Builder of Development in Financial trouble! NEED ADVICE!!

STEVEPRATT89 · 07-03-2022 5:06pm #1

Hi all,

Really hope someone on here can help or at least point us in the right direction.

So my wife and I purchased a house from plans back in 2020. Initially we had been given a completion date of 12 months. But unfortunately 2 years later we are still not in our house nor are we anywhere near it for that matter. Our developer has continued to lie to us and lead us on with completion dates and promises that its going to be done, and that builders will be on site next week. But as always next week comes and no builders on site. We are terrified about losing our home, what we had hoped was going to be such a happy time for us has turned out to be a complete nightmare. I continue to try and make contact with him every day but he continues to ignore all calls and txts that I send him. I have found out that he has had investors involved in the site and that they have funded some of the previous houses that he completed in the estate. Between August to November of 2021 my wife and I had really high hopes as we saw a noticeable improvement in the work that was happening on site, our house now has a roof, windows are in and some of the timber partitions inside are up along with the stairs. But since November there hasn't been a tradesman step on site whatsoever, in the meantime we have found out that the investors pulled all funding for the site and now have a lean on our 4 houses and another patch of land across the road that the developer was hoping to get planning for a further 24 houses. He owes the investors a considerably large sum of money we have heard. We have went to our solicitor and they have said all we can do is wait and see. My wife and I can't wait any longer we are in our mid 30s and want to start our family. This has been absolute hellish experience for us with a constant feeling of false hope to always being let down.

I am looking to see if anyone out there has been through a similar experience or if anyone would have any advice on what or next steps should be?

We signed our contracts back in 2020 for an agreed price giving the current market my wife and I have decided that its just not feasible for us to walk away from the house as we would be incurring a massive financial burden on ourselves if we were to go elsewhere.

SAMTALK · 07-03-2022 5:13pm

I don't have any advice for you , but this is one of the things that rots me in this country,

No accountability in this country, builders, developers, estate agents all work to a low standard and you and people like you left in the lurch and hands tied

JimmyMW · 07-03-2022 8:01pm

This is a really **** situation, sorry to hear it op. However the way i see it you have one of two things happening

the builder resolves his financial issues one way or the other, and the build continues on site. However how long will this take is anyone's guess and you will be in the lurch in the mean time.
the financiers forces the builder into liquidation, then his assets will be sold and you will need to deal with the receiver to recoup some of your deposit but it will likely be cents in the euro, then the development will be sold to another builder/developer who will continue the build and sell at current market value. Don't see any circumstance where they will need to offer to the original purchasers.

Either way your in bother here, how much of a deposit have you placed on the build?

If I were you i would try and get some deposit back, if it not large I would be prepared to cut my losses and move on with life, no house is worth all that agro.

STEVEPRATT89 · 07-03-2022 9:23pm

Thanks JimmyMW for that information, we have 30,000 of a deposit down. We have also invested a huge amount of money in appliances and furnishing for the house which we thought was going to be done. We are very emotionally invested in this property and we can't bring ourselves to the idea of walking away.

Another option I was hoping that might be a possible route for us would be to purchase the house as it is now and finish the build ourselves. Obviously this is all going off if he would actually agree on a price that he would sell it for. Also pending we get both solicitors to agree on a contract for this to happen as well.

JimmyMW · 09-03-2022 1:09pm

https://www.boards.ie/discussion/comment/118747729#Comment_118747729

I couldn't see that happening, speak to your solicitor to see if they think its a possibility. But lets say it did happen you buy a house in the unfinished estate and finish it yourself, the rest of the estate could remain unfinished for years how will you access the property etc, if there are drainage issues outside your house in the the estate how are you going to deal with that, the potential problems are endless. Also is this a detached property? If not how are you going to deal with the heat loss through the party wall into the neighboring unfinished properties? I would seriously consider trying to recoup as much as you can out of it and move on with your life.

Ginger83 · 09-03-2022 1:33pm

Sorry to hear about your situation OP. It must be a horrible position to be in.

If as you say there is a lean on the property then this could get messy if the builder is in financial trouble so I would agree with the advice to seek your deposit or as much of it as you can and move on. There is no accountability for builders in this country and I speak from personal experience.

beggars_bush · 11-03-2022 10:14pm

Builder sold houses at X price

Cost of everything now is Y

Builder of Development in Financial trouble! NEED ADVICE!!

Answers