Best Home Warranty Plans for First-Time Buyers
Buying your first home is exciting but also a bit overwhelming. You’re suddenly responsible for everything inside those walls: the furnace, water heater, fridge, oven, plumbing, electrical system, and more. When something breaks (and it will), repairs can cost hundreds or even thousands of dollars.
That’s where a home warranty comes in.
A home warranty isn’t insurance it’s a service contract that covers repair and replacement costs for major appliances and systems due to normal wear and tear. And for first-time homebuyers without a big emergency fund, it can be a financial lifesaver.
Below, we break down the best home warranty companies in 2025 based on coverage, pricing, claim process, and customer service—all with first-time buyers in mind.
1. American Home Shield (AHS) – Best Overall Coverage
Why It’s Great for First-Time Buyers:
American Home Shield is known for customizable plans and wide coverage, which is ideal if you’re unsure what your new home may need. You can choose from a preset plan or build your own coverage.
Key Features:
- Covers older appliances regardless of age
- Offers “ShieldSilver,” “ShieldGold,” and “ShieldPlatinum” tiers
- Covers HVAC, plumbing, electrical, and major appliances
- Generous $3,000–$6,000 coverage cap per item
Pricing:
$40–$80/month depending on plan and service fee
Customer Service & Claims:
Fast claim process, 24/7 service requests, and solid technician network. Some users report delays in peak seasons.
Best For:
Buyers of older homes who want robust, customizable protection.
2. Liberty Home Guard – Best Customer Satisfaction
Why It’s Great for First-Time Buyers:
Liberty Home Guard consistently earns top customer ratings for transparency, fast claims, and courteous reps—key when you’re new to all this.
Key Features:
- Appliance-only, systems-only, or combo plans
- 40+ add-ons (like rekeying, pest control, and sump pumps)
- Covers items regardless of age or make
Pricing:
$49–$60/month plus service call fee of $75–$125
Customer Service & Claims:
Rated A+ by the BBB and ranked #1 by U.S. News for warranty satisfaction. Most claims are resolved within 48 hours.
Best For:
First-time buyers who want peace of mind and excellent support.
3. Choice Home Warranty – Most Budget-Friendly Option
Why It’s Great for First-Time Buyers:
If you’re already stretching your budget after closing costs and moving fees, Choice offers solid entry-level protection at one of the lowest prices in the industry.
Key Features:
- “Basic” and “Total” plans include HVAC, electrical, appliances, and more
- Covers unknown pre-existing conditions
- Simple flat-fee structure
Pricing:
$36–$44/month, with a $85 service call fee
Customer Service & Claims:
24/7 claims support, but some users report delays in technician availability.
Best For:
Buyers on a tight budget who still want solid baseline protection.
4. Cinch Home Services – Best for Quick Repairs
Why It’s Great for First-Time Buyers:
When your A/C fails in July or the oven dies before Thanksgiving, Cinch’s rapid claim process can be a game changer.
Key Features:
- 180-day workmanship guarantee on repairs
- Appliance and system coverage available separately
- Includes a $500 home insurance deductible reimbursement
Pricing:
$28–$55/month depending on coverage and deductible options
Customer Service & Claims:
Quick claims turnaround—often within 24 hours. Mobile app for faster service tracking.
Best For:
Buyers who value speed and minimal downtime on repairs.
5. First American Home Warranty – Best for Appliance Protection
Why It’s Great for First-Time Buyers:
If you’ve inherited aging appliances with your new home, First American offers strong appliance protection with high coverage caps.
Key Features:
- Covers major kitchen and laundry appliances
- Unlimited coverage on HVAC (with Premier plan)
- Optional coverage for roof leaks, pools, and more
Pricing:
$40–$75/month depending on location and plan
Customer Service & Claims:
Good response times and decent contractor network, though online portal could be improved.
Best For:
Buyers of resale homes with worn appliances or limited appliance warranties.
Quick Comparison: Best Home Warranties for First-Time Buyers
| Company | Best For | Monthly Cost | Coverage Strength | Customer Ratings |
|---|---|---|---|---|
| American Home Shield | Customizable protection | $40–$80 | ★★★★★ | ★★★★☆ |
| Liberty Home Guard | Customer satisfaction | $49–$60 | ★★★★☆ | ★★★★★ |
| Choice Home Warranty | Budget-conscious buyers | $36–$44 | ★★★★☆ | ★★★★☆ |
| Cinch Home Services | Fast repairs | $28–$55 | ★★★★ | ★★★★☆ |
| First American | Appliance-heavy homes | $40–$75 | ★★★★☆ | ★★★☆☆ |
What to Look for in a Home Warranty (Especially as a First-Time Buyer)
- Low service fees: Choose a plan with predictable out-of-pocket costs.
- Comprehensive coverage: Make sure your core systems and kitchen/laundry appliances are included.
- Reputation for service: Read reviews, and pay attention to how quickly and fairly claims are handled.
- Flexible add-ons: If you have extras like a pool or well pump, check add-on pricing.
Final Thought
A home warranty won’t cover everything, and it won’t stop things from breaking. But it can soften the financial blow—and give you peace of mind during your first years of homeownership.
The best plan depends on your home’s age, your repair budget, and how much support you want. Take your time comparing options, and read the fine print so you know exactly what’s covered.
