Builder not follow thru with repair request. What to do?

Builder not follow thru with repair request. What to do?

Yorba Linda, CA · Member since 2016 · 17 posts · 2 votes

I bought a duplex from a local builder in New Braunfels, TX.  Right before the expiration of the 1 year warranty, I hired a professional inspector to inspect the units.  The inspector gave a list of items to repair.  The list includes a range of defects from garage door to irrigation system, to improper framing under the roof.  The framing issue was a big concern as a safety hazard.  According to my property manager, the list was sent and the builder did come back to fix some issues.  They gave me an OK that all repairs had been done.  So I sent the inspector out again & found out that some items were not fixed & there was some work done with the framing but still not right.  Since then, my property manager has repeatedly sent request for repair, but not getting response from the builder.  

The duplex is in its' 2nd year.  Some of the defects are still under builder warranty, some not.  However, all the defects were identified prior to the expiration of the 1st year warranty.

I talked to the builder sell agent, and he agreed to reimburse me for any item on the list (garage door stopped working) that I have had repair out of my pocket.  But I have not seen any reimbursement check yet.  I tried to avoid getting things fixed by my vendors as it could potentially void the warranty? but I'm worry for the tenants safety with the roof framing issue & want it fixed ASAP.

This has been going on for 7 months.  This builder is still very active in the area & expanding. My property manager has an open line of communication with this builder as he is also managing other units built by this builder, but whenever he asks for repairs for my units, it goes cricket. 

What options do I have to close this?  Is hiring a mitigating attorney a good idea?

Thanks in advance for your suggestions!

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Ronald RohdePro Member
Attorney · Dallas, TX · Member since 2016 · 5k+ posts · 2k+ votes
7y
Originally posted by @Richard Sherman:

@Trinh Huynh It is time to find a local (in TX) attorney who specializes in construction defects and go after the builder and/or their bond company.  I would also consider hitting the CCB board in TX with a complaint.

Maybe 1 more call/email laying it out.  Listen, here is the new report, and I want the following

1. Repairs made and I will have them inspected

2. You are covering all costs for inspectors

3. You are covering any lost rent or other issues

4. If these are not done, I am 

A. Filing a complaint with your licensing board 

B. We will be filing suit against the builder, the selling agent and their construction insurance.

Pretty good post, but Texas doesn't license general contractors so not much recourse there. Jump right to filing suit and if he's still building then he has cash flow we can attach. 

See this reply in the discussion

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  • Rental Property Investor · Salem, OR · Member since 2017 · 696 posts · 660 votes
    7y

    @Trinh Huynh It is time to find a local (in TX) attorney who specializes in construction defects and go after the builder and/or their bond company.  I would also consider hitting the CCB board in TX with a complaint.

    Maybe 1 more call/email laying it out.  Listen, here is the new report, and I want the following

    1. Repairs made and I will have them inspected

    2. You are covering all costs for inspectors

    3. You are covering any lost rent or other issues

    4. If these are not done, I am 

    A. Filing a complaint with your licensing board 

    B. We will be filing suit against the builder, the selling agent and their construction insurance.

  • Rental Property Investor · Greenwich, CT · Member since 2015 · 4k+ posts · 2k+ votes
    7y

    @Trinh Huynh, what did your lawyer say? You've discussed this with your lawyer, right? Amazing what 1 letter on a law firm letterhead can do.

  • Yorba Linda, CA · Member since 2016 · 17 posts · 2 votes
    7y

    @Richard Sherman, thanks for sharing your thought.  I'm researching to hire an attorney now. 

  • Yorba Linda, CA · Member since 2016 · 17 posts · 2 votes
    7y

    @Jaysen Medhurst, I'm looking for a lawyer now.  Will keep you posted.

  • Ronald RohdePro Member
    Attorney · Dallas, TX · Member since 2016 · 5k+ posts · 2k+ votes
    7y
    Originally posted by @Richard Sherman:

    @Trinh Huynh It is time to find a local (in TX) attorney who specializes in construction defects and go after the builder and/or their bond company.  I would also consider hitting the CCB board in TX with a complaint.

