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I inherited a 1960 house worth over 200k in tax assessment. It's has some issues though....foundation and internal renovation to become updated in styles.

I bought full coverage insurance for it. A month later, the insurance said I had to replace the roof or they would drop the insurance.

I got 2 bids from contractors and one bid from a company.

The lowest bid was from a roofing contractor(reputable from a friend who they did their house) for 9k - with a 5 year warranty.

The highest bid was from the company for 14k with a 25 year warranty. The company has been in business for 5 years with 5 good ratings on yelp.

Both warranties are transferable.

I plan to sell the house in a year with the probate is over. Probably as is without renovations. Would I be able to sell the house at a higher price and make my money back with the 25 year warranty versus the 5 year warranty? Would the warranty make that much of a difference in the selling price?

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    Are they using comparable materials? Do the warranties both cover workmanship and materials? – Hart CO Oct 27 '19 at 5:58
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    The issue with a 25 year warranty is that if the company goes bankrupt the next year the warranty could be practically void (if nobody buys the bankrupt company). The same would happen with the 5 year warranty, of course, but then you get it cheaper. – SJuan76 Oct 27 '19 at 10:11
  • Is the new buyer likely to rip the roof off the house.as part of a renovation? If they are the extra warranty provides nothing to them. – mhoran_psprep Oct 27 '19 at 11:16
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    Be sure you understand what "25 year warranty" means. It is often the rating of the shingles themselves offered by the manufacturer. If the roof needs reshingling in 20 years, they'll pay 20% of the cost of the new shingles, but not labour. Often it isn't worth the trouble of applying for. The real meaning of the 25 is in the weight of the shingles. "25 year" shingles are more likely to endure the sun for a longer time and not to blow off as easily as "5 year" shingles would. Given how much of the cost is for labour, paying for the better quality shingles is usually a good idea. – Ray Butterworth Oct 27 '19 at 15:19
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    I don't think it can be stressed enough that you really need to compare the details of the two quotes. The warranty should be the least of your concerns. What materials are being used (what quality shingles?) Are the quotes intended to be all-inclusive? What about removal of old materials? What about costs for hidden damage? Are both contractors insured? Forget about the warranties. They're an afterthought at best, IME. – dwizum Oct 28 '19 at 13:04
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A person buying a house has so many important issues to address. One question that comes up a lot is the age of the roof, and replacing an old roof can make it easier to sell your house.

Given the many things a buyer has to address, however, I expect that it would extremely rare for a buyer to even ask about the length of warranty of the roof. Even if they did, it seems like it would not be a major factor in the purchase decision for the reasons noted in the comments.

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  • I am not sure. THis is GENERALLY correct, but given the current state of the house being basically a ruin (issues in foundation can be super critical) it likely means a total and full renovation. The new roof may hinder any change on the outside for a house like that. 2000 worth in tax assessment is basically worthless. – TomTom Oct 27 '19 at 18:16
  • Sorry, I made a typeo. I meant 200k in tax assessment. – dman Oct 28 '19 at 13:10
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The lowest bid was from a roofing contractor(reputable from a friend who they did their house) for 9k - with a 5 year warranty.

The highest bid was from the company for 14k with a 25 year warranty. The company has been in business for 5 years with 5 good ratings on yelp.

5 ratings on yelp in 5 years isn't a lot of ratings.

Besides the warranty a big issue is what happens to the guaranteed price if they find rot when they pull up the old roof. The replacement of the plywood, and maybe even a joist or two can make the cost rise significantly. Some include an expected amount of replacement into their bid, others make you pay for everything. Each section of plywood can cost $50-$100 more depending on material. Facing this issue after they have removed the old roof doesn't give you much leverage when negotiating the rate.

If the person buying the home will live in the home, the idea that they don't have to replace the roof for 10+ years makes the longer warranty a good thing. But if you expect that they will be removing some or all of the roof as part of a full renovation project then the longer warranty might not mean much to them.

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