Builder asking money outside contract

home buyer · May 26, 2024 9:20 pm

Hi all, I have standard HIA VIC contract signed in Dec 2023. House is at lockup stage. I haven’t asked for any variation but builder is demanding for extra $85k additional payment. Demanding money and says otherwise would delay the build. Please advise what should I do?

nickmaj · May 27, 2024 5:07 pm

Yikes, when you said $85 at the start i thought.. eh, just pay it... but $85,000... yeah im not sure the legal process.
I feel they cant if its a mistake from the original contact... i can understand if there was a crazy increase in materials or something.... (although 85k is still way too high for that), but i feel they cant charge you for making errors when sending the original contract.

But, im not sure. However, if your lawyer advised they cant charge you, then can you advise them of that?

home buyer · May 27, 2024 5:57 pm

nickmaj · May 28, 2024 10:16 am

Yeah sorry man, thats always been my fear during this first time build.. we have literally just hit lockup as-well, so ive been praying for no issues. Our mortgage / lender was barely able to get us enough to cover the build, and we have put money aside of emergency variations... but certainly not to the extend of $85,000...

Hope it all works out for you.

nickmaj · Aug 09, 2024 1:45 pm

home buyer

😞

Did you have any luck with getting this sorted?

MarkusjOZ · Aug 10, 2024 8:23 am

"but certainly not to the extend of $85,000" - Certainly not chump change :shock:

I would be questioning what they did which resulted in this blowout and get it all itemised.

To ask a silly question, I'm assuming that they did not get your go ahead for any extensions?

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