by Aidan Kang, CFA
Senior Writer
UPDATED: July 27, 2021

During a recession, many people will try to find ways to save money. And we know that being a homeowner is very costly. You can find yourself stuck with repair fees that can go up to a few thousands of dollars. Should you get a home warranty to make it easier for you? You will reconsider every cost during a recession. This is a smart thing to do, as you don’t want to face unexpected costs during hard times. A home warranty plan will help you save some money, so you should consider getting one.

Provide Peace Of Mind

Breakdowns can occur at any time. The last thing that you want to do during a recession is to have to face home repair costs. Keep in mind that fixing appliances can cost up to a few hundreds of dollars. Fixing or replacing important home systems done by a contractor can cost a few thousands of dollars. And you really don’t want to face enormous costs during a recession.  

Get Reliable Service Fast

Individual repairs can cost a lot of money. During a recession, you might not have cash available at the moment. The situation is quite unpredictable and can last for a long time. If something breaks down, you might find yourself searching for a contractor with the lowest fee. But, keep in mind that you shouldn’t compromise on quality. Contractors that offer low prices might not have the needed experience and skills. In the long run, a faulty repair can bring additional costs on your end. 

We know that the best home warranty companies always work with trusted technicians. You won’t have to look for a contractor by yourself. All you need to do is call your provider and they will send them your way. You can even ask for certificates to make sure that the company works with professionals. 

Secure Your Budget

During a recession, people won’t save up for the emergency fund. Or, they might end up spending their savings on other necessities. However, we should all keep in mind that malfunctions can happen at any time. And you don’t want to live without a crucial home system such as a water heater or air conditioning. The basic home warranty plans start at $300 for a year, which isn’t a great amount compared to the benefits that it brings. If you find it more convenient, you can break down the amount in monthly payments. Even if you add up the service calls, your home warranty can pay off even with the first call. 

To Sum It Up

The home warranty might be the last thing that you would think of during a recession. However, you need to rethink it. Obtaining a home warranty plan can give you a peace of mind and stability during tough times. However, be sure that you pick a reliable provider and a home warranty plan that covers your specific needs. You also have to make sure that you've done some research on your own.