in some cases, taking several days. This can result in dissatisfied tenants, who want that their issues will be completed swiftly. Property managers must act as the middleman between tenants and the home warranty company, adding to the stress.

In the end, a home warranty on rental properties can be advantageous as it can save time and trouble of finding a contractor. Property managers can send trusted vendors they already know to managed homes, while homeowners can file an claim to their home warranty provider and get the issue fixed within a matter of minutes.

5. The ability to budget repairs

Renters are able to save money using the home warranty plan to cover repairs and replacements to their home appliances as well as mechanical equipment. The warranty for homes will make repairs easier and makes tenants happier. This also increases the bottom line. Additionally, it provides greater convenience by providing a one stop shop for all household maintenance repairs and replacement requirements, as well as not having to swap money on service calls. A home warranty could reduce the owner's annual costs by covering the entire cost of replacing or repairing damaged appliances or systems.

6. Additional protection from liability of landlords

A home warranty for landlords helps protect against the risk of liability for landlords by offering prompt, professional repairs for systems and appliances that fail due to wear and tear. This helps reduce the risk of lawsuits for hability from tenants as repairs and replacement of the appliances and systems are completed quickly. Covered repairs reduce the need to seek approval from landlords and can also settle disputes. This further lowers the risk of liability for landlords. A home warranty can give additional financial security as it's tax-deductible, and aids in reducing rental costs.

7. You can choose from a variety of warranty providers

Choosing a home warranty provider for a rental property isn't an easy task. You should consider cost and reputation in the industry, customer service as well as other features. We recommend looking at the available service plans and extensions, coverage depth the plan's cost, its brand reputation, customer support infrastructure, as well as additional options when choosing a provider for your home warranty. Also, be aware of the possibility of choosing your own contractor, and then upgrade your coverage package. Additionally, consider how simple to transfer your plan from one person to another.

Our research shows that plan coverage is the most crucial factor, followed by customer support. The reputation of the company, its availability and other features must be equally rated, and price range is not the main basis for choosing the best home warranty company to meet your home's requirements.

Liberty Home Guard offers a assortment of additional options to meet your requirements, including an saltwater pool reverse osmosis system and pro-series appliances. If you're not available to attend to repairs within the standard 30-day workmanship guarantee period, AFC Home Club offers an extended-plan guarantee that could provide additional protection. HomeServe special plans could be an ideal option for those who are most worried about their rental's utility lines as well as American Home Shield may be the best option for those looking to choose a home warranty company with greater coverage limits.

Ultimately, we recommend requesting an estimate from at least three home warranty providers and carefully reviewing the policy's terms to make sure you're aware of the limitations and exclusions from the policies. By doing this, you can make an informed choice and determine the most suitable warranty for your home rental property.

8. Ability to take advantage of discounts and incentives

A home warranty plan for rental properties could help save money in two ways. First, these plans can offer a convenient, cost-effective solution to repair important household appliances and systems since they will eventually break. This could help landlords save cash on repairs that are routinely required. Secondly, depending on how a landlord is registered the total premium and service charges of the home warranty plan can be declared as an operating expense in a tax return, thus reducing their total income, and therefore their tax burden.

9. Online submission and monitoring of repair claims

Home warranty plans can prove helpful for rental properties by simplifying repairs. Landlords need to submit an claim with their warranty provider when a covered item malfunctions or breaks. The warranty provider will send an expert to the rental property to address the issue as soon as is possible, saving landlords the hassle of searching for a reputable contractor at short notice. Through providing speedy service and ease of use Home warranty plans can help landlords to ensure their rental property is maintained quickly and efficiently.

10. Greater tenant satisfaction

The use of the HomePRO Warranty can provide many advantages for tenants both in terms of service and satisfaction. HomePRO Warranty helps to reduce customer service calls because tenants are able to make requests directly, without waiting for the landlord to approve them. This helps improve the relationships between tenants and landlords. Additionally, HomePRO Warranty eliminates the need for landlords to have to keep up with multiple vendors, as the warranty includes repairs and replacements of different appliances and systems. Tenants can be assured that they will receive speedy and effective service. Lastly the home warranty is also a way to increase the rental cost of the home, which allows landlords to earn more every month.