Home warranty companies have experienced a rollercoaster of trends because of volatile housing markets driven by changes in mortgage rates. A spike in demand for residential construction and warranties followed the pandemic-era plunge in mortgage rates, leading to increased revenue throughout 2020 and 2021. Regardless, with interest rates rising from 2022 to 2024, the housing market cooled off, leading to slowed revenue growth for home warranty companies. Yet, providers found some financial relief in higher renewal rates, which remained a consistent revenue stream despite changing market conditions. Overall, revenue for home warranty providers is anticipated to swell at a CAGR of 4.1% during the current period, reaching $4.3 billion in 2024. This includes a 0.6% rise in revenue in that year. There’s been a persistent trend towards digital integration, with providers significantly investing in technology to enhance the customer experience. The development of mobile applications and online portals for claims processing and coverage management improved overall service efficiency and customer satisfaction. However, unpredictable weather patterns, such as high precipitation in February 2019 and intense cold in February 2021, have led to higher claims and squeezed profit at times. Meanwhile, leading players prioritized transparency in warranty terms and conditions to build trust and maintain high renewal rates, which has been essential in navigating market challenges. Looking ahead, providers anticipate a favorable turn as economic conditions evolve, especially with the Federal Reserve reducing borrowing costs in 2024, leading to a potential housing market recovery. Rising disposable incomes and stabilizing GDP growth are expected to bolster the industry as households increase home warranty policy purchases. Yet, the industry faces constraints due to stagnant homeownership rates tied to restrictive local zoning laws. Overall, revenue for home warranty companies is forecast to creep upward at a CAGR of 1.2% during the outlook period, reaching $4.6 billion in 2029.

This statistic shows the market share of home warranty companies in the United States in 2016, by revenue. Home warranty is an annual service contract that covers the repair or replacement of vital appliances and systems parts that break down over time. In 2016, American Home Shield (AHS) generated revenues of *********** U.S. dollars, which accounted for ** percent of the U.S. home warranty market revenues.

Market Size statistics on the Home Warranty Providers industry in the US

Home Warranty Service Market was valued at USD 3.89 billion in 2024 and is expected to reach USD 7.70 billion by 2030 with a CAGR of 11.89% during the forecast period.

Global Home Warranty Providers market size 2025 was XX Million. Home Warranty Providers Industry compound annual growth rate (CAGR) will be XX% from 2025 till 2033.

Global Home Warranty Service market size is expected to reach $12.07 billion by 2029 at 7.4%, segmented as by home systems, heating, ventilation, and air conditioning (hvac), plumbing systems, electrical systems, water heaters

United States Home Warranty Market was valued at USD 4,262.56 Million in 2024 and is projected to reach USD 5,682.72 Million by 2032, growing at a CAGR of 4.19% from 2026 to 2032.The aging housing stock in the United States is a significant driver of growth for the U.S. Home Warranty Market, as a significant portion of homes now require ongoing repairs, system upgrades, and appliance replacements. This aging trend has accelerated in recent years, mainly due to a slowdown in new housing construction after the Great Recession, combined with persistent economic barriers including rising material costs, labor shortages, and elevated interest rates that have hampered the supply of newer homes. As a result, millions of homeowners now live-in homes built in earlier decades, creating a vast market need for repair-oriented services like home warranties.

The global home warranty service market is projected to reach a CAGR of 6.25% from 2023 to 2033, driven by increasing homeowner awareness, rising homeownership rates, and the popularity of smart home devices. According to the report, the market size was valued at $3.19 billion in 2023 and is expected to reach $6.25 billion by 2033. The growth can be attributed to the increasing demand for protection against unexpected and expensive home repairs, as homeowners seek to protect their investments and avoid financial burdens. Among the key market trends, the growing adoption of smart home technology is driving demand for value-added services such as remote diagnostics and repairs. Additionally, the expansion of the real estate market, particularly in emerging economies, is contributing to the growth of the home warranty service industry. Major market players include Choice Home Warranty, American Home Shield, Select Home Warranty, and National Home Service Contracts, which offer a range of coverage options and value-added services to meet the diverse needs of homeowners. Recent developments include: The Home Warranty Service Market size was valued at 3.19 billion USD in 2023 and is projected to reach 5.5 billion USD by 2032, exhibiting a CAGR of 6.25% during the forecast period. The growth of the market can be attributed to the increasing demand for homeownership, rising disposable income, and growing awareness about the benefits of home warranty plans. Major market players include American Home Shield, Cinch Home Services, and First American Home Warranty. The market is fragmented, with a large number of regional and local players. However, the competitive landscape is expected to consolidate over the forecast period, with the larger players acquiring smaller players to expand their market share.. Key drivers for this market are: Growing homeownership rates Increasing awareness of benefits Expansion into emerging markets. Technological advancements Focus on customer experience.. Potential restraints include: Increasing homeownership, aging housing stock; rising labor costs; technological advancements; growing awareness.

