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New Construction Problems

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A

abbrown

Guest
(S.Carolina) When closing on a construction loan to a conventional mortgage we withheld $2000 from the builder for the purpose of getting his punchlist completed. To date note only is the list not complete (it's grown two-fold) but now the builder wants his $2000 returned and has added an additional $500 for materials required to correct a problem caused by poor workmanship of his subcontractors. Specifically the roof was not extended the proper length to allow for watershedding and gutters were required on one side to prevent rotting of the fasure boards. Do we have to return his money? Do we have to pay the additional costs? How long is he liable for his construction? We've discovered our foundation is leaking and are concerned that there could someday as a result be structural damage. Any info would be helpful. We're about to send him a rather harsh letter but want to know our rights first.
 



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