Delay in new home

[lovingit]

I?m pretty sure builders have a clause where it exempts them from having to financially pay the buyers in cases there are delays.  I have heard some buyers say that they got closing costs due to delays in their home.  How is that negotiated if the contract protects the seller?

 

[sleepy5136]

In this market, I'm not sure if you have any leverage when it comes to delays. I think you'll be considered lucky if they do not increase the sell price of the home before closing. I've heard of cases where builders have the right to increase the sell price of the home if any market conditions justifies it. I could be wrong and maybe CA has laws to prevent this from happening.

 

[talkirvine]

In this market, I'm not sure if you have any leverage when it comes to delays. I think you'll be considered lucky if they do not increase the sell price of the home before closing. I've heard of cases where builders have the right to increase the sell price of the home if any market conditions justifies it. I could be wrong and maybe CA has laws to prevent this from happening.

Yes, it could be a rumor, but I have heard that in some builders' contracts, the final sale price is flexible until about 1-2 months before closing, and they can back out from the contract any time before the closing date without any reason. I am shocked when I heard this, and am glad that I am not a buyer on the market right now.