With the real estate contract cancellation rate for new and existing homes roughly 20% as of early 20231, it’s more important than ever for agents to have effective closing strategies. Budget pressure from rising home prices and higher interest and insurance rates, more choices from additional inventory, and waived contingencies can all make today’s buyers more skittish. In many cases, home warranty coverage can give real estate clients the confidence they need to move forward with transactions.
American Home Shield home warranties convey valuable, affordable benefits to buyers and sellers alike by helping to:
- Keep deals on track when buyers get cold feet
- Give agents an effective negotiating tool to help keep deals together
- Provide peace-of-mind to buyers waiving home inspections
- Offer a sensible budget plan for costly repair or replacement of covered home systems or appliances
- Overcome worries about older systems and appliances
(no age limits on covered items)
- Boost confidence for all parties involved in the transaction
- Give your clients a solution for covered home repairs and access to discounted home good and services
In the current economy, buyers may not be able to save the recommended 1-4% of their home’s value for future home maintenance and repairs2. When you consider that 77% of homebuyers face unexpected repair costs in the first year of ownership3, it’s easy to see why your clients may be nervous. American Home Shield home warranties can address buyer budget concerns with affordable, customizable plans plus the reassurance of a reliable repair resource for covered breakdowns.
Learn how you can close more deals while building and maintaining repeat and referral business with the proven track record of American Home Shield. Contact your American Home Shield Account Manager today or visit ahs.com/realestate.
1Source: https://www.gobankingrates.com/investing/real-estate/whats-causing-surging-home-cancellation-rates/
2Source: https://www.statefarm.com/simple-insights/residence/how-to-budget-and-save-for-home-maintenance
3Source: https://www.cnbc.com/2022/02/22/3-in-4-homebuyers-face-unexpected-maintenance-costs-in-first-year.html
