Home Warranty Providers in the US - Industry Market Research Report

Home Warranty Providers in the US - Industry Market Research Report

Home Warranty Providers in the US

Home warranty providers' revenue has grown at a CAGR of 2.5% over the fove years to 2023 to reach $3.7 billion, with profit increasing to 13.8%. Although the industry's penetration rate has remained relatively low, at nearly 5.0% of all households in the United States, it has the potential to change in the future with the rising complexity of home systems and appliances. Over the past five years, changes in mortgage rates and consumer preferences have affected the industry's performance. In particular, the outbreak of COVID-19 led to historically low mortgage rates, boosting demand for new houses. However, mortgage rates began to climb during the second half of the current period, resulting in revenue declines of 2.5% and 0.8% in 2022 and 2023, respectively.

This industry underwrites home warranty policies, which protect a homeowner against the cost of repair or replacement of any structural component or appliance of a home that is caused by normal wear and tear or by a defect of a structural component or appliance.

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.