The Home Warranty market is an essential segment of the real estate and home services industry, providing homeowners peace of mind by safeguarding their investments against unexpected repair costs. As homeowners increasingly seek protection for their aging appliances and systems, the demand for home warranty service

Home Warranty Service Market Outlook

The global home warranty service market size was valued at approximately USD 2.5 billion in 2023 and is anticipated to reach USD 5.8 billion by 2032, growing at a compound annual growth rate (CAGR) of 9.5% during the forecast period. The growth of the home warranty service market is driven by increasing awareness about home warranty services, rising homeownership, and the need for effective property management solutions.

One of the key growth factors in the home warranty service market is the increasing awareness and understanding among homeowners and real estate professionals about the benefits of home warranty services. Homeowners are now more informed about the potential savings and peace of mind that home warranties can offer, especially in terms of covering unexpected repair and replacement costs for essential home systems and appliances. This awareness is further amplified by the proliferation of information through online platforms and social media channels.

Another significant driver for the home warranty service market is the growth in the real estate sector, particularly the increase in home sales and new housing developments. As more homes are bought and sold, the demand for home warranty services rises, given that they are often marketed as a value addition during real estate transactions. This trend is further augmented by real estate agents who frequently recommend home warranties to buyers as a way to protect their investment and ensure a smooth post-purchase experience.

In addition to the rise in homeownership, there is a growing trend towards property management solutions that offer comprehensive and hassle-free maintenance options. Home warranties provide a convenient solution for homeowners who seek to avoid the inconvenience and high costs associated with unexpected home repairs. This convenience is particularly appealing to younger homeowners and busy professionals who prioritize time and cost efficiency in managing their homes.

Regionally, North America holds the largest share of the home warranty service market, driven by high homeownership rates and a well-established real estate market. The United States, in particular, is a major contributor to market growth due to the high adoption rate of home warranties. The region's market is further bolstered by the presence of key industry players and a mature service infrastructure. However, emerging markets in Asia Pacific and Latin America are expected to witness significant growth in the coming years, owing to rapid urbanization, increasing disposable incomes, and expanding real estate sectors.

Coverage Type Analysis

The home warranty service market is segmented by coverage type into appliance, systems, and combo plans. The appliance segment covers warranties for household appliances such as refrigerators, washing machines, and dishwashers. The systems segment includes coverage for major home systems like HVAC, plumbing, and electrical systems. Combo plans offer a comprehensive solution that covers both appliances and systems.

Within the appliance segment, the market is witnessing robust growth due to the increasing reliance on household appliances and the rising cost of repairs and replacements. Consumers are keen to protect their investments in high-end appliances, which drives the demand for appliance-specific warranty plans. This segment is particularly popular among homeowners who prioritize the maintenance of their kitchen and laundry appliances.

The systems segment is also experiencing significant growth, as home systems like HVAC and plumbing are critical to the functionality and comfort of a home. The complexity and cost associated with repairing or replacing these systems make home warranty services an attractive option for homeowners. This segment is particularly relevant in regions with extreme weather conditions, where HVAC systems are frequently used and may require more frequent maintenance.

Combo plans, which offer a combination of appliance and system coverage, are gaining traction as they provide a comprehensive solution for homeowners. These plans are appealing to those who prefer an all-in-one package that covers a wide range of potential issues. The convenience and peace of mind offered by combo plans make them a popular choice among new homeowners and those looking to sell their properties, as they add value and assurance to the transaction.

