Should landlords have a home warranty on a rental property?

In today’s economy, getting the most out of your investments is more important than ever, especially regarding real estate. As a landlord, you already know how much time, money and energy go into maintaining a property. From sudden system failures to appliance breakdowns, surprises can add up quickly and impact your bottom line. That's where Cinch Home Services can help. 

A home warranty plan from Cinch is a smart way to manage the risks of property maintenance while protecting your rental investment and your budget.

What exactly is a home warranty for a rental property? 

A home warranty is a service contract that helps cover the cost of repairing or replacing key appliances and home systems when they fail due to normal wear and tear. This type of coverage can relieve landlords' pressure for rental properties by providing reliable support when breakdowns happen. 

With a Cinch home warranty plan, when something goes wrong, it only takes a service request. We'll connect you with a qualified service professional from our network to diagnose the issue and handle the repair or replacement, getting things back to normal for you and your tenant as soon as possible.

Having warranty coverage creates peace of mind for you, as a landlord and/or property owner, that even if the manufacturer’s warranty fails, you are still covered.

Not only does a home warranty plan protect you from paying exorbitant fees for appliance repairs, but you will also be able to rest a little easier knowing that one portion of your responsibility as a landlord is covered.

What is covered in a landlord home warranty?

Purchasing a home warranty for a rental property is the same as purchasing one for a residential property. Typical home warranty coverage lasts one year, which is ideal for a landlord, as you will be able to assess your appliances and systems at move-in and move-out dates.

An annual reassessment means you can adjust your plan as necessary, such as by adding appliances previously under a manufacturer’s warranty or by including newly purchased appliances. 

When purchasing a home warranty, you’ll need to find one that offers flexibility and the option to add appliances to your plan. Reputable home warranty providers, such as Cinch Home Services, offer a range of options for you.

You may choose to include coverage for as many appliances and home systems in your plan as possible, such as a refrigerator, oven, dishwasher, heating system, air conditioner and plumbing. You may also choose to leave certain items out if you know that the items are past normal wear and tear.

What should a landlord consider when choosing a home warranty plan?

When choosing your home warranty plan, there are a few things you should take into consideration:

• If your rental property is older and contains aging appliances and home systems, you will want to cover these with a home warranty. 
• Some newer appliances might be covered by a manufacturer’s warranty, but check what that coverage entails. A home warranty could be an added buffer where a manufacturer’s warranty doesn’t apply.
• Decide what you want covered under your home warranty and set a budget. 
• A basic plan will have a lower monthly premium and cover regular appliances as well as home systems, such as plumbing, electrical, air conditioning, and heating. 
• If you are looking for additional coverage, you will pay a higher premium, but you can cover items like your pool, roof, and more.

It is important to carefully read the contract with the warranty company. Decide if you want to pay monthly for your coverage or pay the premium annually. You will want to be fully aware of exactly what is covered and what is not covered.  

covered under your structural warranty. 

Finally, if you are the contact person for your tenants, you will not have to worry about being the liaison between the warranty company and your tenants when there is a need for repairs.

Home warranty vs. homeowners insurance 

Homeowners insurance is essential—it covers damages from fires, storms, or theft. But it doesn't cover everyday wear-and-tear breakdowns. That’s where a home warranty fills the gap. It’s not a replacement for insurance or wear-and-tear breakdowns, but it’s a companion that ensures you’re protected when the furnace stops heating, the fridge stops cooling, or the A/C goes out in the middle of summer. 

Is a home warranty for a rental property worth it?

It may be for you! For landlords, a home warranty may mean more than just repair coverage—it can mean time saved, stress reduced, and happy tenants. When your tenants are happy, your property stays in demand, and your investment remains protected. 

Ready to safeguard your rental property with reliable coverage? Explore Cinch Home Services and find the right plan for your needs today. 

*The information provided in this blog is for general informational purposes only and should not be considered professional advice. Cinch Home Services is not liable for any actions taken based on the content of this blog.

*The information in this blog library is intended to provide general guidance on home warranties, and on the proper maintenance and care of systems and appliances in the home. Not all of the topics mentioned are covered by our home warranty or maintenance plans. Please review your home warranty contract carefully to understand your coverage.

*Our blog library may link to third-party sites that offer products, services, coaches, consultants, and/or experts. Any such link is provided for reference only and not intended as an endorsement or statement that the information provided by the other party is accurate. We are not compensated for any products or services purchased from these third-party links.

As a landlord, one way to protect against added or unmanageable costs is by purchasing a home warranty for your rental property.