Buying your first home is an incredibly exciting experience involving lots of paper signing and transferring hard-earned money. Although there are so many positive benefits of living in a home, there are negatives that first-time buyers often overlook.

Nobody likes to think of it, but what happens when your heating system or microwave decides to stop working just a few weeks after you purchased your home. This is where finding one of the best home warranties for first-time buyers comes into play.

Best Claims Acceptance Rate
logo choice home warranty
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Limited Time: $50 Off + 1 month free when you signup today!
Best Coverage Limit
american home shield
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Limited Time: $150 OFF All Home Warranty Plans for new members.
Best for Customization
liberty home guard logo
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Limited Time: $200 Off + 2 Months Free + Roof Leak Protection.
Best Overall Value
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Limited Time: Use code HOUSE25 for $150 off & 2 months free.

Our Top 5 Home Warranty Companies for First-Time Home Buyers

First-time home buyers should take comfort in knowing that all five of our top home warranty companies are credible, professional, and well established across the United States. We compared pricing structures, coverage options, service fees, BBB ratings, cancellation fees, coverage caps, and more.

Here are the top 5 home warranty companies for first-time home buyers.

Choice Home Warranty: Best Claim Acceptance Rate

Compare Home Warranty Providers

The table below outlines data for the best home warranty companies on the market. We constantly update these ratings as companies change their policies and prices to give you the most accurate information possible. Continue reading in-depth reviews of several top providers.


Monthly Cost

Service Fee

Coverage Limit

Response Time


States Covered




24–48 hours


49 states, excluding WA




24–72 hours


50 States




12–48 hours


47 states, excluding NV, WA, and WI




24–48 hours


47 states, excluding NV, WA, and WI




24–48 hours


49 states, excluding HI




24–48 hours


48 states, excluding AK and HI




24–48 hours


42 states, excluding AK, HI, MT, NH, ND, OK, SD, and WY




24–48 hours


34 states, excluding AK, CT, DE, HI, IL, LA, ME, MA, MN, NH, NJ, NY, ND, RI, VT, and WI

*Quote and cost data gathered January 2023. Cost data are updated and monitored continuously.

Best Claims Acceptance Rate

Choice Home Warranty


Our Rating

Limited Time: $50 Off + 1 month free when you sign up today!

Choice Home Warranty is the best overall home warranty for first-time home buyers. Purchasing a home can be very confusing. There are a number of different plans, policies, and agreements that you will be responsible for. Therefore a complicated home warranty service contract will turn many first-time home buyers away from the home warranty. Luckily Choice Home Warranty has one of the most straightforward service contracts in the world of home warranties. With 13 years in the industry, Choice Home Warranty knows exactly what first-time home buyers need.

Why We Chose CHW

The Choice Home Warranty is one of the most trusted home warranty policies in the US. Customers enjoy how easy it is to work with Choice Home Warranty and the overall affordability of the plan. In addition to the clear and concise service contract, Choice Home Warranty also keeps its plans simple and straightforward. There are two Choice Home Warranty plans to choose from, and they are both comprehensive coverage options. First-time home buyers will not need to decide between covering appliances or systems,  as both are covered under the Choice Home Warranty.

Straightforward service contract 
90-day workmanship guarantee
Fair pricing for combo plan
Plenty of add-on options
More than 13 years in the industry
No ability to build a custom plan 
PlanPrice Per MonthPrice Per Year
Basic Plan $45$560
Total Plan$53.33$660

One of the major considerations for first-time homebuyers looking into home warranties is the policy’s coverage caps or limits.  Some home warranty companies have a coverage cap or limit of around $500.  However, with Choice Home Warranty, the coverage caps are more than $2,500. This means if your first home has high-end appliances and systems, The Choice Home Warranty is well-equipped to cover any issues that could come up.

Best For Customization

Liberty Home Guard


Our Rating

Limited Time: $200 Off + 2 Months Free + Roof Leak Protection.

Liberty Home Guard is a newer home warranty company available to first-time home buyers. Within the first two years of this policy being on the market, they have managed to earn a BBB rating of an a. When looking at customer reviews and reports about Liberty Home Guard, the customer service and response times continue to come up as positive for this company.

Although the number of years that a home warranty company is spent on the market is an essential indicator of the effectiveness of a plan,  Liberty Home Guard has undoubtedly proved itself as a leader in the industry. LHG has some of the most extensive add-on coverages on the market. As a first-time homebuyer, the truth did not want to get involved with fixing sprinklers,  Carpet Cleaning,  locksmith services, and more; the Liberty Home Guard home warranty is a perfect solution.