    Maybe 1 more call/email laying it out.  Listen, here is the new report, and I want the following

    1. Repairs made and I will have them inspected

    2. You are covering all costs for inspectors

    3. You are covering any lost rent or other issues

    4. If these are not done, I am 

    A. Filing a complaint with your licensing board 

    B. We will be filing suit against the builder, the selling agent and their construction insurance.

    Pretty good post, but Texas doesn't license general contractors so not much recourse there. Jump right to filing suit and if he's still building then he has cash flow we can attach. 

  • Jay HinrichsBusiness Member
    Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
    7y
    Originally posted by @Ronald Rohde:
    Originally posted by @Richard Sherman:

    @Trinh Huynh It is time to find a local (in TX) attorney who specializes in construction defects and go after the builder and/or their bond company.  I would also consider hitting the CCB board in TX with a complaint.

    Maybe 1 more call/email laying it out.  Listen, here is the new report, and I want the following

    1. Repairs made and I will have them inspected

    2. You are covering all costs for inspectors

    3. You are covering any lost rent or other issues

    4. If these are not done, I am 

    A. Filing a complaint with your licensing board 

    B. We will be filing suit against the builder, the selling agent and their construction insurance.

    Pretty good post, but Texas doesn't license general contractors so not much recourse there. Jump right to filing suit and if he's still building then he has cash flow we can attach. 

    I was going to mention that to Richard.. there is no real CCB in Texas its the wild west.. hammer and a truck and your a contractor. :) 

    they build fast there and in these rental areas very cheaply.. I mean they sell these for less than I can build them for in Oregon. 

  • Rental Property Investor · Salem, OR · Member since 2017 · 696 posts · 660 votes
    7y

    @Ronald Rohde and @Jay Hinrichs Sweet Tea...you kidding me?  Ok, well then it goes back to when you hire someone...make sure they have insurance, bond etc.  I can not imagine having anyone calling themselves a contractor ever leads to a bad outcome  ;)

  • Jay HinrichsBusiness Member
    Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
    7y
    Originally posted by @Richard Sherman:

    @Ronald Rohde and @Jay Hinrichs Sweet Tea...you kidding me?  Ok, well then it goes back to when you hire someone...make sure they have insurance, bond etc.  I can not imagine having anyone calling themselves a contractor ever leads to a bad outcome  ;)

     got s to be very careful in Texas.. no doubt.. its not Oregon.. which you know is highly regulated.. to the point you cant even flip homes without a developers license.. which 99% of home flippers don't realize until they get fined by the CCB

  • Rental Property Investor · Salem, OR · Member since 2017 · 696 posts · 660 votes
    7y

    @Jay Hinrichs Seems like middle ground might be the right answer!  Yeah, OR can be ridiculous sometimes, especially Portlandia.

  • Mike ReynoldsPro Member
    construction · Nacogdoches, TX · Member since 2011 · 2k+ posts · 1k+ votes
    7y
    Originally posted by @Trinh Huynh:

    I bought a duplex from a local builder in New Braunfels, TX.  Right before the expiration of the 1 year warranty, I hired a professional inspector to inspect the units.  The inspector gave a list of items to repair.  The list includes a range of defects from garage door to irrigation system, to improper framing under the roof.  The framing issue was a big concern as a safety hazard.  According to my property manager, the list was sent and the builder did come back to fix some issues.  They gave me an OK that all repairs had been done.  So I sent the inspector out again & found out that some items were not fixed & there was some work done with the framing but still not right.  Since then, my property manager has repeatedly sent request for repair, but not getting response from the builder.  

    The duplex is in its' 2nd year.  Some of the defects are still under builder warranty, some not.  However, all the defects were identified prior to the expiration of the 1st year warranty.

    I talked to the builder sell agent, and he agreed to reimburse me for any item on the list (garage door stopped working) that I have had repair out of my pocket.  But I have not seen any reimbursement check yet.  I tried to avoid getting things fixed by my vendors as it could potentially void the warranty? but I'm worry for the tenants safety with the roof framing issue & want it fixed ASAP.