Overall, the coverage type segment is expected to see continued grow

[Keywords] Market include Dominion Resources Inc., American Water Resources Inc., The Warranty Group, Home Service USA Corp., American Home Shield（AHS）

Employment statistics on the Home Warranty Providers industry in the US

In US Home Warranty Market, The rise of smart home technology has encouraged home warranty providers to extend their coverage to include smart devices and home automation systems.

Market Size, Dynamics, and Trends: The global Home Warranty Plan market was valued at $X.X million in 2025 and is projected to reach $Y.Y million by 2033, growing at a CAGR of XX% from 2025 to 2033. Major drivers of this growth include: (1) Increasing homeownership rates and household disposable income; (2) Growing awareness of the benefits of home warranties; (3) Technological advancements in home appliances and systems driving the need for coverage. Key market trends include: (1) The rise of smart home devices and connected systems; (2) The increasing popularity of subscription-based services; (3) The expansion of the market to developing regions. Market Segmentation: The Home Warranty Plan market is segmented by application (personal, family), type (built-in system warranty plan, appliance warranty plan, others), and region. The personal segment is expected to account for the largest share of the market, while the built-in system warranty plan segment is anticipated to experience the fastest growth. Geographically, North America is the largest market, with Asia Pacific projected to witness the highest growth over the forecast period. Key market players include MSIG, HWA Home Warranty, Inc., Cinch, Select Home Warranty, Liberty Home Guard, American Home Shield, First American Home Warranty, Elite Home Warranty, America's First Choice Home Club, Home Buyers Warranty Corporation, Choice Home Warranty, and AFC Home Club.

In GCC Home Warranty Market, The rise of smart home technology has encouraged home warranty providers to extend their coverage to include smart devices and home automation systems.

The global market for Home Warranty Services for HVAC Systems is projected to reach a valuation of XXX million by 2033, expanding at a robust CAGR of XX% during the forecast period (2025-2033). This growth is primarily driven by the increasing adoption of HVAC systems to enhance indoor air quality and energy efficiency in residential and commercial spaces. The rising prevalence of extreme weather events further fuels the demand for reliable HVAC maintenance and repair services, driving the market expansion. Key trends shaping the market include the growing adoption of smart home technologies, which enable remote monitoring and control of HVAC systems, leading to increased convenience and reduced maintenance costs. Furthermore, the emergence of subscription-based warranty services and the expansion of service offerings by major players are expected to contribute to market growth. However, factors such as economic downturns, which may limit consumer spending on home improvement services, and the availability of affordable DIY repair options pose potential restraints to the market. Home Warranty Services for HVAC Systems Market Report

The home warranty service market is experiencing robust growth, driven by increasing homeownership, aging housing stock requiring more frequent repairs, and a rising consumer preference for predictable home maintenance costs. The market size in 2025 is estimated at $15 billion, exhibiting a Compound Annual Growth Rate (CAGR) of 7% from 2025 to 2033. This growth is fueled by several key trends, including the increasing adoption of smart home technologies that enhance the value proposition of home warranties, the rise of bundled service offerings incorporating preventative maintenance, and a growing awareness among consumers regarding the potential financial burden of unexpected home repairs. The residential segment dominates the market, reflecting the significant demand for home warranty protection among homeowners. Major players like AHS, First American, Old Republic, Cross Country, 2-10, and Fidelity are actively competing in this expanding market, further contributing to its growth. Geographic expansion also plays a significant role. North America currently holds the largest market share, driven by high homeownership rates and a well-established home warranty industry. However, significant growth potential exists in other regions, particularly in Asia Pacific and Europe, as awareness of home warranty services increases and the middle class expands. While some restraints exist, such as the potential for increased competition and the impact of economic downturns on consumer spending, the overall market outlook remains positive, indicating significant opportunities for growth and expansion throughout the forecast period. The continued integration of technology and innovative service models should further propel the market's ascent.

In North America Home Warranty Market, The rise of smart home technology has encouraged home warranty providers to extend their coverage to include smart devices and home automation systems.

In Asia Home Warranty Market, The rise of smart home technology has encouraged home warranty providers to extend their coverage to include smart devices and home automation systems.