Good speed of service
60-day workmanship guarantee
Extensive list of add-on coverages
365 days a year of customer help and service
Priced a bit higher than other companies
Newer company with less industry experience
PlanPrice Per MonthPrice Per Year
Appliance Guard$64.99$649.99
Systems Guard$69.99$699.99
Total Home Guard$74.99$749.99

As you have likely noticed, the Liberty Home Guard policies are priced slightly higher than others on the market. However, Liberty Home Guard is available to customers 365 days a year-end; the Total Home Guard package provides comprehensive and extensive coverage of the home. This is one of those situations where you will get what you pay for.

Best Coverage Limits

American Home Shield


Our Rating

Limited Time: $150 OFF All Home Warranty Plans for new members.

American Home Shield is a premium home warranty company for first-time home buyers. The American Home Shield Home Warranty has been on the market for more than 50 years. This makes AHS one of the leaders in the home warranty industry.  First-time home buyers looking for premium coverage, customization, and impressive customer service will find American Home Shield to be a great match. 

First-time homebuyers who are nervous about caring for and maintaining a home should seriously consider the American Home Shield Home Warranty. Even though the pricing of the AHS plans is slightly higher, In the end, the value is there. With the American Home Shield Home Warranty, you can build out a home warranty policy to match the needs of your home. If you have an extra refrigerator,  no microwave,  or simply don’t want coverage for your water heater,  American Home Shield makes building a plan relatively simple. 

More than 50 years in the industry 
Customizable plans
Premium coverage with high coverage limits
Custom payment options
Pricing tends to be a bit higher than some other providers
PlanPrice Per MonthPrice Per Year
ShieldSilver Systems Plan$39.99$479.88
ShieldGold Combo Plan $49.99$599.88
ShieldPlatinum Combo Plan$64.99$779.88

Coverage caps are an essential consideration for first-time home buyers. With American Home Shield, you will still get that same premium coverage of more than 2,500 dollars worth of coverage for any covered item. American Home Shield is known for paying out a high number of Home Warranty claims each year. If you follow the regulations set forth in your home warranty policy,  you will have no issues with American Home Shield following through on repairs and replacements.

Best Value

Select Home Warranty


Our Rating

Limited Time: Use code HOUSE25 for $150 off & 2 months free.

Select Home Warranty is a very reasonably priced choice for first-time home buyers. Many times when purchasing a home, you will spend more money than you thought you would. If you find yourself on a tight budget, the Select Home Warranty is an excellent policy to consider for your home. With Select Home Warranty, you will find and that you get excellent coverage and a very fair cost. Each select home warranty policy also comes with free roof leak coverage.

First-time home buyers do not need extra monthly expenses thrown their way in the first few weeks of homeownership. However, an electrical system that needs repair or a washing machine that is beyond repair will certainly impact overall spending and budgeting for first-time home buyers. Select Home Warranty allows this to be avoided.

Select Home Warranty has more than nine years in the home warranty industry. One thing that sets Select apart from other Home Warranty companies is their strict repair technician qualification process.  Select Home Warranty ensures that you are comfortable with the service repair technician coming to your home. In addition, this technician will be qualified to repair or replace the covered item.  

Easy to work with 
Free roof leak coverage with each plan 
Excellent value for the coverage provided 
Has more than nine years of experience in the industry
Coverage caps are not as high as some other plans
It won’t provide complete customization like the AHS plans 
PlanPrice Per MonthPrice Per Year
Gold Care$52.00$579.99
Bronze Care $52.00$579.99
Platinum Care$58.00$649.99

With the pricing of the select home warranty being slightly lower than other companies, you can expect that coverage will be limited in some areas. One of the major limitations of the Select Home Warranty policy is the lower coverage Caps or limits. However, it is still certainly going to be money-saving to have a Select Home Warranty policy in place.

Best for Kitchen Appliances

First American Home Warranty


Our Rating

Limited Time: Checkout Online and Get a $100 Instant Discount

First American Home Warranty is a perfect option for first-time homebuyers looking for appliance coverage. Although the comprehensive or combo plans will offer greater peace of mind and more extensive coverage,  they tend to be more expensive. In addition, some first-time homebuyers are not concerned about their systems the way they are worried about their appliances. Although First American Home Warranty offers several different types of policies, the appliance plan is one of the best on the market.

Get a free quote from First American Home Warranty.

