Browse Forums Building A New House 1 Jan 13, 2014 10:42 am Hoping someone out there has some clear advise for a complete novice! My husband and I first agreed to purchase a block of land in Pasadena Estate, Clyde, and paid our deposit in April 2010 with the expectiation to settle in January 2011. The settlement was delayed time and time again and eventually we settled in late October 2011, however unfortunatly for us, when the bank did their valuation, our $237k block was now only worth 205K... so we had to put every penny we had into the settlement of the land which left nothing for the build. I am finding the contract with the developer a little tricky to understand..... it says that we have to 'start building' within 18 months or basically we'll get fined. As now we are still renting, paying a mortgage and trying tosave, we are fast approaching our 18 month deadline and not in a position to go back to the bank. Never having had a good experience when dealing with the developer so far, dont really want to ask then for an extension i nthe time frame. Can anyone please tell me what would be enough to statisfy them that we had 'started to build'???? thank you in advance Re: Advise Please?!!! What exactlly is 'Starting to build' 2Jan 13, 2014 11:18 am It generally means - site works have commenced, trenches dug & slab laid. Our estate has an encumberance of 24 months "start to build" after land settlement - and this was described as "site works, trenches dug or slab laid by 24 months". It is generally so developers/investors dont buy up all the land, sit on it and leave empty plots everywhere, disrupting those that have bought for residentual use. There is some leeway on this, but unfortunately you will need to have a discussion with the land developers... If you explain the situation, have a plan and maybe offer an extension timeframe (more likely to be considered than just an "i dont know when we'll be able to") you might get an agreement from them. Given the fact there have been significant settlement delays and a drop in value, hopefully they may be a little more willing to come to the party. We have chatted to our Development Officer quite a few times and from what she has said, things like this happen a lot - but they need to be communicated and worked through on a case by case basis. When it gets left with no communication, they tend to just act in accordance to the rules in place - but if it's approached and negotiated it's generally a much better outcome. I have no idea just how callous your land developers are! But it would seem to me that if a reasonable extension is proposed,(ie: another 12-18 months) the situation explained, they would accomodate you where necessary. Thread: viewtopic.php?f=31&t=66299 Slab: 16/6/14 Frame: 4/7/14 Roof: 22/7/14 Lock Up: 20/8/14 Fixing: 26/8/14 PCI: 9/10/14 Handover: 20/10/14 Re: Advise Please?!!! What exactlly is 'Starting to build' 3Jan 13, 2014 1:14 pm We had a similar thing happen to us in Clyde North. However what we did was we didnt settle on the Land. We kept on pushing the Settlement of the land back until we had our building contracts and was able to get the bank to approve it all in one lot. Obviously it is too late now. But I am sure if you explain to the builder what has exactly happened they should be understanding. I know that henley were understanding with us, but ours was a much shorter time frame. The thing is you can only try your best! Re: Advise Please?!!! What exactlly is 'Starting to build' 4Jan 14, 2014 11:42 am Get back in touch with your broker. Perhaps the value of the land has now increased and you can use some of the equity in the block as a deposit for the build. Also have a look at the contract again and see if it gives a clearer indication of what is meant by building commenced and or ask your conveyancer. http://camdenbuild.blogspot.com.au/ by invite only please pm me Re: Advise Please?!!! What exactlly is 'Starting to build' 5Jan 14, 2014 12:47 pm I think deluxes would be right about what that means and what to do about it but just to be sure, there should be a definitions section in your contract. You will probably find the exact definition of "started building" in there. Building the Leabrook with Fairmont Homes in Mallala, SA. Building contract 24/3/13 Council Approval 18/6/13 Selections 29/6/13 & 1/7/13 Site works 21/10/13 Slab 7/11/13 Re: Advise Please?!!! What exactlly is 'Starting to build' 6Feb 04, 2014 1:42 pm Thanks all for the replies, some good news!!!! to our amazement, the developer was more than happy to give us an extension to build of 12 months! Bascilly said there were alot of people in the same boat at the moment that bought in early stages and they were happy to accomodate. Now to just keep saving and choose a house! thanks again Re: Advise Please?!!! What exactlly is 'Starting to build' 7Feb 04, 2014 1:54 pm Good to hear! I thought they might be... It's in their best interests really Thread: viewtopic.php?f=31&t=66299 Slab: 16/6/14 Frame: 4/7/14 Roof: 22/7/14 Lock Up: 20/8/14 Fixing: 26/8/14 PCI: 9/10/14 Handover: 20/10/14 Re: Advise Please?!!! What exactlly is 'Starting to build' 8Feb 07, 2014 5:08 am That's great news! Glad that it has worked out for you! I am looking for someone who might have tackled a similar issue as me. I have a few rendered interior walls, the surface condition is hardly flat. I can see all the bumps… 0 7964 Hi We have finally decided to complete a KDR on our corner plot in NE Melbourne suburbs. Given its a corner plot approx. 400 sqm just a standard design may not fit the… 0 8563 |