What is the main purpose of a home warranty?

The main purpose of a home warranty is to provide coverage for certain repairs and replacements of home systems and appliances. A home warranty is essentially a service contract that helps homeowners cover the costs of repair or replacement of major components such as plumbing, electrical systems, heating, and appliances. This can be particularly beneficial for homeowners who may not have the financial resources to pay for unexpected breakdowns or repairs.

Home warranties offer peace of mind, knowing that if something in the home malfunctions, there is a plan in place to help manage those expenses. They are often appealing to buyers of older homes or homes with aging systems, as these warranties can help mitigate the risks associated with potential repairs shortly after purchase.

While home warranties can contribute to enhancing a home's marketability and make a listing more attractive to potential buyers, their primary function is not to increase property value or ensure a quick sale. They do not cover the entire property against loss, nor do they provide insurance in the traditional sense. Instead, they specifically target repair and maintenance costs, making option B the most accurate answer.