Browse Forums General Discussion 1 Sep 07, 2015 2:21 am Hey all,
Just thought I'd share my experience with my builder so far and hoping to get some advice. I signed a house and land package at Village Square in Edmondson Park (stage 15). Land exchange done but the land registration has been delayed until March 2016. From the start I was promised that I could keep extending the tender period for a small fee, but the problem is both people who promised that to me have left/been made redundant. So after months of trying to get my tender extended and promises that the extension will be forwarded to me, the tender has expired. Now they have sent me an email saying that now because the tender has expired I will be charged $1,750 per month until land registration/settlement, plus an addition 3 months of payments after that. I understand increased costs and what not but this seems very unreasonable as it is currently an endless amount not knowing when the land registration will be. It could take another year for all I know. So there is no clear amount to how much extra I will be paying. They have not specified what the additional costs are for and where the figure comes from, just simply that the price has increased. I have tried contacting them so many times and have not gotten a single call returned this entire year. At the moment it seems impossible to contact anyone but the colour consultant/receptionist who promised someone will call me back 5 times now. She was the one who sent the email about the tender expiry and increased costs. I have left this matter with my solicitor and hope something can be done about this. Can anyone offer any advice on what I should do or is anyone else in this situation? Re: Ichijo Homes Village Square - problems. 3Sep 07, 2015 10:57 pm Thanks aloenyx. Yes it's been really hard on my partner and I, it's totally sucked the life out of us. This year has been nothing but stress and bad to worse news. I know they have sold many other packages in Village Square and I'm hoping those clients will find this thread.
Re: Ichijo Homes Village Square - problems. 4Sep 08, 2015 5:31 am That's really gotta suck mate. I was wondering why their display home still wasn't built in the display centre..I guess that kinda answers it :/ I highly doubt you would be able to split the house and land package to keep the land. Our land contract clearly states no one else can build on the land apart from the assigned builder and several other conditions tying the land to the builder, but you could always talk to your solicitor and see if they know the possibilities of doing so Re: Ichijo Homes Village Square - problems. 5Sep 08, 2015 8:03 pm Hi Nug, so sorry to hear about your experience.. we were planning to go with them too as they dont use bricks but something else for the wall but their display home at homeworld south dont open even on weekend????
Did you try to visit their other display home at Kellyville Homeworld ?? maybe you can speak to someone there. I find it strange that they are insisting that you pay extra for the delay for the registration of the land. They sold you as home and land package. They should bear the cost! So did you have two contracts? one for the land and one for the house or you have only one single contract for both land and house? Have a look at your contract again and read them again as a starting point. As others has said its also a good time to contact your solicitor/conveyencer for advice.. Re: Building in Village Square - problems. 6Sep 10, 2015 2:58 pm So they offered it as a house and land package all through the same builder or you purchased the land and contracted the builder separately? If you did it all as one deal I would have expected the contract of the land would have tied you to the contract price, with a price review period after a certain time. If they are different contracts and you have bought the land start shopping for a new builder. You have completed the land contract so unless there is some clause stating you must build with this builder tell them to take a hike. Re: Building in Village Square - problems. 7Sep 10, 2015 3:36 pm My solicitor got back to me and my options are pretty slim and unappealing. Basically I just have to cop it. It's a house and land package so the two contracts are tied. I will try to contact the builder and negotiate for a better fixed price. Re: Building in Village Square - problems. 8Sep 11, 2015 8:43 am So you signed the contract for the house already stating a fixed price for everything? Does it state in the contract they can charge this 'monthly fee'? Do you have anything in writing saying you could extend it for a small fee? If you haven't signed a contract for the house yet and it is still at tender stage go to the ACCC or fair trading, they 'locked' you in on an agreement that relied on the land being titled so this seems unfair to lock you in on a process they have no control over. Anyone on here can tell you land titles always go over their expected time frame Re: Building in Village Square - problems. 9Sep 11, 2015 12:33 pm The tender states that the builder has the right to review the price after the tender expires. There is nothing in writing that says we can extend the tender for a fee, so even if I got the ex staff members to write a statement it won't have much merit. I guess it was our mistake for being so naive as it is our first time in this situation, and we trusted the people we were dealing with. With our package we had to sign a pay a deposit for the building contract before we were even shown the land contract, to ensure that we build with that builder and not sell the land after settlement. I have sent an email asking them to explain what the additional costs cover and where the monthly figure comes from. Re: Building in Village Square - problems. 