It is a good idea to purchase a home warranty plan (sometimes provided by the seller).

A home warranty is a service contract, normally for one year, which protects homeowners against the cost of unexpected repairs or replacement on their major systems and appliances that break down due to normal wear and tear. This plan will typically cover home systems such as plumbing, electrical, heating, air conditioning, and appliances (dishwasher, range/oven, built-in microwave, exhaust fan, garbage disposal), etc. Appliances usually break within the first few months of a home's purchase because the new owners will have a different use pattern.

The plan covers mechanical breakdowns, while a home insurance policy typically repairs the related damage, for example: if a hot water heater burst and destroyed a wall in your home, the warranty would repair the water heater and your insurance would pay to fix the wall.

A standard home warranty plan begins at around $400 to $500 for the first year, and generally can be renewed for subsequent years. If a main failure occurs, this could be the best money you ever spent!