At Neptuneblu we always recommend a home warranty if your not purchasing new construction.  Let's just say you Heat pump stops working 2 months after you've purchased your dream home. For a few hundred bucks at closing, you could be paying a 75 dollar deductible instead of thousands for a new heat pump. It just makes sense...   Below is a recent article regarding home warranties.     My prediction-  the Hampton Roads market will no longer be a buyer's market by 2nd quarter 2008.  The economy is strong here and buyer's markets do not historically last long.  My prediction is that excess inventory burns off by 1st quarter 2008 and we are out of a buyer's market in the second quarter.   scott

Attract Buyers With a Home Warranty
Many real estate agents are urging home sellers to purchase home warranties — especially for dwellings that are more than 15 years old — to ease buyers' concerns about problems popping up shortly after moving in.

"A warranty relieves the stress of the purchase," says real estate practitioner Anthony Tortora of Albany, N.Y.

Warranties cost only a few hundred dollars and cover repair and replacement of the home's systems and certain appliances; pre-existing conditions and structural problems are excluded. If the property is covered by warranty, owners are required only to pay a small fee for workers to repair or replace the damaged component.