From time to time, you’ve probably noticed a dip in the number of homes listed for sale. During times like these, when there is greater competition amongst buyers vying for fewer homes, savvy buyer agents know that successful closings are more crucial than ever.
In addition to driving up asking prices, a low-inventory market can lead buyers to stretch their budgets to cover higher down payments. This can then lead to buyers having little leftover to cover the cost of unexpected household repairs, resulting in a lack of confidence in closing the sale.
Here are some tips on how a home warranty can help you and your clients during a low-inventory market:
Offer budget protection for buyers
An AHS® Home Warranty Plan can help protect buyers’ budgets, which can help give them the confidence they need to proceed with their transactions.
Extend quality service through reliable service contractors
The AHS service contractor network features more than 13,000 experienced professionals. This knowledge can help reassure first-time or relocating buyers in new communities that a qualified, reliable resource is available when covered items break down.
In addition, AHS service contractors have in-depth knowledge of home system and appliance repairs. They also routinely deal with refrigerant capture, regulations, codes, new computerized equipment and other situations that can be difficult for even ardent DIY homeowners.
Provide convenient home warranty purchasing options
At AHS, trusted service and valuable protection can also be renewed annually, so buyers can receive continuous coverage on their appliances and home system components if they choose.
Here are some ways that AHS Home Warranties can also help listing agents:
Promote long-term client relationships
AHS helps real estate professionals build the kind of long-term client relationships that lead to referrals and repeat business. One such way is by sending professionals service request notifications for additional client touchpoints.
Help listings stand out from the competition
American Home Shield offers real estate professionals free marketing materials such as sign riders and open house supplies. These resources can help draw attention to and differentiate listings by informing potential buyers the home has an AHS Home Warranty.
Real estate professionals can also use AHS Home Warranties as part of their concierge service model to distinguish themselves from the competition. For example, they can pay for seller’s coverage or the entire warranty as part of the service they provide.
Buying agents can also benefit from working with AHS. Here are just a few reasons:
Help mitigate risk management issues
Retaining a signed acceptance or waiver of home warranty coverage for each buyer may help mitigate potential risk management issues.
Assist with client relationships
AHS Home Warranties support repeat and referral business by helping to build happy client relationships, even communicating paid service requests to agents for another client touch point.
In addition, when a covered malfunction occurs, buyers will call AHS and not their agent, which may help protect the client relationship, the agent’s commission, and frees the agent to move on to the next closing.
Provides added value
Let the buyer know they have an option to pay for the home warranty and include seller’s coverage to help protect the home within the time period from contract acceptance to closing. This provides added value to the offer to purchase because it benefits the seller prior to closing with no cost to the seller.
AHS coverage does not require coverage
If the age and condition of currently operating systems and appliances are unknown, AHS Home Warranty coverage becomes more important than ever, since appliance and system inspections are not required prior to issuing the home warranty contract.
For more helpful tips, visit the American Home Shield® Home Matters blog