Do Builders Actually Have a Right to Do This?

After checking upon the latest pricing from my builder, I was little bit baffled as to why this should be.

We never have verbally agreed and officially signed on certain time frame or any dates about the contract.

Comments

  • +2

    And it’s a contract. If you don’t like a condition, you strike it out and renegotiate or you don’t sign it at all, or you sign and adhere to the conditions.

    • -2

      Its not a contract or something binding. It is a just a sort of final pricing before the draft contract.

      • Its not a contract or something binding.

        Wrong - it is binding - should you choose to continue with this guy they have the right to hold you to it as part of their Terms (which they have supplied to you in writing!)
        If you do not want to accept it then that is fine - you have the right to reject it and negotiate or stop working with that builder. But if you continue then it is binding.

        • Yes I know what you are saying buddy. It is basically their offer and what I will eventually get at the end if I accept as it is. It just all down to me say yes or no

  • +3

    Nope, it's terrible practice and they should be ashamed of themselves. Just putting the filename in the alt tag is extremely lazy and Google will see straight through it.

    • Well not sure what to do with that note. I am not actually delaying anything by changing any structural design. We all just waiting on the energy rating assessment. I was also just wondering how they can figure exactly "$5020" comes from ???

      • +1

        I was also just wondering how they can figure exactly "$5020" comes from ???

        Is it a set percentage of the contract price?

      • Is that builder's way of saying, Not to add continuous changes to the build which could extend the end date? That can cost the builder more money as the cost of goods and services going up by the day lately.

        Isn't adding $5020 would be better than saying, you NOT allowed to make any changes once it's building?

        @Ecivon You should ask the builder where this magical number came from and why?

  • +4

    Tell him he's dreamin' - specifically that the "and twenty" took it over the limit and broke the deal.

    • I should have done that lol

      • Next time he pulls a figure out of his arse maybe he'll subtract the "make me look precise" padding rather than add it.

  • +5

    the quote has expired, and you havent signed.

    End of discussion

  • +1

    Looks like a scam and not enforceable. If you see anyone add conditions like these, find someone else.

    • With this builder I have heard some very good things and feedbacks about their finish and works they have done locally. that's why I chose this builder and they are actually one of the big project builders across Australia and New Zealand.
      But I am not particularly pleasant with this and felt bit offensive actually.

      • +1

        It doesnt matter how many glowing reviews someone gets if they are not trustworthy and are willing to screw you over like whats in that contract.

        • You have a fair point mate. The only thing that I am really afraid of is the time ( nearly 10 months) I have spent so far.

          • +1

            @Ecivon: That's on you, spending 10 months on something like this is crazy, you can get multiple quotes, talk to other people. Be more proactive.

            • @garetz: Its not that I am just shopping for the quotes for last 10 months. As of normal practice of the building industry, I have already paid them 5k with the pre contract signing and we are now very end of this and just waiting for the draft contract ready.

              • +3

                @Ecivon: 10 months shopping for quotes? We were able to get indicative costings on the houses we were considering from multiple builders inside a month. The builder has most likely added this as you have been dragging it out so long and they are their costs are continuing to rise.

                • @ifyareckon: You better read whole comment before you leave your comment as you picking me on wrong point.

              • +1

                @Ecivon: Is the $5K refundable? Why don’t you sit down with the builder and thrash out what this is about. Find out their reasoning and what it applies to.

                • @try2bhelpful: Yeah I think I need to. Since my partner was mainly handling this sort of communications
                  and also I have been away so didn't catch it up at the first place.

                  • +1

                    @Ecivon: When we did our place we, actually, changed a few things that cost us more money but we worked with the builder on what we were doing. It became a bit of give and take. Some things we paid for and some they absorbed. Just be aware of what you are buying all the way down to tap ware, door handles, light fittings, power outlets etc. it is easier to sort things out, up front, than further down the track. Best of luck.

                    • @try2bhelpful: Yes that's what I have been trying to. Thanks for your comment !

        • how is it screwing over?

          Builder is trying to plan their jobs

          My experience in the mines is that they provide a PO, then expect you to drop your current job and arrive on site the day after. It doesnt work like that.

          We always write "delivery of goods x weeks from PO arrival". Stops them from pulling this

  • +2

    Its simply a quote. Quotes are not open ended. They can have validity dates. If past the validity date, the quote provider can say that the price will need to be renegotiated or be upfront and say what the new price will be.

    Not just in building industry. We use such terms often in IT as well - sign before end of month and you'll get it for $x; otherwise price goes up to $y on 1st of the month.

    • Thats what I assume at the first place but now its
      bit changing though. I dont like arguing and I never had any complaints about thier responses to my questions and requests has been neglected occasionally and never been prompt. And now they are just pointing at me for dragging the contract which is very funny

      • +2

        This is just the start!! Have a look at the papers filled with stories of people being asked $100-$200k more to complete their house even though the contract has no such clause.

        The construction industry is stuffed and I would never ever build in this climate… just way too risky - either builders are going to up the prices by 50% and when the house is half built; you don't really have an option to go to someone else OR the builder will just go bankrupt

        • Well but problem is we can't just wait forever and no one knows the right answer for the timing until it unfolds.

          • @Ecivon: I reckon it's outrageous !
            Offer a slab of beer instead .

        • The construction industry is stuffed and I would never ever build in this climate… just way too risky

          Agree.. some of the biggest companies are going toes up..

  • +2

    If you're having this much disagreement with your builder before you've given them any money, just imagine what it will be like after you're several hundred thousand deep with them.

  • +2

    In Australia, builders do whatever the (profanity) they want to do.

    • +2

      This is true.

      Many people are saying "read your contract" or "get your contract right". Which is true, you need to get those details correct.

      However, you don't have the power to negotiate most of the time.

      And if the builder is trying to pull something bad during the build which sort of goes against the contract, what you are supposed to do? Stop the build? Sue the builder?

    • +1

      Imagine if building turned into a commodity like shipping containers. That would really screw them up big time. But then it is an industry run by people who aren't academically inclined.

  • You can vote with your feet
    But unfortunately, you really can put anything into a contract.

    The dodgy thig is that residential builder's contracts are largely written in favour of the builder and rarely benefit the buyer and other than employing your own lawyer to review there's not a lot you can do about it.

    They're betting that you don't have the spare cash to call them out for crappy performance and baseless variations. In government we get them to stick to lump sum agreements as the legal team can and will come down on them hard if they don't.

    Funny thing is if you change the build you get stung. But if they start substituting things/altering the build there's no recourse.

  • Thanks for the all comments above and hopefully I could find some way or another

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