Building a Home Buying and Selling Homes

Behind 6 months on new build, what now?

last year

We've been working on planning to build our home from another state since December 24. We hired a realtor to help assist us, especially while we didn't live there. Before signing any contracts, we were quoted October as finish estimate. I know they rarely ever finish on time, so I mentally prepped for early December.

Recording lots got delayed, according to the builder and we couldn't sign until March with a completion date listed as December 31st. It is now June, and we've yet to complete the permits and begin. I was able to connect with the county to get dates and some details on lag times etc with permitting, because getting any sort of clear answer is almost impossible through the builder. This seems like it's mostly surrounding disorganization on the builders part. The owner now only speaks with our realtor because we got the county involved on the backend, and now our realtor has partnered with the builder on a separate development, which is concerning, for as a representative solely that has our best interest is officially gone.

We have spent months designing the house and love the lot/potential finished home, but am so concerned on timeline. If permitting has been this much of a task, I am extremely concerned over the snags when the actual building begins.

What would you do? Would you stay the course? Is there anything we could even do to get out of this contract before it starts?

Note: We have no date based mile markers within the contract unfortunately.

Featured Answer

PRO

Charles Ross Homes

last year

Going around the builder to get information obviously didn't sit well with him/her. Permitting is largely outside a builder's control. What they can do to minimize review time is to submit a complete and accurate set of plans and specs required by the municipality.

I would ask to see a construction schedule for the home and ask about ways to fast track the project once permits are issued. If they are unwilling or unable to produce a schedule, that would be a red flag for me. I also share your concerns about your Realtor's ability to properly represent you. I would speak with the real estate agency's broker and request another agent. With respect to terminating your contract, that would require consultation with a local attorney with a real estate/construction law practice.

Best wishes for a successful outcome.

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Comments (6)

ramums0416
Original Author
last year
Charles, you are absolutely right, it certainly didn't sit well, especially because now we can see how many times things are needing to be submitted. We are currently in the 3rd submission for our erosion permit and the county sent me the full scope and it is all because it has been submitted incomplete each time.

The builder has refused to give us a timeline until permits are done, which is infuriating, but helpful that you mentioned permitting and schedule together. I will continue to wait out the process.

The realtor, we chose because she's an old friend from high school. I usually don't mix business and pleasure, but thought after not using her for a few other builds, we'd give her a shot with what felt like a straight forward deal.

Thanks for responding, I will push to get a timeline after permitting is in.
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PRO
Charles Ross Homes
last year
If the builder is having to resubmit erosion control plans for your home, I'd be genuinely concerned that doing so for a new neighborhood will take attention and resources away from your project.

A construction schedule for a home can be produced without knowing the start date and then tweaked once the start date is known to adjust for holidays and trade availability It's a good planning tool when you're looking for ways to fast track construction.
ramums0416 thanked Charles Ross Homes
PRO
Joseph Corlett, LLC
last year
There aren't any penalties for residential builders, unlike commercial. Get used to not having any real leverage. Even doing it yourself, your leverage over subs is minimal.
User
last year
last modified: last year
Could the owner of the land be the builder? Could your realtor be the agent for your builder and you? I had to copy/paste this: dual agency occurs when one real estate agent represents both the buyer and seller in the same transaction. This means the agent has a fiduciary duty to both parties, which can lead to conflicts of interest as the agent must act in the best interests of both the buyer and seller simultaneously.

In my state (MA) Undisclosed dual agency is illegal, and a broker must obtain informed consent from both parties to act as a dual agent. If the dual agency is not disclosed and agreed upon, the broker may not be able to recover commission and the transaction could be rescinded. Additionally, a seller could potentially be held liable for misrepresentations made by the agent.

Maybe this may help you?
PRO
ANGEL FIELD HEIRLOOM TOMATOES
last year
- This is what happened to me 30 years ago, starting my Civil Law Nightmares. With major construction with No_Permits_Pulled. As a Church Group helped me by my Historical Home. With my son falling through the floor receiving reconstruction surgery. At less they are pulling a Permit. Dual agency do not work well for newcomers in my Legal Opinion as a Pro'se for outsiders, Amen!! Please keep your communications alive to avoid Legal Problems and Pray. I took Building Classes with my City as I studied the Law to defend my Home and Family, because bad business people stick together. I am studying to move my heating system to a second floor away from Flood waters. Yes, I will pull my own Permit. I have did construction and Passed my City Inspection because the great City Employee who taught me to help myself, while fighting for Justice in this unrecognizable Civil Law System of deep friendships. Pray for me and I will Pray for you. Amen!!