    This has been going on for 7 months.  This builder is still very active in the area & expanding. My property manager has an open line of communication with this builder as he is also managing other units built by this builder, but whenever he asks for repairs for my units, it goes cricket. 

    What options do I have to close this?  Is hiring a mitigating attorney a good idea?

    Thanks in advance for your suggestions!

    I see your from out of state. If you have the documents from the inspection there is another thing you can do. I can give you the name and number of the head inspector down there. At least he was two years ago. You can then contact the builder and inform him that is what you intend to do if this is not taken care of. He will fix it or face the backlash from inspection dept.  Faulty framing is nothing to joke about. It could cause a lawsuit for you and the builder. They wont care about the warranty issues but the code violations they will. Just PM me if you want the number. 

  • Whitehouse, TX · Member since 2017 · 159 posts · 61 votes
    7y

    On the framing issue, when you bought the property was there a inspection done then? If not why wasn't  an inspection done before you signed on the dotted line. If it was done before hand it could have been addressed then or walk away from the deal. It would be part of my due diligence to find this stuff out before I buy it.

  • Severna Park, MD · Member since 2013 · 7k+ posts · 7k+ votes
    7y

    You probably got a contract from the builder with the warranty , read it some things may or may not be covered 

  • Jay HinrichsBusiness Member
    Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
    7y
    Originally posted by @Mike Reynolds:
    Originally posted by @Trinh Huynh:

    I bought a duplex from a local builder in New Braunfels, TX.  Right before the expiration of the 1 year warranty, I hired a professional inspector to inspect the units.  The inspector gave a list of items to repair.  The list includes a range of defects from garage door to irrigation system, to improper framing under the roof.  The framing issue was a big concern as a safety hazard.  According to my property manager, the list was sent and the builder did come back to fix some issues.  They gave me an OK that all repairs had been done.  So I sent the inspector out again & found out that some items were not fixed & there was some work done with the framing but still not right.  Since then, my property manager has repeatedly sent request for repair, but not getting response from the builder.  

    The duplex is in its' 2nd year.  Some of the defects are still under builder warranty, some not.  However, all the defects were identified prior to the expiration of the 1st year warranty.

    I talked to the builder sell agent, and he agreed to reimburse me for any item on the list (garage door stopped working) that I have had repair out of my pocket.  But I have not seen any reimbursement check yet.  I tried to avoid getting things fixed by my vendors as it could potentially void the warranty? but I'm worry for the tenants safety with the roof framing issue & want it fixed ASAP.

    This has been going on for 7 months.  This builder is still very active in the area & expanding. My property manager has an open line of communication with this builder as he is also managing other units built by this builder, but whenever he asks for repairs for my units, it goes cricket. 

    What options do I have to close this?  Is hiring a mitigating attorney a good idea?

    Thanks in advance for your suggestions!

    I see your from out of state. If you have the documents from the inspection there is another thing you can do. I can give you the name and number of the head inspector down there. At least he was two years ago. You can then contact the builder and inform him that is what you intend to do if this is not taken care of. He will fix it or face the backlash from inspection dept.  Faulty framing is nothing to joke about. It could cause a lawsuit for you and the builder. They wont care about the warranty issues but the code violations they will. Just PM me if you want the number. 

     do you guys give 2 -10 warrenties i do that on all my new builds cost me about 700 per house..  gives the buyer recourse from insurance.

    now of course you mess up and insurance is going to then subrigate and come after us if its gross negligence but if the ground shifts or siding is defective windows stuff like that 2  10 comes into play.

