Contracts

In Michigan, a 'home warranty' provided at closing typically covers:

AAll structural defects discovered after closing
BRepair or replacement of specified major home systems and appliances for a defined period✓ Correct
CAny condition issue identified during the inspection
DThe seller's representations in the disclosure statement

Explanation

A home warranty (service contract) covers repair or replacement of specified major systems (HVAC, plumbing, electrical) and appliances for a one-year period (or longer if renewed). It does not cover all structural defects or pre-existing known conditions.

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