Should You Buy A Home Warranty with a VA Loan?

Protecting Your Investment as a Military Homebuyer

As a military member or veteran, you’ve earned the incredible benefits of a VA loan to secure your dream home. But once you’ve closed on your property, you might wonder how to safeguard your investment against unexpected repairs. That’s where a home warranty can step in.

What is a Home Warranty?

A home warranty is a service contract that covers the repair or replacement of certain home systems and appliances if they break down due to normal wear and tear. This typically includes:

  • Major appliances (e.g., refrigerator, stove, dishwasher, washer, dryer)
  • Heating and cooling systems (HVAC)
  • Plumbing and electrical systems
  • Water heater
  • Home security systems

Benefits of a Home Warranty for VA Loan Borrowers

  1. Financial Protection: Avoid the high costs of unexpected repairs. You’ll only pay a service call fee, typically ranging from $50 to $100, while the warranty company covers the rest.
  2. Peace of Mind: Gain confidence knowing you have a safety net in place, especially if you’re a first-time homeowner or purchasing an older property.
  3. Negotiation Tool: A home warranty can make your offer more attractive to sellers, especially in a competitive market.

Key Considerations for VA Borrowers

  1. Warranty Coverage: Carefully review what’s included and excluded in the plan. Some policies may have limitations or exclusions for pre-existing conditions or specific items.
  2. Cost: Home warranty prices vary depending on the coverage level and company. Compare quotes and consider your budget.
  3. Company Reputation: Research different providers and read reviews to ensure you choose a reputable company with a proven track record.

Alternative to Home Warranty

  • Self-Insurance: Create a dedicated savings account to cover potential repairs. This gives you more control over your funds.

Making the Right Decision

Whether a home warranty is right for you depends on your individual circumstances, risk tolerance, and budget. Consider the age and condition of the home, your financial situation, and your comfort level with potential repair costs.

Ready to Explore Your VA Loan Options?

Reach out to Raoul Rowe, a military veteran and Broker-Owner at Ready Front Real Estate, for expert guidance and support. Call (737) 276-1953 or visit to learn more.

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