With more than 40 years in the industry, first-time home buyers have learned to trust and rely on the First American Home Warranty company. At this time, they have narrowed their home warranty coverage options to help make it easier for first-time homebuyers to choose an effective and affordable home warranty plan.  First American Home Warranty has excellent customer service and impressive speed. 

Fair pricing 
Option for 24/7 service calls
Some systems with no coverage caps
Excellent appliance coverage for new construction homes
The contract can be a bit confusing with lots of technical terms 
PlanPrice Per MonthPrice Per Year
Basic Plan $38$456
Premier Plan $48.50$582

The First American Home Warranty is an affordable policy with solid coverage. The Premier Plan offers good all-around coverage, but it will not be as extensive as the coverage offered by Liberty Home Guard or Choice Home Warranty. However, first-time homebuyers interested in saving money and still having adequate coverage will enjoy what this plan has to offer. 

What To Look For When Choosing a Home Warranty For First Time Buyers

Although we narrowed down the best first-time home buyers’ policies to the top five,  you will still need to choose one that is a fit for your home. There are several ways to compare and contrast these home warranty policies. Here are some of the most important things to look for when choosing a home warranty for first-time home buyers.

Plans and Coverage

Comparing a combo plan from American Home Shield to one from Choice Home Warranty or First American Home Warranty will show you the way that the covered items differ from one policy to the next. You cannot assume that a platinum plan from one company will match the Platinum plan from another. It is important for first-time homebuyers to pick and choose the coverages that are the most important to them and find a policy that matches this most closely.

Price and service fees

The price of a first-time home buyer’s warranty must take into consideration the monthly fees as well as the service fees. The more money a plan costs, the more coverage that it will offer. When adding additional options like swimming pools and spas, expect the policy to increase in price at a rather fast pace. The good news for first-time homebuyers is that there are plenty of affordable home warranty options on the market.

Replacement Options

In addition to offering coverage for repairs around your first home, Most home warranty companies also provide replacement coverage. This means if a covered item is not repairable, you will receive money towards a replacement. Replacement coverage will depend on the policy limits as well as the age and condition of your current appliance or system.

Pre-existing Conditions

 Home warranty companies do not protect against pre-existing conditions. However, this is not a problem for most first-time home buyers. Typically when a home is transferred from one homeowner to the next day, the home is in perfect working condition. You can use your inspection from the closing of your home to show a Home Warranty company that there are no pre-existing conditions. This will help for future claims and issues that may come up.


 Home warranty companies are offered across all 50 states. However, each of the companies on our list of the top five best home warranties for first-time homebuyers has different availability. For the most part, if a plant is offered in your state, it will be provided in your town. In addition, the pricing throughout the state and the country should be relatively the same.

Do First-Time Buyers Need A Home Warranty?

First-time home buyers need to seriously consider putting a home warranty in place for their first year of homeownership. It is very difficult to predict how much it will cost you to keep your home up and running throughout the course of a year. One year you may experience no issues with specific systems or appliances in the home. The next year you could find yourself replacing half of your kitchen.

The unpredictability of homeownership is something that can cause many first-time buyers to get into a poor financial situation. With the way that a home warranty Works, budgeting becomes much easier. Knowing that for a small monthly fee, you are getting hundreds if not thousands of dollars worth of coverage on your appliances and systems will help ease the stress of homeownership.

First-time home buyers on a budget will find plenty of fairly priced policy options among our top five best home warranty companies for first-time home buyers. Don’t let your tight monthly budget stop you from protecting your systems and appliances.

Many first-time homebuyers have no idea how expensive it is to have something like an electrical system or Plumbing stoppage repair. If you are curious as to whether or not a first-time home buyer’s warranty is worth money, take a look at some of the repair costs that could be coming your way.

Final Thoughts

We hope you now feel you can choose a first-time home buyer’s warranty for your home. Owning a home is an impressive accomplishment,  however, it can also be very stressful. To start enjoying all homeownership instead of worrying about it, the Choice Home Warranty is a perfect option for first-time homebuyers. It is essential to consider getting a few quotes for your first-time home buyers warranty. Sometimes there are sign-up incentives or unique coverage benefits to an individual plan in your state. Getting two or three quotes will help ensure that you get the best value for your home warranty.

See the Best Home Warranty Companies in Your State

FAQs about Home Warranties for First Time Home Buyers

Should a seller provide a home warranty?

Some first-time homebuyers are lucky in that a seller will provide a home warranty for the first year. This is an excellent benefit for first-time homebuyers who need to consider renewing this policy before its expiration. Letting the coverage Labs could result in another 30-day wait. Prior to the policy starting.