  • North of Houston · Member since 2018 · 350 posts · 181 votes
    7y

    2 sides to the story I am sure

    in the builder's head:" "the better time to do an inspection was before you closed" so I am sure they are pissed about that tactical error you made. Just means you got to stay on them even more

    1) In Texas,  no licensing required for builders (and its not bad thing) Our state enforcement agencies are not there for you anyway (and a different story)  better off with local judges in small claims, dirt cheap, I highly recommend if they dont return calls and get it done, Your manager can do it for you with the right paper work

    2) YOU and not the manager (seems like they might be a little too cozy) call the builder's construction people.. not sales agent (if you can) and pay about $150-200 to get a real engineer (may be for even less money) to look at the framing. Inspectors may not be engineers. Inspectors may not be trained to calculate loads, size lumber and fasteners etc. . however, they better be able to read plans (and if wood was retrofitted, its not going to be like the plans anymore). Not on purpose, the inspectors can create a lot of trouble over the smallest things. Its not hard to climb in to an attic and shore up framing good enough or even better the plans but not exactly like the plans. Your inspector can be over his/her head if the builder has to improvise and alternative in the attic framing. If they got in that attic with enough wood, its rare its if its still not done good enough. If they didn't bring enough wood, have them back and tell them to bring enough wood this time. 1000 and one ways to shore an attic up

    3) read your contract and closing documents, some of these things like your sprinkler hitting the house instead of the bushes will happen lot of this stuff turns in to "maintenance" and not warranty

  • Yorba Linda, CA · Member since 2016 · 17 posts · 2 votes
    7y

    @Mike Reynolds, thanks!  I'd appreciate if you can PM me the phone number.

  • Yorba Linda, CA · Member since 2016 · 17 posts · 2 votes
    7y

    @Thomas Weidner I didn't get the inspection before closing.  No tactic here.  It's a lesson learn for me to trust my agent's advice that I didn't need one.

  • Yorba Linda, CA · Member since 2016 · 17 posts · 2 votes
    7y

    @Charley C., thanks for sharing your thoughts!

  • Mike ReynoldsPro Member
    construction · Nacogdoches, TX · Member since 2011 · 2k+ posts · 1k+ votes
    7y
    Originally posted by @Jay Hinrichs:
    Originally posted by @Mike Reynolds:
    Originally posted by @Trinh Huynh:

    I bought a duplex from a local builder in New Braunfels, TX.  Right before the expiration of the 1 year warranty, I hired a professional inspector to inspect the units.  The inspector gave a list of items to repair.  The list includes a range of defects from garage door to irrigation system, to improper framing under the roof.  The framing issue was a big concern as a safety hazard.  According to my property manager, the list was sent and the builder did come back to fix some issues.  They gave me an OK that all repairs had been done.  So I sent the inspector out again & found out that some items were not fixed & there was some work done with the framing but still not right.  Since then, my property manager has repeatedly sent request for repair, but not getting response from the builder.  

    The duplex is in its' 2nd year.  Some of the defects are still under builder warranty, some not.  However, all the defects were identified prior to the expiration of the 1st year warranty.

    I talked to the builder sell agent, and he agreed to reimburse me for any item on the list (garage door stopped working) that I have had repair out of my pocket.  But I have not seen any reimbursement check yet.  I tried to avoid getting things fixed by my vendors as it could potentially void the warranty? but I'm worry for the tenants safety with the roof framing issue & want it fixed ASAP.

    This has been going on for 7 months.  This builder is still very active in the area & expanding. My property manager has an open line of communication with this builder as he is also managing other units built by this builder, but whenever he asks for repairs for my units, it goes cricket. 

    What options do I have to close this?  Is hiring a mitigating attorney a good idea?

    Thanks in advance for your suggestions!

    I see your from out of state. If you have the documents from the inspection there is another thing you can do. I can give you the name and number of the head inspector down there. At least he was two years ago. You can then contact the builder and inform him that is what you intend to do if this is not taken care of. He will fix it or face the backlash from inspection dept.  Faulty framing is nothing to joke about. It could cause a lawsuit for you and the builder. They wont care about the warranty issues but the code violations they will. Just PM me if you want the number. 

     do you guys give 2 -10 warrenties i do that on all my new builds cost me about 700 per house..  gives the buyer recourse from insurance.

    now of course you mess up and insurance is going to then subrigate and come after us if its gross negligence but if the ground shifts or siding is defective windows stuff like that 2  10 comes into play.

