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What can homeowners expect in 2025? With the help of Warrantina, our warranty-savvy seer, we break down the year’s most exciting home trends.
A new year always brings its share of surprises, triumphs, and challenges. Will your team make it to the championship? Will you somehow remember every important birthday? Will you finally tackle that overflowing attic?
Warrantina has always had a love for appliances and home systems. But with that love comes a sixth sense for what the household future holds. Her Warran-chi connection with homes encourages us to expect the unexpected when it comes to homeownership— and embrace the zen state of mind that a home warranty can bring.
The real estate market can be unpredictable and hard to track. Warrantina’s all-seeing eye reveals that 2025 will see homeowners and buyers grappling with affordability, climate resilience, and the growing need for adaptable living spaces. Here’s what the future holds:
I’m seeing warm weather and relaxed vibes in the 2025 housing forecast. Southern states will be rising in demand for those looking to buy property next year. At the same time, an omen: extreme weather events mean that climate-resilient designs, like water-tight windows and wind-resistant construction, will experience higher market value.
The facts: The sun shines brighter in the South, and so does its housing appeal. Last year, 43% of homebuyers bought a home in the South, thanks to its warmer climates and affordability. At the same time, the South has also become increasingly more vulnerable to climate disaster.
Advice:
My crystal ball is telling me that advanced HVAC systems and energy-efficient cooling solutions will become a must-have in 2025. Smart home technology, green materials, and solar panels will move from nice-to-have to must-have as buyers relish the transformative effect they have on everyday life.
The facts: With buyers valuing air conditioning (83%), water-tight windows (72%), and smart home systems (36%) in 2024, the next year will likely usher in a new era of eco-conscious and tech-savvy living. Energy efficiency is gaining traction, bolstered by tax incentives and cost savings.
Advice:
Here it is— the Family Card, front and center! It’s clear as day: adaptable homes designed for extended families— think accessory dwelling units or additional bedrooms— are on the rise. Next to it is the Savings Card, reminding us that buyers are flocking to energy-efficient homes with lower maintenance costs. And finally: The Home Warranty Card is your sign that no matter how many people you’re housing, your future is fortunate!
The facts: Affordability challenges persisted in 2024, with the cost of homeownership soaring to $3,800 per month— a 64% increase in just four years. High mortgage rates (6-7%) have been steering families toward multigenerational living, with 17% of purchases in 2023 already catering to this trend.
Advice:
From keeping your HVAC humming or avoiding a burst pipe disaster, staying ahead of repairs is critical— but not always easy. Warrantina foresees 2025 being a year where homeowners take a more proactive and practical approach to protecting their homes and budgets.
The stars are aligning! More homeowners will embrace planning and budgeting as their secret weapons in 2025. With repair costs climbing higher than ever, tools, schedules, and warranties will become trusted allies in the battle against surprise expenses.
The facts: On average, homeowners spend $5,775 annually on maintenance, with new homeowners shelling out as much as $12,225 in their first year. High-cost repairs— like replacing an AC unit (up to $5,000) or a heating unit (up to $6,000)— can create financial turmoil, especially since 44% of homeowners don’t budget for unexpected repairs.
Source: AHS 2022 Clearvantage Study
*Repair/replacement cost is the eightieth percentile as reported in a nationwide survey of homeowners conducted in 2024 by ClearVantage for American Home Shield.
Advice:
I’m sensing fewer DIY disasters this year— thank goodness! By 2025, more homeowners will leave repairs to the Pros. Warranty providers with robust contractor networks will shine, giving homeowners a stress-free path to top-notch service.
The facts: While some homeowners pride themselves on DIY skills, a significant portion (41%) feel helpless when something breaks. Among those who attempt DIY fixes, 17% regret it. Younger generations, including millennials and Gen Z, are increasingly unfamiliar with basic maintenance tasks like changing HVAC filters.
Advice:
The cards reveal what every homeowner learns quickly— unexpected issues are part of the package. While thorough inspections help, warranties will become a must-have for buyers seeking to protect against the unknown in 2025.
The facts: 92% of new homeowners experience issues within their first year, such as appliance replacements (47%), leaks (22%), and HVAC failures (16%). Even seasoned homeowners face appliance (59%), roof (54%), and plumbing (53%) repairs.
Advice:
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The future of home design will blend technology, comfort, and functionality. From smart integration to cozy vibes, here’s what Warrantina sees in store for homeowners in 2025:
The future is smart— and it’s chic, too! In 2025, homeowners will crave tech that works hard but doesn’t scream for attention. I predict that homes will be filled with eco-friendly upgrades and tech so integrated it feels… magical.
The facts: Smart lighting is now popular among 52% of homeowners, and the demand for discreet tech— like wireless chargers disguised as picture frames— is growing.
Advice:
Cozy is the new grand! In 2025, smaller, practical spaces with textured materials and inviting vibes will steal the show. People will clamor for reading nooks, dedicated offices, and warmth over wide-open floor plans.
The facts: “Cozy” is the new buzzword in real estate, with mentions in listings up 35%. Buyers are favoring purpose-specific rooms and smaller, functional spaces over sprawling open layouts.
Advice:
Kitchens and bathrooms will remain renovation royalty in 2025, with homeowners focusing on function and efficiency. Plumbing, electrical, and HVAC upgrades will dominate, and skilled contractors will be in high demand.
The facts: Renovation spending has soared by 60% since 2020, with kitchens and bathrooms topping the priority list. Upgrades frequently include plumbing (28%), electrical systems (26%), and heating/cooling systems (23%).
Advice:
Home warranties boost the aura of any home, quietly protecting budgets and giving you peace of mind. As 2025 unfolds, Warrantina has turned to the tea leaves to predict that awareness and adoption of home warranties will grow, transforming the way homeowners approach repair and maintenance. Here’s what the future holds:
The tea leaves are swirling with certainty— 2025 is the year of home warranties! Homeowners will finally see the magic they bring to budgets, with more folks embracing warranties to shield against surprise covered repair costs. As knowledge grows, so will their use— expect warranties to help your budget, offering coverage for everything from fridges to HVAC systems.
The facts: Most homeowners (67%) already find home warranties worth the cost, but many (44.3%) feel they aren’t using them to their full potential. HVAC systems, dishwashers, and refrigerators lead the list of repairs.
Advice:
I’m seeing— no, feeling!— the heat. As warmer climates push HVAC systems to their limits, claims will rise, especially in hot spots like Texas, California, and Florida. Homeowners will flock to warranties for cooling (and calming) relief.
The facts: With HVAC systems leading last year’s warranty claims— particularly in warm states— these climate-critical systems are working harder than ever. Homes aged 21–40 years represent 21.6% of warranty coverage needs.
Advice:
Here’s a card you’ll love—The Quick Sale! Homes with warranties will fly off the market, catching the eye of savvy buyers who know the value of protection. Sellers and agents will wise up, making warranties a must-have to sweeten the deal.
The facts: Homes with warranties sell 11 days faster on average, but only 4% of homeowners currently have one. Additionally, 27% of homeowners wish they’d gotten a warranty in their first year.
Advice:
The future of home ownership in 2025 is full of possibilities. And with Warrantina’s help demystifying what lies ahead, it’s clearer than ever how to make the most of your investment this year.
A home warranty plan is your ultimate companion for peace of mind. From the kitchen to the laundry room, rest easy knowing that you’ve got American Home Shield in your corner helping protect what matters most. With plan options for up to 23 of your home’s important systems and appliances, there’s no need to dread the future: you can already be sure it’s looking bright.
AHS assumes no responsibility, and specifically disclaims all liability, for your use of any and all information contained herein.
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