I intentionally bought one with minor foundation and drainage issues because the trade off was that everything else is perfect. You can fix landscaping, concrete, insulation, plumbing, etc. with incremental expenses. You cannot fix your location. That requires starting all over again each time.
He has a lot of content on Youtube, too,
I sell construction work mostly as a subcontractor, and I can definitely tell which of my customers rely on squeezing their subs to maximize their margins (JCI, Siemens, Honeywell and other global multinationals) and those that would like us both to make decent money (pretty much everyone else that doesn’t have a market cap in the billions, excluding some GCs I’ll not name) and while the big boys have a lot of work, doing projects with the latter companies is a lot more enjoyable.
I was interested in a Lenar community before I knew how bad they were and everything from their advisors mouth made my (new to it) real estate agent and I feel icky. They said you can inspect but can only report issues if visible from six feet away, can’t open drawers, can only test one outlet, no roof or basement access. I passed on them and a year later some of the houses flooded because of Lenars negligence when to modified a riverbank.
There is a reason lying is popular. Its easy.
> “There is no bonus for building the house to code, for quality,” Knowles said, to his knowledge. “There’s only bonuses for speed … and volume.” Knowles estimated 100% of all new builds probably have multiple code violations.
This leaves the home buyer having to very quickly assess the quality of the structure and account for this in their offer price. It feels like there's a business in here somewhere... Perhaps do a video call with a home inspector while you attend an open house?
Why in the world should there be a bonus for following the law.
If you want to talk incentives this is one where a stick should be used.
do people not consult a lawyer before they buy a home? Also, are the credentials of the builders not checked?
Developers know people are desperate at the moment and they shoot for quality standards commensurate with that.
* https://www.tarion.com/homeowners/the-new-home-warranty
Of course big(ger) builders have legal departments that can stonewall you and cause all sorts of delay. Further, depending on what the problem is, it may basically be 'unfixable' short of tearing down the house and re-designing/building it taking actual building science into account.
An example for the latter case, a homeowner couple spent six years fighting the builder before finally settling (the day before the trial began) and taking a buy out. A video with the building science consultant (Corbett Lunsford) they hired to debug the issue:
Having a warranty is one thing, exercising is can be an entirely different challenge. There’s typically a one-year workmanship warranty and then longer warranties on HVAC/plumbing and structural/foundation. Materials and equipment in the home will have varying warranty periods on the item in question.
Here is a recent Lennar warranty brochure: https://photos.harstatic.com/384985574/supplement/pdf-4.pdf?...
Which is the point of the second half of my comment and the link to an interview with folks that had this exact problem. (Also why I started with the word "theoretically", as how actual legal coverage works in practice can be different.)
api•1h ago
On newer homes you want to look out for shoddy construction. On older homes pay particular attention to water, mold, roofing, and basement and/or foundation issues.
You might still buy a house with issues but you need to know what you’re getting into and price in repairs.
Unfortunately batshit housing prices coupled with ignorant buyers means that in some markets it might take you a long time to buy if you’re prudent. Push back a little on price and someone else will take it and waive inspection.
This isn’t just happening on the West Coast. I live in Cincinnati and have a family member looking and they got front run a few times by buyers purchasing with no inspection at or above asking … on properties they’d visited and that they knew had issues. It’s nuts.
xnx•1h ago
y-curious•39m ago
lostapathy•35m ago
me-vs-cat•30m ago
Architects, engineers, and doctors, among many others, have ethical obligations tied to their professional affiliation. I would approach this problem from the same angle with home inspectors.
me-vs-cat•32m ago
I would like a way for serious problems to not be covered up, but I believe you're going to need to do this by tying it to a home inspector's license, such as obligating "serious" problem reports to a registry which anyone could query for a fee that would be nominal for any serious potential buyer. Perhaps 0.05% of the property's highest-ever sale price, or $100, whichever is higher? Maybe some of that fee goes to the home inspectors who did the reports, to encourage serious-problem-free reports. Still lots of problems and abuses to mitigate, but that has the potential to provide a net benefit, unlike comments on Zillow.
I would also not expect buyers to normally avoid their own home inspection by using such a report, it would simply be another fee -- which I dislike -- though as a nearly-instantaneous result, I see a way to structure it to fit after the contingent offer is accepted (or perhaps just before submitting the offer) and before hiring their own inspector. The buyers now have a chance to address their specific concerns about the severe-problem report by what they ask from their own inspector.
You could provide aggregate statistics on home inspectors to show competency. "Harry the Home Inspector is [above average / in the top 20%] when ranking for not missing severe problems that were reported by other inspectors within [a certain timeframe]." But now you have to track repairs that explain why one inspector didn't report what another did.
gottorf•45m ago
Yeah, I observed this in the Boston area during the post-Covid easy money real estate rush.
antonymoose•45m ago
When my wife and I tried to upsize in Charleston, we got outcompeted every single time. We had one seller smartly list on a Friday and announce “All offers welcome, we will accept the best offer on Monday.” We overbid by $30k and still lost to a $40k full cash no inspection buyer from out of state. We bid on a few others and quickly gave up and left the area, the carpetbaggers can have it.
Luckily I work remote and live in the country near a big college town now, but from what I hear of my coworkers in DC, Nashville, Miami, and Texas… it’s the same everywhere and often even crazier. I have no clue how my children will be able to buy a home at this rate.
bob1029•41m ago
The winds shifted about a year ago. Pull up any property in the north Houston area (Conroe, etc) if you really want a punch in the gut relative to your current desired market.
api•2m ago
Really though... this is a result of three things working in tandem: chronic underbuilding of housing especially in some areas, a prolonged period of low interest rates, and financialization of housing. The underbuilding of housing is driven by both NIMBYism and a particularly bad boom-bust cycle in housing a few years ago that scared off a lot of builders.
mothballed•1m ago
The market prices an absolutely insane premium on being the guy that takes the risk to build a house.
dsr_•43m ago
1. Require an independent home inspection as a condition of every sale, with a penalty of losing the right to live in the largest building after six months.
2. Make the report of every home inspection part of the public record, kept with the deed registry.
dawnerd•37m ago
Chris2048•27m ago
me-vs-cat•9m ago
mothballed•6m ago
Maybe the tides have turned since then. I looked at houses, watched the price 2-3x what they were a few years earlier in my area, I finally built an entire house from scratch with my own labor because it was way less risky and expensive than even buying an old burnt out trailer.
mindslight•6m ago
There are limits to home inspections, and many types of defects you're just not going to see. For example, that leaking water line causing a brown spot on the wall that reappeared after a week could be slightly slower and only reappear after a few months. Many problems take time to manifest as symptoms, and especially with a newly constructed home there just hasn't been enough time.
That's not even getting into the types of scams I've heard of where builders/sellers do things like "seal" the attic access hatch for "energy efficiency" reasons, and then assert that home inspectors cannot go up there because opening the door would be causing damage.
I'd say the real problems here are the high pressure sales funnel, and the complete lack of legal accountability. Forced arbitration and other onerous terms should be illegal. Heck if we're talking about a professional builder with a large inventory, liquidated damages themselves should mostly be illegal. And newly built homes should have mandatory warranty periods longer than a year, probably at least 5 years, culminating with an independent inspector at the end to notice any still-developing problems.
Claims shouldn't be going directly to the builder which then trickles down to some disempowered guy in a van who claims to have solved the problem with whatever he had on hand, but rather the homeowner should be able to choose any contractor to fix the problem and file a claim on the builder's insurance.
everybodyknows•26m ago
This is enabled of course by agents whose primary goal is not to get the seller the best price, but to collect their commission percentage, right now, and move on to the next prospect.