    Most don't but a few will. Doesn't sound like her builder did. 

  • Yorba Linda, CA · Member since 2016 · 17 posts · 2 votes
    7y

    @Jay Hinrichs They offer 10 years structural warranty & 1-2 years workmanship & material.  Thank you for sharing your thoughts! I always enjoy reading your comments.

  • Developer · Houston TX · Member since 2018 · 423 posts · 400 votes
    7y

    @Trinh Huynh Being from CA myself then moving to Houston was a shock on how Texas is relaxed on licenses. That being said, the code enforcement or city inspectors will Red tag a project if it is not being done correct. They dont play. I would not take the word of a home inspector unless they have engineering background. I would suggest having your property manager check with three roofers to give advise and pricing to make it correct. This is the cheapest way to verify your inspectors view point. Another way to go is to hire a structural engineer. If it appears to be done incorrectly they can type letter with explanation on their letterhead. That will give you more clout. IF builder doesnt respond you can hire an attorney if the job is over $10k. If repair cost is under you can use the engineers report and inspectors to file small claims up to $10k in addition to your attorney fees. In Texas you can hire attorney in Small Claims. (At least in Houston you can). Put Realtor, Builder and anyone else you have written correspondence with that promised you it would be fixed.

     Most people dont use home inspector to look over a new build so dont hit yourself for that. I have friends buying new homes all the time and they think its new why spend money on inspection. Besides the type of inspection for a new build is different. They usually do in three phases if you hire before build starts. BUT stay on it. Find out what needs to be done so you can be free of the worry as I am sure being out of state it is stressful.

    Best of luck 

  • Yorba Linda, CA · Member since 2016 · 17 posts · 2 votes
    7y

    @Charley C.  , thanks for the answers.  I'm in California, if I file a small claim court, do I need to be in Texas for the trial?  Can I hire someone to help me with that?

  • Residential Real Estate Broker · College Station, TX · Member since 2013 · 1k+ posts · 969 votes
    7y

    @Trinh Huynh. If you are filing in small claims (Less than $10,000) court (Justice of The Peace Court) you can have someone represent you without you being there personally. 

    I would suggest you give them a Limited Power Of Attorney for representation. 

    Not Legal Advice. 

  • New to Real Estate · TX · Member since 2018 · 56 posts · 24 votes
    7y

    I deal with this kind of stuff ALL the time selling new home construction in Texas. 

    1) Read your contract & read your warranty.
    2) Revise your list and remove the items that are not covered by warranty.
    3) Give them a call and be polite. Unfortunately I have to say that as people often get all worked up with angry tones, and ugly remarks when they call in for warranty. Let them know you have a revised list, you'd like to email in or give verbally. 
    4) Let them know if they could complete these few items, you won't bother them EVER again.

    My two cents of what would work best in your situation.

  • North of Houston · Member since 2018 · 350 posts · 181 votes
    7y

    @Trinh Huynh first I would read the last two post above mine, that is a far better road to travel. Read mine when the above does not work

    In my youth, I was just a leasing agent, our manager was sent to the small claims by the corporate owner mostly for evictions, then I did medical collections in small claims and I am no doctor.   Pretty sure you could do the same , may be. Sometimes just the required 10 demand letter gets the action you want but why play that card too soon? Read Jeff's post above mine. Keep in mind, if they lose or you lose in just small claims, the other can appeal automatically by attorney no question. 

    You are up against someone much stronger than the typical dead beats I was always up against.  

    Lawyers can give you more tools (but be ready to pay), you are only getting advice from a mere mortal trying not to go broke paying lawyers. Case and point, I think in Texas that a corporate vial can still leave the registrant of the corporation personally liable for structural defects for a specified time period. A real lawyer can break that down for you. 

  • North of Houston · Member since 2018 · 350 posts · 181 votes
    7y

    @Account Closed

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