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Being a Pain in Homebuilder's Ass

KennyRogersRoast

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Location
Austin
We are building a home and have been keeping a close eye on its progress. We went to the site the other day and noticed there were half walls being constructed where they shouldn't and there was a window in the media room where there should be no windows. We also thought the second floor ceilings were framed low, although I really had no idea.

We went to talk to our sales guy and he said the half walls and window were easy fixes. He said that the ceilings were incorrectly put in too low at 8 feet.
We really wanted the higher ceilings. Most of the competitors have 9 or 12 feet standard on the 2nd floor. He said he was pissed at the builder and this was something they would probably not be able to fix and would instead try to buy us off in some way.

Our sales guy said the higher ups would find out about it Monday. Now that we have whip hand, what should we seek in compensation? We have little confidence in the builder at this point. Plus, the construction was still going this weekend with the builder taking the weekend off. Should we just walk away?
 
Make them fix it. You're the one who has to live in it. Reframe it to the specs agreed upon in the contract.
 
That is a substantial and VERY MATERIAL change. It really affects your ability to sell the home long term. We don't even build apartments with 8' ceilings anymore. No way I would allow 8' in a single family.

Most importantly, what do the plans say? If the plans specifically say 9' and the builder wasn't paying attention, that's a serious issue--who knows what else they have overlooked. You honestly need to get out of this and build another one. The builder should have to eat it.
 
Did you say somewhere else you were in Texas? Care to share where?
 
If you have to be a pain in the contractors ass to get shit done then do it. I'm in residential remodeling in Winston and there is no way we would ever do something the client didn't want. It's your house and your money, demand that you get what you want. It's better for the industry when builders are held accountable.
 
That is a substantial and VERY MATERIAL change. It really affects your ability to sell the home long term. We don't even build apartments with 8' ceilings anymore. No way I would allow 8' in a single family.

Most importantly, what do the plans say? If the plans specifically say 9' and the builder wasn't paying attention, that's a serious issue--who knows what else they have overlooked. You honestly need to get out of this and build another one. The builder should have to eat it.

This!

Is this a small builder or a large track builder? Large builders have deeper pockets but are also more lawyered up. A small builder might not have the cash to make it right.

Not a good situation.
 
Our builder put in a solid 10' concrete wall across the back of our walk-out basement where there were supposed to be windows and a door. We threatened to walk so they gave us an extra bonus room for free (and redesigned the basement and re-graded the lot to allow for the walk-out side elsewhere). We then threw a fit and sat in the closing for 8 hours refusing to sign until they gave us a bunch of price breaks on other minor stuff they screwed up. All in all it worked out fine and the exchanges we made are better for us in the long-run, so don't be afraid to be a douche when that much money is at stake.
 
Home building is a big part of contract law. Sue for specific performance of the contract.

Or call John Holmes if you live in Canada.
 
You need to talk to an attorney ASAP. Assuming you have a construction loan and your contract calls for you to approve draws on the note, you don't want to approve a draw for the work already done and risk an argument by the builder that you ratified the material changes to the contract.
 
I used to work in home finance before I got fired just because I am a Carolina fan. Call an attorney.
 
I am an attorney. They are not disputing that this is a material breach if not fixed. It is the nonlegal that I am clueless about. I was wondering if I want specific performance, compensation, or just walk away. Their first offer was a nonstarter. They are now willing to make the changes and hire a new builder and reimburse us for the cost of our inspector.
 
I am an attorney. They are not disputing that this is a material breach if not fixed. It is the nonlegal that I am clueless about. I was wondering if I want specific performance, compensation, or just walk away. Their first offer was a nonstarter. They are now willing to make the changes and hire a new builder and reimburse us for the cost of our inspector.

I would research the builder. If they have a bad reputation (or worse...no reputation) I would walk away if you do not have too much skin in. If this looks like an isolated screw-up and you feel confident they can come through on what they are promising I would take their offer.

It goes without saying but it is important to research builders before you sign on with them. I am in the home construction business (as a supplier) and I am shocked that some homebuilders ever find clients. You can usually uncover a sketchy builder by a simple google search but all too often people go to the lowest bidder in hopes of getting more house for less. It is usually true in all commerce but the adage "you get what you pay for" is very appropriate for homebuilders.

BTW...I am not saying that is what you did...just going off on a tangent.
 
I am an attorney. They are not disputing that this is a material breach if not fixed. It is the nonlegal that I am clueless about. I was wondering if I want specific performance, compensation, or just walk away. Their first offer was a nonstarter. They are now willing to make the changes and hire a new builder and reimburse us for the cost of our inspector.

I'd walk because the only problems you are aware of are the ones you can see. It's the ones you can't see that you should be worried about. On the other hand, if you can live with the visible changes to the building plan, it's a chance to maybe get thousands of $ in upgrades.
 
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