Santa Cruz Home Warranty FAQ

Posted by Lauren Spencer on Tuesday, August 17th, 2010 at 11:01pm.

In today’s real estate market, it’s helpful when homeowners add incentives to sell their Santa Cruz homes. Incentives may include paying a portion of the buyer’s closing costs, reducing the sale price or offering a home warranty.
Many sellers and buyers are unaware of the advantages of home warranties, so below are answers to some frequently asked questions about home warranties:

• What is a home warranty? A home warranty is a policy that covers the repair or replacement of home systems and appliances. They are typically annual policies that can be renewed and usually cost between $250 and $500.

• Who pays for a home warranty? Either the seller or the buyer can pay for the home warranty, but sellers usually cover the cost as an incentive for selling their Santa Cruz home. Sometimes real estate agents offer home warranties as a closing gift.

• What is covered? This will depend on the terms of your warranty. Most warranties cover the air conditioner, dishwasher, furnace or heating system, water heater, ductwork, garbage disposal, inside plumbing, electrical systems, range and oven, and telephone wiring. Check with your home warranty for your specific coverage.

• What is not covered? Again, this will depend on the terms of your warranty. However, most warranties do not cover outdoor sprinklers, certain faucet repairs, refrigerators, washers and dryers, garage door openers, spas, and pools. Check with your home warranty for your specific coverage.

• How do I file a claim? If you have to file a claim, contact your home warranty company. They will call a service provider who will set up an appointment. You will have to pay a small service fee that is usually less than $100.

Want to buy a Santa Cruz home that comes with a warranty? I can help.

Call me today at 831.662.6522 or email me at or visit my website at


What is a home warranty


What is covered?

About Lauren Spencer

Award-Winning Santa Cruz REALTOR®

Lauren Spencer is your local real estate expert, specializing in Santa Cruz real estate and surrounding communities—this is where she lives, works, and plays too. Let her know your questions about the community and county and she'll be happy to fill you in on all you want to know! Lauren Spencer has consistently been voted best local REALTOR in Santa Cruz and is always happy to offer her advice and expertise. Call her at: 800.226.4717.

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