Reply
Visitor
josoafelana
Posts: 4
Registered: ‎11-22-2012
0

Walking Away from a new construction contract

We are in contract with a builder. We are scheduled to settle Dec 5th and do the final walk through Nov 28th. My husband and I are thinking to walk away from the contract because we believe the builder's sales rep conducted a misinterpretation about our lot. When we first sat down with the sales rep for the first time, we made it clear we wanted to have a flat backyard for the kids. She told us that the lot that was released was flat but had a small slope in the end. We drove by and saw the lot was on a high elevation, but we could not visualize the finished grading plan since they had not dug the ground yet and that the house was still not there and we believed the sales rep when she said it was going to have a small slope. At pre-construction meeting, the small slope was brought up again, but they said it was very insignificant. Well when they had dug the ground and the framing was up, I realized that the lot sitting on a hill and the slope was 45 degree steep. We had about 40ft of backyard, but only 25ft was flat. I addressed the issue with the builder and they were so defensive about it--and told us it was our fault if we didn't check the lot prior signing contract. However, the foreman agrees verbally to give us 30ft of flat surface. We were fine with it--But then Sandy hit and washed away some of our backyard. We addressed the issue again and they said they were going to regrade it so we have 30ft--well half of the backyard was 30ft and the other half is 18ft which is unacceptable to us. The problem is that we dont have anything in writing from the foreman that he promised us 30ft--Now he denies promising us anything and they wont do anything to fix the issue. The sod is installed and the house is ready. However, my husband and I feel like they were misinterpreting a product so we could sign a contract with them. We re going to contact an Attorney. We are afraid that they're going to sue us and win if we walk away?
Visitor
fairfax4everYo
Posts: 7
Registered: ‎09-29-2012
0

Re: Walking Away from a new construction contract

You should've gotten it in writing. How much deposit will you lose? Would you be able to fix the slope on your own and is that cost less than the deposit? I am suprised the builder doesn't want to work with you on regarding,.

Regular Visitor
267govcon
Posts: 7
Registered: ‎09-24-2011
0

Re: Walking Away from a new construction contract

Do you have any of the communication in writing? email? text messaging?

Contributor
monademarkov
Posts: 32
Registered: ‎03-23-2008
0

Re: Walking Away from a new construction contract

You said you wanted this yard for your kids. Have you taken your kids over to the house to see it and see how they like it. I am no kid but I remember having a yard with a big slope and loved it in the winter for sliding down and loved it in the summer for tumbling down. If you like the house and the only issue is the slope of the yard, take a deep breath and ask yourself if a yard is what is really what is making you want to step away from this contract

Super Contributor
RFAddict
Posts: 235
Registered: ‎10-26-2010
0

Re: Walking Away from a new construction contract


We had about 40ft of backyard, but only 25ft was flat. I addressed the issue with the builder and they were so defensive about it--and told us it was our fault if we didn't check the lot prior signing contract. However, the foreman agrees verbally to give us 30ft of flat surface. We were fine with it--But then Sandy hit and washed away some of our backyard. We addressed the issue again and they said they were going to regrade it so we have 30ft--well half of the backyard was 30ft and the other half is 18ft which is unacceptable to us

I am not certain I understand your situation?  You said the entire back yard is 40 ft, then how is 30 ft and 18 ft half and half?  

Redfin Market Manager
karen-krupsaw
Posts: 42
Registered: ‎05-15-2009
0

Re: Walking Away from a new construction contract

Some builders provide a site plan at time of contract that may or may not showing the grading plan and the purchaser signs off on it. I'm assuming that this exhibit wasn't included in your contract package. If you want to get out of your contract and don't have anything in writing, it will be diffficult to prove your point. However, sounds like you bought it at least a few months ago, if not longer and prices are increasing. If you didn't make any non-marketable upgrades to the house, the builder may make more money by putting it on the market and reselling it. If they are retaining your deposit, you could consider writing an addendum that says the builder will return the deposit or a portion of it, if they can resell the home within an agreed to time period.


KAREN KRUPSAW | REDFIN | VICE PRESIDENT OF REAL ESTATE OPERATIONS
karen.krupsaw@redfin.com | Tel:703-229-5950 | Fax:206-576-8906