In a competitive real estate market, buyers often make sacrifices to stand out. One common strategy? Waiving the home warranty in the initial offer to appear stronger to sellers. But here’s something many buyers don’t realize:
You can still add a home warranty after you close escrow.
What’s a Home Warranty, Again?
A home warranty is a service contract that covers the repair or replacement of major home systems and appliances—think HVAC, plumbing, electrical, water heaters, kitchen appliances, and more. It can be a lifesaver, especially in the first year of homeownership when surprises are most unwelcome.
Why You Might Have Waived It
In a bidding war, every term counts. Waiving the home warranty can be a tempting way to simplify the offer and make it more attractive to the seller. It’s not uncommon—but it does carry risk. If something goes wrong after closing, you could be on the hook for repairs that a warranty might have covered.
The Good News: It’s Not Too Late
If you waived the warranty to win the deal, you can still purchase one yourself after closing. Many home warranty providers allow new homeowners to enroll within 30–60 days after closing—even if a warranty wasn’t included in the sale.
What It Might Cost
A standard home warranty plan usually costs between $300 and $600 per year, depending on coverage. It’s a small investment for peace of mind, especially if your new home has aging systems or older appliances.
When to Consider Adding One
- You waived it to make your offer more competitive
- The home inspection revealed older systems
- You’re a first-time buyer and want extra protection
- You don’t have a large emergency repair fund
Winning the home was the goal—and you did it. But protecting your investment is just as important. A home warranty is one way to do that, even after the ink has dried. If you waived the warranty during negotiations, don’t worry—you’ve still got time to add one and enjoy a little more peace of mind.
If you’re considering a move or investment and require a trusted Real Estate Broker, we’re here to assist you. Contact us via email at TEAM@McDanielCallahan.com, complete the form below, or give us a call at 925-838-4300. We are ready to provide expert guidance and support for all your real estate needs. Terry McDaniel DRE License #00941526
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