inspection failure

[churchbart]

we purchased a home last fall.
We bought a brand new home from the builder on a two year contract. We pay $2000.00 month and at the end of the contract we have a balloon payment for the rest. (thought it was a great deal).
The builder wants out of the contract now and is harrassing us to get financing now!
I had the home inspected last week, and it failed. The inspecter said that we should never have been allowed to move in as the home does not even pass code.
This afternoon I went down to the office of
building and devlopment to see if I could get copies of permits and inspections done during the building process.
According to the gentleman there. A building permit had been granted in November 1997 but cancelled for inactivity November 1998. According to them no inspections have ever taken place and there are no records of a home being built on our property.
Can I legally get out of this contract and get my money back including my down payment I have put more than $25,000.00 into this house and am not in a position to recoup it easily.

 

[HomeGuru]

<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by churchbart:
we purchased a home last fall.
We bought a brand new home from the builder on a two year contract. We pay $2000.00 month and at the end of the contract we have a balloon payment for the rest. (thought it was a great deal).
The builder wants out of the contract now and is harrassing us to get financing now!
I had the home inspected last week, and it failed. The inspecter said that we should never have been allowed to move in as the home does not even pass code.
This afternoon I went down to the office of
building and devlopment to see if I could get copies of permits and inspections done during the building process.
According to the gentleman there. A building permit had been granted in November 1997 but cancelled for inactivity November 1998. According to them no inspections have ever taken place and there are no records of a home being built on our property.
Can I legally get out of this contract and get my money back including my down payment I have put more than $25,000.00 into this house and am not in a position to recoup it easily.<HR></BLOCKQUOTE>

You are entitled to rescind and cancel the contract on the grounds that the home is not legal due to no building permit, construction defects and building code violations. You need a real estate attorney to help you.

 

[churchbart]

We spoke to an attorney earlier who advised us that it would cost us as much in court costs and attorney fee's as we can recoup, is that true???
It is advisable to try and represent ourselves?

 

[HomeGuru]

<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by churchbart:
We spoke to an attorney earlier who advised us that it would cost us as much in court costs and attorney fee's as we can recoup, is that true???
It is advisable to try and represent ourselves?<HR></BLOCKQUOTE>

It very well may cost close to what you paid in down payment if the builder fights it and litigates. Is there a binding arbitration or ADR ( alternative dispute resolution clause) in the contract?

 

[HomeGuru]

<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by churchbart:
We spoke to an attorney earlier who advised us that it would cost us as much in court costs and attorney fee's as we can recoup, is that true???
It is advisable to try and represent ourselves?<HR></BLOCKQUOTE>

It very well may cost close to what you paid in down payment if the builder fights it and litigates. Is there a binding arbitration or ADR ( alternative dispute resolution clause) in the contract? It is not adviseable to represent yourselves? If you knew what to do you would not be on this BB.

One option is to file a complaint with the State Contractors License Board, Attorney Generals Office, City Buidling Department etc. to force this builder to settle. The Building Dept. would undoubtedly issue complaints due to no permit, inspections etc. and these complaints would go to both him and you. Since he was the builder, he would be responsible for the problems.

 

[churchbart]

There is no ADR in our contract that I can find.
One other thing the inspector noted that the ventalation ducts were lined with exposed fiberglass insulation. Could this have given us any health risks?
I have devoloped asthma since moving in and my husband has had some upper respitory problems. Should we look into this too?

 

[HomeGuru]

<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by churchbart:
There is no ADR in our contract that I can find.
One other thing the inspector noted that the ventalation ducts were lined with exposed fiberglass insulation. Could this have given us any health risks?
I have devoloped asthma since moving in and my husband has had some upper respitory problems. Should we look into this too?<HR></BLOCKQUOTE>

Yes, check into this and get a complete home and environmental inspection. If there is mold in the ducts or walls (due to leaking windows, damaged hardboard/EIFS siding etc.) that could be contributing factors to your health problems.

 

[churchbart]

where can i find a enviormental inspector??
are they common enough to find in the yellow pages?

 

[HomeGuru]

<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by churchbart:
where can i find a enviormental inspector??
are they common enough to find in the yellow pages?<HR></BLOCKQUOTE>

Look in those pages under Environmental Consultants and Building/Home Inspection. There have been toxic mold found in some homes. Check out yours right away.

[This message has been edited by HomeGuru (edited August 12, 2000).]