Forum Replies Created
JacM,
That’s coming up next. The further I dig into this, the more I unfold.
I met up with another client this morning who was in a similar situation to me, and is about 2 months ahead of me. He made the move to a new builder, and work has now recommenced at his site. He came out of this project about 100K out of pocket, and 15 months down the track for a single dble storey home. Legally, we have discussed the option of clubbing together, sourcing the other clients who are being left high and dry, in positions much worse than us. We want to get together and hit the builder directly with a big force.
But first things first, my current priority is to get a new builder in place.
Tonight I have found out there is a meeting of a few contractors who are owed money. I am going to try and attend it, and will understand how dire the situation is.
jazz77. Thanks for the offer.
This is where I am at.
– it looks like, after all, I didn’t get certification for frame stage yet. Having spoken to a couple of builders, another days’ work should do it, it just hasn’t been finished off properly. So, obviously I have paid prematurely. Knowing this, I spoke to my builder at the weekend and asked if he could fax me the building surveyors sign off, to get his response. His answer was, “the report should be ready this week.” So, at best, he may be scrambling to organise this asap before he gets rumbled. Then again, he may not.
-given the current dispute going on between the two builders, the licensed builder (whose insurance is covering my project) is keen to be out of this project asap. At the same time, my contracted builder is pushing me to sign a “variation” to switch over to another licensed builder, which he has arranged. So, I think I may have some negotiating power to push for frame stage to be offfically signed off on, before I sign anything. Hopefully, by the time is in place, I will have secured an independent builder myself to take over this project.
This is my plan this week:
– try and get frame stage completed properly by the current builder, and signed off, so it’s done and dusted.
– organise a bill of quantities to date, independently so I am in a position, so I have an independent view to where I am really at.
– on advice from a builder, I should arrange for an independent building surveyor, to check off on frame stage. The current building surveyor being used is linked to the current builder in some way.
– currently talking to two builders who may be interested in taking this project on.Any advice on the above? Other issues I need to address as part of my plan to switch over.
Again, thanks for reading. Any advice appreciated.
OK. Thanks everyone for your comments. Lots to consider.
This morning I had a meeting with my builder, plus I got some legal advice.
My positives:
– The frame stage has been completed, and certified by the building surveyor. I’ve also paid for it. A little brickwork has gone up for the garages in the meantime. So, financially, I am marginally ahead. That’s good. Need to quit whilst I am ahead.
– I believe that the above gives some reassurance to a new builder taking the project over. The new builder will only be responsible for insurance for the work he has carried out. Current builder is still liable for everything up to frame stage.
Negatives:
I signed original HIA contracts with the builder, who actually is not licensed. What I did not realise is that the licence number I witnessed belonged to a builder, who, as part of a wider arrangement with my builder, agreed to take on the insurance part of the build.
I have a warranty certificate in the licensed builder’s name. However this builder’s signature is not on the Build contract.These 2 builders are no longer in partnership. In fact, they are amidst a legal battle. My build contract is likely worth very little at the moment. Obviously this speeds up my urgency to act quickly.
I still am unsure or bad the cashflow position is. It’s probably irrelevant right now, as my site progress is still slow, and the only way I can guarantee movement is to switch contracts asap. Which, should not be difficult, given the validity of the build contract.
Learnings???
– I went through all the site visits, reference checks, interviews. nothing untoward uncovered. I signed up at a time, when my builder was rapidly expanding, and it is now out of control. So, my decision to use them was not fully informed.
– My gut instinct was to go with a tried a tested builder, but opted instead for the cheapest believing a $100K saving would be worth any extra hassle I might go through. Not the best decision in hindsight.
This weekend, I have meetings with two builders to discuss an opportunity to move forward. Feeling sick to the stomach, but gotta move forward.
Will keep you up to date with progress. Thanks for reading.
