time.com article

[Basil]

http://money.cnn.com/2007/02/13/magazines/moneymag/construction.moneymag/index.htm?postversion=2007021413?cnn=yes

[adubar]

That's an interesting article. I'm surprised it was printed. It seems that the real estate industry is pretty good at managing this type of PR glitch. Must have slipped by their sensors.

My experience with new construction builders is BE PREPARED TO SUE.

Some will not do repair work or re-work, even with express contract in the warranty, without a lawsuit. You don't sue, they don't care and move happily on to the next project.


When I was living in Seattle, there were builders that scheduled projects around the statute of limitations. Most banked on the reality that most buyers never sued. So, in a five year period, they would face only one lawsuit. They may have worked on hundreds of projects during that same time. Not bad odds.

Their lawyers would get a settlment that was legally binding for both the buyer and builder---usually it covered less work and repairs than the original warranty and prevented the buyer/owner from seeking more repairs or damages in the future.


If you look at the profit margin of the homes and condos they were building, with unskilled labor and poor materials, the cost of the lawsuit was nothing. In the end, the Warranty the buyer saw, was never inteded by the builder to be honored. His lawyers would take care of any problems for a relatively low cost.




-A

[msjones]

The last part of the article "Be a regular at the job site" is probably one of the best ways to avoid getting ripped off. If they see you there constantly they will be less likely to cut corners, or if they do you will be able to complain right away before the project is finished. Also, honest mistakes can be caught that way as well saving both time and headaches. If you have a builder that won't agree to give you access to the job site, find another builder - they are hiding something.