I wrote a recent post about new construction when I closed two new construction sales in July and put another under deposit with Newcity Builders in Mansfield. I mentioned that vetting the builder of any new construction was paramount to purchasing a newly constructed home, whether you are buying a “spec” home already up and for sale or designing a custom home from scratch.
The following recommendations are made by the State of Connecticut Department of Consumer Protection (DCP) regarding New Home Construction Contractors in the DCP Laws & Regulations Chapter 399a:
(1) REQUEST FROM THE CONTRACTOR A LIST OF CONSUMERS OF NEW HOMES CONSTRUCTED TO COMPLETION BY THE CONTRACTOR DURING THE PREVIOUS TWENTY-FOUR MONTHS,
(2) CONTACT SEVERAL INDIVIDUALS ON THE LIST TO DISCUSS THE QUALITY AND THE TIMELINESS OF THE CONTRACTOR’S NEW HOME CONSTRUCTION WORK, AND
(3) CONTACT THE DEPARTMENT OF CONSUMER PROTECTION TO VERIFY THE REGISTRATION INFORMATION PRESENTED BY THE CONTRACTOR AND TO ASCERTAIN THE CONTRACTOR’S COMPLAINT HISTORY WITH THE DEPARTMENT.
IN ADDITION, YOU ARE ADVISED TO DISCUSS WITH THE NEW HOME CONSTRUCTION CONTRACTOR:
(1) WHETHER THE CONTRACTOR HAS A CUSTOMER SERVICE POLICY AND IF SO, THE IDENTITY OF THE PERSON DESIGNATED TO ASSIST YOU IN RESOLVING ANY COMPLAINT ABOUT THE CONTRACTOR’S WORK,
(2) WHETHER THE CONTRACTOR WILL HOLD YOU HARMLESS FOR WORK PERFORMED BY ANY SUBCONTRACTOR HIRED BY THE CONTRACTOR, AND
(3) THE INSTALLATION OF AN AUTOMATIC FIRE EXTINGUISHING SYSTEM.
I also looked at what the DCP had to say about New Home Warranties which includes express warranties, implied warranties and implied warranties with Certificate of Occupancy. The language, annotations and citations make for tough reading and rather ambiguous meaning but generally it looks as though these warranties terminate after one year. If you have issues with your construction you should contact your builder before the year time frame is up. See more information about New Home Warranties.
If you find yourself in an unfortunate situation where you get a court judgment against a new home contractor for loss or damages and you are not compensated by the builder as directed in your judgment, you have the option of applying for up to $30,000 from the New Home Contractor Guaranty Fund. This fund which is maintained at $750,000 annually, is funded through the licenses and re-licensing of home contractor payments of $480 biennially. It appears that you must apply for this relief within two years of your judgment. See more information about the New Home Contractor Guaranty Fund. I also would advise contacting the DCP for assistance and/or hiring an attorney to interpret the regulations and help you get the relief and recourse that you want.
Find out what past clients had to say about building their home with James Newcity. Even better, contact me to set up a personal consultation with James to discuss building your home on your lot or ours.
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