Guarantees, promises, and protections provided by one party to another. In real estate contracts, there are usually warranties regarding the condition of the appliances and certain fixtures. New homes often have extensive warranties covering not only fixtures and appliances, but the overall structure of the house as well. There can be “express” (written) warranties, ”implied” warranties (guarantees that the parties intended even though they may have stated them specifically in the contracts), and “imposed” warranties (guarantees created, for example, by state law).
This Homebuyers Tip was excerpted from:
Successful Real Estate Negotiation by Peter G. Miller, Harper Perennial, 1994
ISBN # 0062732641
