Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
We signed a contract on a new home in September 2007 in NJ which stated that work on our new house will begin early January 2008. Since than we have been hearing from the builder (KHOV) that they need the permit from the township.. as of date mid march, they still have not broken ground. Question I have is can we get out of contract? the promised due date is in June 2008 which I doubt will be met.. there is a clause in the contract stating that KHOV has 6 months from the date June to complete the house.
Is there any time limit as far as ground braking?
Any info will be greatly appreciated.
Read the contract, and discuss it with your buyers agent. If you didn't have a buyers agent, and only used the builders sales agent, then take the contract to a local real estate attorney.
No one on here will be able to advise you on how to get out of a contract without reading the contract.
Thank you guys. I'm planning to look through the contract with an attorney.
What I was looking for was, if in general there is anything beyond the actual contract clauses...before i go to an attorney.
Thank you guys. I'm planning to look through the contract with an attorney.
What I was looking for was, if in general there is anything beyond the actual contract clauses...before i go to an attorney.
Thanks!
If it's a contract that the builder drew up, then generally NO. They tend to put language in the contract that gives them a lot of wiggle room as to when they need to perform, and put strict language in detailing when you need to perform.
In other words "you must close within 14 days of the home being completed, or pay a penalty of .003%/day, yada yada yada" for you, and "Developer reserves the right to complete home at his/her own schedule, yada yada" for themselves.
Chances are there isn't an out in the contract just because they can't get the permit. But there might be a state or local statute that might help you, or you could just appeal to the builder to just give you your deposit back. Believe it or not, it has happened.
We signed a contract on a new home in September 2007 in NJ which stated that work on our new house will begin early January 2008. Since than we have been hearing from the builder (KHOV) that they need the permit from the township.. as of date mid march, they still have not broken ground. Question I have is can we get out of contract? the promised due date is in June 2008 which I doubt will be met.. there is a clause in the contract stating that KHOV has 6 months from the date June to complete the house.
Is there any time limit as far as ground braking?
Any info will be greatly appreciated.
Haven't seen the contract but it probably has the answer in it. What does your agent say?
How much deposit is at risk? As others have posted, if it's the builder's contract vs. one used statewide, there is no doubt that they have the upper hand. It sounds like you're headed for professional help now - perhaps after the horse has left the barn?
Beyond the actual contract clauses? No, not that I know of.
What they were doing and still do down here is that they have a certain time frame from when they get the permit...unfortunately for those that don't understand it, there is nothing saying that they have to actually go and file for the permit within a certain time frame. So, technically, they are within their contract even if they put off filing for the permit for months. Good idea to go to an attorney.
Thank you all for the reply.
I was able to get some professional help, and finally the work has started on our new home. Just as a reference, there was no way out of contract just because of the permit issues ;(
Advice: Before you sign, seek a professional attorney's help and make sure to fully understand the clauses.
Wow. That sounds like an awful business practice. They sell someone a house without even knowing if the city will let them build. I think if I were in a business I'd want to see if I could get permits before I start selling to people.
Quote:
Originally Posted by palmcoasting
Beyond the actual contract clauses? No, not that I know of.
What they were doing and still do down here is that they have a certain time frame from when they get the permit...unfortunately for those that don't understand it, there is nothing saying that they have to actually go and file for the permit within a certain time frame. So, technically, they are within their contract even if they put off filing for the permit for months. Good idea to go to an attorney.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