What is a service fee?

A service fee is a price you pay each time you need a repair or replacement of a covered item. Service fees range in price from around $60 to $150. Overall, service fees are lower than the price it would cost to have a repair technician come to your home and diagnose an issue. Some home warranty companies refer to the service fee as a deductible.

What does a first-time buyer’s home warranty cover?

The first-time home buyers warranty will cover expenses related to repairing and replacement of systems and appliances in the home. Not all systems and appliances will be covered, and not all issues related to the systems and appliances will be covered. Home warranty policies are designed to protect against normal wear and not intentional breakage or misuse.

Do first-time buyers need both appliance and system coverage?

Furnace home warranty coverage is well worth the price. Since furnaces are expensive and require certified repair technicians to work with them, the overall value you get with a home warranty plan is quite good. Not all appliances and systems have the same need for a warranty the way that the furnace does.

What does a first-time home buyers warranty cost?

First-time home buyers can expect to pay anywhere from around $38 a month to over $75 a month. The pricing is impacted by the number of covered items, the service fees, and the overall policy benefits. As a first-time homebuyer, it can make sense to purchase a more affordable plan and then upgrade to a Premium plan after you see the benefits of having a home warranty in place.

Today's Homeowner Home Warranty Ranking Methodology

At Today's Homeowner, transparency and trust are our most important values for the reader. That’s why we took the time to create an objective rating system and score each home warranty provider according to our methodology.

We’ve done the homework for you and have researched over 50 home warranty companies so you can have the information you need to make the best choice for your home. Additionally, transparency and trust are our most important values for the reader.

That’s why we took the time to create an objective rating system and score each home warranty provider according to our methodology. Our team spent hours on the phone speaking to representatives from each home warranty company to get information right from the source. We also dug into the fine print on each company’s service agreement to make sure no detail was left out.

To make the most of our research, we developed a formula to objectively determine the best home warranty companies based on the following criteria:

  • Plans: Do they provide a variety of plan options? We looked at the number of plans each company offered and the flexibility of adjusting the plan.
  • Prices: How reasonable are the monthly fees and service fees in comparison to the industry average? We compared the costs of each company to competitors.
  • Coverage: How many items are covered in each plan? We looked at the number of items each company covers. We dig into all service contracts available to get all the details.
  • Customer service: How is the customer experience when calling the providers? Based on our phone calls, we were able to judge each company’s customer service.
  • Trust: What do customers rate the company? We looked into what customers are saying about their experience with the company.
  • Nationwide availability: How many states does the company cover? We found the number of states covered by each company.
  • Unique perks: Does the company offer discounts or cover special items? We looked for perks offered by each company that sets them apart from the competition.

How do we keep our data up to date?

We want to make sure we’re providing you, the consumer, with the most current data available for every home warranty company we’ve researched and rated. That takes significant effort but we feel that’s vital to providing you thorough and trustworthy reviews.

With that in mind, we have dedicated staff members who regularly update our database of home warranty research.

For those that want to  come home to a house that is comfortable and functioning, a home warranty makes a lot of sense. For the price that a home warranty is offered, you will quickly learn that it is indeed a good value. At an average of around $40 per month, your policy will cost you just under $500 per year.

If you have ever had an appliance or a home system that needs repair, you probably understand quite well that you will quickly reach that $500 mark to get your home back up and running. Take your time to carefully consider your home warranty options, check around for discounts and then give yourself the peace of mind that you deserve.

Editorial Contributors
Alora Bopray

Alora Bopray

Staff Writer

Alora Bopray is a digital content producer for the home warranty, HVAC, and plumbing categories at Today's Homeowner. She earned her bachelor's degree in psychology from the University of St. Scholastica and her master's degree from the University of Denver. Before becoming a writer for Today's Homeowner, Alora wrote as a freelance writer for dozens of home improvement clients and informed homeowners about the solar industry as a writer for EcoWatch. When she's not writing, Alora can be found planning her next DIY home improvement project or plotting her next novel.

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Roxanne Downer


Roxanne Downer is a commerce editor at Today’s Homeowner, where she tackles everything from foundation repair to solar panel installation. She brings more than 15 years of writing and editing experience to bear in her meticulous approach to ensuring accurate, up-to-date, and engaging content. She’s previously edited for outlets including MSN, Architectural Digest, and Better Homes & Gardens. An alumna of the University of Pennsylvania, Roxanne is now an Oklahoma homeowner, DIY enthusiast, and the proud parent of a playful pug.

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