The Advantages of Professional Maintenance Guarantee Services for Landlords

Published Feb 24, 23
8 min read

What is a home warranty?

Home warranties are service agreements that cover the repair or replacement of your home's appliances and systems in the event of failure due to normal wear and wear and tear. These warranties are not like home insurance which covers your home's structure against natural disasters and theft, but instead protect your home's systems and appliances. Every type of home is eligible to be covered by home warranties. They can help reduce the cost of repairs and replacements, and can be affordable for landlords new and old. The service fee is an amount that is due to the warranty company for each claim. The majority of providers cover older homes, but certain ones do not cover home items that have preexisting issues.

What are the benefits of having a home warranty in order to lease properties?

1. Protection against high repair costs

A home warranty can be used to protect rental properties from high repair costs. It offers quick service, convenience and no service fees. This will reduce the amount of time and expense required to repair your property and provide financial protection in the event of unexpected repairs or replacements. Additionally, the protection of regular maintenance helps increase tenant and client retention, because tenants are able to make requests for service with no landlord approval and the covered appliances and systems are repaired swiftly, reducing the chance of having negative reviews. This can allow landlords to charge lower rent and save on.

2. Protection for household appliances that are commonplace

What appliances are covered under a home warranty for rental properties ? And what exactly do they cover? (Extended list) Refrigerators, dishwashers dryers, clothes washers trash compactors, ranges/ cooktops/ ovens, built-in microwave ovens, built-in food centers, heating systems air conditioning, water heaters, electrical systems, garbage disposals smoke detectors, central vacuums, doorbells, plumbing systems exhaust and ceiling fans, sump pumps, septic tanks spa, pool as well as garage door openers.

3. You can be sure that repairs will be done

Repairs made under the warranty of a home for rental properties offers landlords many benefits. With the coverage of repairs, maintenance appointments, and replacements, landlords can protect themselves from having to shell out cash at any time there is a problem. Additionally, a home warranty plan simplifies the home repair process for everyone involved by making a claim with the warranty provider, who then sends someone to their rental property to fix the problem. Additionally, since most repairs and replacements can be addressed and solved quickly and efficiently, property management companies can expect reduced costs for contractors hired by third parties as well as insurance costs. A home warranty for rental properties will help clients and tenants keep their clients by solving the most common reason for tenants to leave: maintenance problems. Tenants can seek assistance from their landlords and not need to be approved. This lets them repair their appliances and systems quickly. Also, it reduces the chance of tenants complaining about it. Home warranties provide landlords with a cost-effective and efficient solution to repair rental properties.

4. Reduces the time and effort involved in finding a contractor

A home warranty can be a time-saver when searching for contractors. Instead of having to search for a reliable contractor in the nick of time, landlords can submit a claim at their home warranty provider. They will dispatch someone to their rental property to address the problem as soon as is possible. This is much simpler than having to call numerous contractors to find the most suitable contractor.

Property managers on the other hand they can cut down on time and stress by bringing a trusted vendor they already know to a managed home. They know the cost, work schedule and the history of the company. There is no need to look around for the perfect contractor. Furthermore, contractors who have been trained are more likely be kind and ethical to tenants. This is crucial to ensure the satisfaction of tenants.

In addition, receiving service from a home warranty provider may take longer than you expected in some cases, taking several days. Tenants might be unhappy if they are not satisfied with the speed with which repairs are completed. Property managers must act as a middleman between the tenants and the home warranty company, which adds to the burden.

A home warranty could be an excellent method to reduce time and avoid the expense of hiring an expert contractor. Property managers can assign trusted contractors they have already worked with to homes they manage, while homeowners can file an inquiry to their home warranty company and have the issue resolved in a short time.

5. Budget for repairs

Renters can save money by using a home warranty to cover repairs and replacements of their appliances at home and mechanical systems. The warranty for homes makes repairs more predictable and can help tenants feel more comfortable. This also increases the bottom line. It also provides more convenience, as it provides an one-stop shop for all home maintenance repairs and replacement needs, while eliminating the need to change money during service calls. A home warranty can cut down the owner's annual costs by covering the total cost of replacing or repairing malfunctioning appliances or systems.

6. Protection against landlord liability

Using a home warranty for landlords helps protect against landlord liability through prompt, professional repairs for appliances and systems that break due to age or normal wear and tear. Tenants are less likely to be able to sue landlords due to repairs and replacements for appliances and systems are completed promptly. The covered repairs also reduce the need for landlord approval and the need for disputes to be resolved, which further reduces the chance of liability for landlords. In addition, having a homeowner's warranty may act as an additional protection against financial loss because it's tax-deductible, helping to pay for rental costs.

7. Ability to choose between different warranty providers

It can be difficult to pick a home insurance provider for rental properties. It's important to consider the choices for coverage, the cost, industry reputation, customer support, and other features. When selecting a home warranty provider, we recommend considering the different plans and add-ons available, cost, industry reputation and support systems for customers in addition to other features. You should also consider whether you can choose your own contractor, and then upgrade your coverage plan. Additionally, consider how simple to transfer your policy from one owner to the next.

Based on our research, plan coverage is the one that should be considered most important in the customer support department as the second-most important factor. Reputation in the industry, availability of plans as well as additional features should be evaluated equally as well as price. Price is not the main factor in choosing the best home warranty company for your home's needs.

Liberty Home Guard offers a range of add-ons to suit your requirements, including a saltwater pool reverse osmosis system, and pro-series appliances. If you're unavailable to take care of repairs within the typical 30 days of the workmanship guarantee, AFC Home Club offers a plan-length guarantee that may offer additional protection. HomeServe specialized plans may be the best option for those who are most concerned about their rental property's utilities and American Home Shield may be the most suitable option for those looking to choose a home warranty provider with higher coverage caps.

We suggest seeking quotes from at least three companies for home warranties and reviewing the contract carefully to ensure you are aware of any exclusions or limitations. This will help you make educated choices and help to select the most suitable home warranty provider for the rental properties you own.

8. You may take advantage of discounts and other benefits

A home warranty plan for rental properties can help to save money in two ways. First, these plans can give you a more convenient and affordable solution to fix important household appliances and systems as they inevitably break down. This could save landlords cash on repairs that are routinely required. The other advantage is that the cost of premiums and service charges of the home warranty plan could be claimed on a tax return as an operating expense, depending on the landlord's registration. This could reduce their overall income and tax burden.

9. Ability to submit and track repair claims online

Home warranty plans can be incredibly helpful for rental properties by simplifying the repair process. Landlords need to submit claims with their warranty provider when an item covered by warranty malfunctions or breaks. The warranty provider will send an expert to the rental property to fix the issue as fast as they can, saving landlords the hassle in searching for a trustworthy contractor at short notice. The Home Warranty plans permit landlords to ensure that their rental property is taken care of through rapid service and ease of use.

10. Greater tenant satisfaction

Using the HomePRO Warranty can provide many advantages for tenants both with regards to service and satisfaction. The HomePRO Warranty reduces service calls because tenants can submit their demands directly, without waiting for the approval of the landlord. This helps to improve the relationship between landlords and tenant. HomePRO Warranty also eliminates the necessity of maintaining a relationship with multiple vendors. The warranty will cover repairs and replacements for various appliances and systems. In turn tenants have the security of knowing that their requirements will be met promptly and efficiently. In addition having a home warranty is also a way to boost the rent of the home, which allows landlords to earn more each month.