What should you do if your builder is unable to complete your home
December 12, 2015 at 5:42 PM
This week NHBB was contacted by a client of SCHO Homes. Their dream home is under construction with SCHO Homes, who have apparently ceased trading and are under administration.
We did a quick internet search and found that SCHO Homes’ Facebook page and web site are down.
If you are a client of SCHO Homes or find yourself in a similar situation with another builder, what do you do?
Firstly don’t panic. In WA, builders are required to take out Home Indemnity Insurance before:
- starting any residential building work;
- asking the home owner to pay a deposit; or
- asking the home owner to pay any other money under a residential building contract.
Home Indemnity Insurance protects owners against financial loss if a builder cannot complete residential building work or meet a valid claim for faulty or unsatisfactory building work because of death, disappearance or insolvency. The policy usually has limits on the maximum amount that is paid on a claim.
How can we help?
Unfortunately we have dealt with type of problem before and have been able to help people in some very difficult and stressful situations. While every case is different, we have been able to recover deposits or find builders to complete the construction where homes have already been started.
You can contact us for an obligation free chat where we can discuss the options available to your particular situation.
Managing Director of New Home Building Brokers