10Sep 11, 2015 3:45 pm Is this still in the negotiation stage with the builder? Did you buy the land off the builder or a developer? Tender and contract are not inter-changeable terms. A tender is the builder proposing to build your house for you at a set price, you accept and a contract is then signed agreeing on the terms. A tender sent from the builder is not a contract. Have you signed a contract with the builder? Does the contract state they can do a price review date after a specific date? I am assuming that date has passed hence this price review. As you mention earlier that the 2 contracts are tied together, I would check the land contract to see if it has a sunset clause advising they have X months to title the land. If it does not then you may have cause to break that contract which in turn breaks the other contract. If it does have that clause I would ask the builder via a solicitor, how you could be expected to enter into a building contract with a price review date earlier than the sunset clause. Its a double edge sword, the builder says the contract is valid for 3 months but they have up to X months to register the land. The builder knew your price review date fell before the sunset clause and more than likely knew it would not title until after that price review date. This agreement was in the builders favor the entire time and allows them to jack the price up, your conveyancer should have advised you about this. I would push the issue further if you have signed a building contract. I'm assuming that your 1st $1750 is due this month, this means until March you have 10 months worth of payments - including the additional 3 months they want you to pay from when it finally registers. This is a total of $17500 which is a 8.75% increase on a $200000 house. A 7% increase on a $250000 house, not a huge % increase but i'd still be upset at being locked into a $17500 increase. Re: Building in Village Square - problems. 11Sep 11, 2015 3:59 pm Gunna, it's a home and land package from what Nug stated. Given that it is a H&L package the sunset date of the building contract is usually inline with that of the land contract..although it seems that this may not always be the case :/ Re: Building in Village Square - problems. 13Sep 15, 2015 4:24 pm This is my first time doing this so I'm not too familiar with everything. My understanding was there are two contracts that are tied together. The land contract states I have to build with their nominated builders, and I had to enter a contract with one of the builders before doing the land exchange. The building contract that I signed also includes the tender which expired at the end of August. Now that the tender has expired they are demanding and monthly fee which will cost me a minimum of $17,500. I'm trying to arrange a meeting with them to try to understand what I'm paying for and see if I can negotiate a fixed price for an extension of the tender. Re: Building in Village Square - problems. 14Sep 22, 2015 12:53 pm Ok, so my builder has just informed me that they are not building my house and have given me the option to re-assign the contract to another builder that they have chosen. I'm hoping this is good news. Re: Building in Village Square - problems. 16Sep 22, 2015 2:15 pm My deposit will be assigned to the new builder and I've been promised by the GM of the new builder that everything will stay the same including the price. I have a meeting with them tomorrow. I'm wondering what my other choices are, like if I chose not to re-assign the contract to the new builder. What would happen? I don't know if I can just get my deposit back and choose any builder of my choice since it's a house and land package. I'm guessing my previous builder will get something out of this so I doubt they'll let me off that easy. Re: Building in Village Square - problems. 17Sep 27, 2015 1:50 am Nug My deposit will be assigned to the new builder and I've been promised by the GM of the new builder that everything will stay the same including the price. I have a meeting with them tomorrow. I'm wondering what my other choices are, like if I chose not to re-assign the contract to the new builder. What would happen? I don't know if I can just get my deposit back and choose any builder of my choice since it's a house and land package. I'm guessing my previous builder will get something out of this so I doubt they'll let me off that easy. Hi Nug, How did you go with your meeting? We are basically in the exact same position as you and are also wanting to know our options. We will be seeking legal advice. Re: Building in Village Square - problems. 18Sep 27, 2015 12:59 pm Hi Uchiha, the meeting went really well. I was very impressed by their office, their level of service, and their knowledge. They were very professional and reassuring. I brought up the issue of my tender being expired which they were not aware of. They will go through everything and contact me next week. In any case I'm so glad I have the option to re-assign the building contract with an established builder who still has an interest in the industry and a reputation to uphold. I feel a lot safer in their hands. As far as options go I don't think there are many. This new builder is building on behalf of the other builder which complies with the land contract. I don't know if it can't be done any other way. Please let me know what you find out from your solicitor. Re: Building in Village Square - problems. 19Sep 27, 2015 5:16 pm Thanks Nug for starting this thread. I hope others will find it useful too and share their experiences. Yes, will keep you posted. I have not committed to our meeting with Simonds as yet. Re: Building in Village Square - problems. 20Sep 27, 2015 10:51 pm Nug Hi Uchiha, the meeting went really well. I was very impressed by their office, their level of service, and their knowledge. They were very professional and reassuring. I brought up the issue of my tender being expired which they were not aware of. They will go through everything and contact me next week. In any case I'm so glad I have the option to re-assign the building contract with an established builder who still has an interest in the industry and a reputation to uphold. I feel a lot safer in their hands. As far as options go I don't think there are many. This new builder is building on behalf of the other builder which complies with the land contract. I don't know if it can't be done any other way. Please let me know what you find out from your solicitor. hello good to hear that you have a good outcome with your meeting with the new builder ..i hope everything turn out well for u from now on! No idea about the driveway question, but your price for a house that size including landscaping seems very good! 1 6158 I am not a brick expert, but rendering would be 1 option, it would be costly to do the entire house though.... 2 6677 Hi all, has anyone been ask to do the weeds in their property while in the middle of build? 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