We purchase a home in Oct2018 and we were scheduled to close Friday 6/28/19.

On Thurs 6/27, 15 hours before closing, builder sent us an addendum to sign. It stated that a 20’ x 100’ boundary section of our lot was given / granted to the neighbor.

The property is an easement. Builder built a fence on our side of the easement running the 100’ atop a rock wall. Site agent thought it was because builder wanted a cohesive look along rock wall instead of it set back along property line.

We went to city of Puyallup to inquire. Easement was on our property for us to enjoy, but no permanent structures or utilities could be brought in. They thought it odd builder didn’t build fence on property line. Said there was no law preventing us from moving the fence back 20’ to the property line.

Spoke to the back yard neighbors months ago. Informed them of our intentions to move fence. They were fine and thought it odd builder hadn’t put fence on property line.

Builder states the reason they granted exclusive rights of the easement to neighbor was because we didn’t have access to the easement since it was on other side of fence. Neighbor asked builder if we were aware of the changes. Neighbor told builder that just a few weeks earlier we had been back there surveying, measuring, taking pictures of lot lines and stakes. Builder told them we were aware of the change and no longer wanted to maintain the easement since it was behind the fence.

Doesn’t the builder have to disclose their intention to make changes to our lot that we purchased 6 months ago? The boundary lots were on the plot map we received. We paid a $30k lot premium for the size/location of the lot. We also paid $30k earnest money. We are blown away that they can just give away 2,000 sq ft of our property without our knowledge or consent, with no notification, without any disclosure and spring it on us 15 hours prior to closing.

Due to their failure to disclose, we now cannot close on our house as planned. We feel it necessary to seek legal advice and see if we have any recourse.

We are selling our current house and can’t fathom the idea of hours before closing telling the buyer the lot they thought they were buying, paid a pretty hefty premium for, is now 2,000 sq ft less. No realtor in their right mind would condone or approve of such actions. I don’t even think it’s legal or ethical. So how can a builder get by with it?

Have any of you heard of such practice?