MIAMI Association of REALTORS




Leveraging the Home Warranty

by | Mar 12, 2014

If you want to improve the satisfaction of home sellers and homebuyers in real estate transactions today, partner with a home warranty company. One of the often forgotten features of most home warranties today is that the seller home warranty is typically free during the marketing phase of the process. The home warranty payment is handled at closing.

The biggest mistake that brokers and agents make in the marketing of a home warranty is the failure to educate about home warranty during the property marketing (seller) or property search (buyer) phase of the transaction. However, a few companies are setting the standard. Take a look at the method that Coldwell Banker is applying to property search on one of their NRT websites.


Many leading companies that offer home services have focused on developing mortgage leads on listing detail pages. I am not sure why they have not done an equally good job of promoting home warranty.

There is an expectation that a firm's agents will review home services options like home warranty in the listing presentation. Unless the firm has included those pages in the listing presentation template, it is unlikely that the agent will go out of their way to incorporate home warranty information. Other brokers, like Century 21 Hometown Realty, associate a home warranty on every transaction unless the client specifically signs a letter of rejection.

Another missed opportunity is marketing the home warranty after the sale. Set a date in your CRM solution to remind the client of their home warranty and its coverage every few months. You can also set a renewal reminder notice 60 days before coverage expires.

Home warranty is a great component to any broker's Client for Life program. Great execution only requires a few pieces of automation to be baked into your technology platform.

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