Off The Plan Property Issues

[sivakumar_sr]

Hi

I bought a property off the plan last year which is due to settle this month. The builder had asked me to come down for pre-settlement inspection.
Below is my finding for which I need your advise.
I had found almost 40 defects inside the apartment (ie Broken tiles in bathroom Sink, Tiles chipped in floor in few places, Splash back not found in laundry, No shower handle to operate shower, Ceiling damaged during construction, Wall mark, Wardrobe mirror need to be changed, Balcony water pipe not installed, No Tiles in Balcony etc.
I had found that for accessing the first floor apartment there is no Hand rails installed which is missing.
In my contract for garage door they mentioned that it will be Concrete Panel Walls, Concrete Floor & Mechanically Ventilated. Remote Control Sliding Grill with Timber Battens. I found that it is not the case they haven’t got any approval from Council to do so. They said that they can only provide open Car space with marking.
Outside the apartment the contract says that Landscaping will be done but it is not. Outside walls for the apartment still not completed with Tiles.

I wonder how did they get occupancy approval without this. Please advise me how to proceed on this.

Regards
Siva

 

[Propertunity]

I bought a property off the plan last year which is due to settle this month.

Please advise me how to proceed on this.Siva

Siva,

Refuse to settle until the list of defects is completed.

 

[sivakumar_sr]

But the contract says that after receiving the Occupancy certificate I have to settle in 14 days

 

[Propertunity]

What does your solicitor say?

 

[sivakumar_sr]

I had sent my comments to the solicitor and waiting for his response. The settlement is due in 10 days. I want to make sure that there is no penalty been implied if there is a delay and want to know if anyone had been in this situation before.

Siva

 

[Propertunity]

and want to know if anyone had been in this situation before. Siva

Oh yeah, plenty have been there before you.

This is just one thread: http://www.somersoft.com/forums/showthread.php?t=48534

Do a search for OTP and you'll get others.

 

[sivakumar_sr]

The Vendor had written back saying that the Garage is not shown anywhere on any plans in the contract. But I have this listed in Finishes and Fitting schedule. Meanwhile the vendor had asked to do the pre-settlement inspection for the defect which I had mentioned but not the Garage Door and landscaping. My solicitor are still looking into it. Meanwhile is there something I can do may be a second opinion from someone else?

Regards
Siva

 

[sparky23]

Definetly sounds like one for the solicitors I think!

 

[sivakumar_sr]

The developer called me for a personal discussion and said that it was a mistake that Garage was mentioned in the contract and he said he is willing to pay 2,000 as compensation for this. He also mention that he cannot get a permit plan from council to put this garage. This will lead other appartment owners to ask why mine is different to others. I told him that I will get back to him after consulting with my family.

I reckon building a garage with concreate walls, mechanially ventilated, Sliding door, timber batten should cost more compared to a carport.

What do you guys think the cost will be for a proper garage with Concrete Panel Walls, Concrete Floor and Mechanically Ventilated with remote control Sliding Grill for Garage Door and timber battens?

 

[LynnH]

sivakumar

Haven't a clue what it will cost to build the garage that you propose ..... but it will be bucketloads more than the lousy $2000 compensation that the developer has offered you.

Methinks it is definitely time for you to place this whole mess in the hands of a competent property solicitor - without any further delay!!

Cheers
LynnH

 

[sivakumar_sr]

I did made few calls and it is a suprise that they are quote ranges from 40,000 to 60,000 without plan and permit. I never knew that this will cost this much and 2,000 compensation is something which I don't think is fair. I only have 4 more days to settle on this purchase.

What do you mean by property solicitor? Why can't the conveyancer do this?

 

[Jamie_D]

If they don't budge or repair don't settle.
The garage will cost at least $10k.

You can actually charge them interest and fees for not having the property ready by allocated time.
Is it IP or PPOR?

Were you in regular communication during construction?

It might be a case of approaching ACA or Today Tonight

 

[LynnH]

What do you mean by property solicitor? Why can't the conveyancer do this?

Because a property solicitor will be able to advise you on what legal remedies may be available to you. They will also be able to act on your behalf in any legal disputes which may arise.

A conveyancer cannot help you with this sort of action - they may have some knowledge of legal remedies, but are not legally qualified to act on your behalf.

Good luck, sivakumar - I hope you get things sorted out soon.

Cheers
LynnH

 

[Lake]

This is another reason why I avoid OTP like the plague.

 

[tdh78au]

Another option would be to ring the building surveyor who issued the Occupancy certificate and question him/her on the incomplete works as well. Technically, the building surveyors work for you and not the builder/developer.
Tell him/her you will be lodging an official complaint against them for issuing the Occupancy certificate when building works (as per your contract) are NOT complete.

 

[probe]

Hi Siva,

Who is the builder you're with?
It might be worth mentioning because a lot of ppl are looking at forums like this and it will give them bad publicity and just maybe, put them out of business or at least force them to conduct their business better
That should teach them a lesson..

Hi

I bought a property off the plan last year which is due to settle this month. The builder had asked me to come down for pre-settlement inspection.
Below is my finding for which I need your advise.
I had found almost 40 defects inside the apartment (ie Broken tiles in bathroom Sink, Tiles chipped in floor in few places, Splash back not found in laundry, No shower handle to operate shower, Ceiling damaged during construction, Wall mark, Wardrobe mirror need to be changed, Balcony water pipe not installed, No Tiles in Balcony etc.
I had found that for accessing the first floor apartment there is no Hand rails installed which is missing.
In my contract for garage door they mentioned that it will be Concrete Panel Walls, Concrete Floor & Mechanically Ventilated. Remote Control Sliding Grill with Timber Battens. I found that it is not the case they haven’t got any approval from Council to do so. They said that they can only provide open Car space with marking.
Outside the apartment the contract says that Landscaping will be done but it is not. Outside walls for the apartment still not completed with Tiles.

I wonder how did they get occupancy approval without this. Please advise me how to proceed on this.

Regards
Siva

 

[Property Meister]

^^

yeah, but also be careful, there are always 2 sides of the story (not at all insinuating that the OP hasn't been treated badly), you've got to be very very careful with defamation on the internet type claims.

 

[The Y-man]

^^

yeah, but also be careful, there are always 2 sides of the story (not at all insinuating that the OP hasn't been treated badly), you've got to be very very careful with defamation on the internet type claims.

Agree - especially with OTP, as there are potentially many parties involved.
For instance, builder may be fine, the developer may be crook; or the development itself could be fine, with a crook agent etc.

Cheers,

The Y-man

 

[The Y-man]

Hi Siva,

Who is the builder you're with?
It might be worth mentioning because a lot of ppl are looking at forums like this and it will give them bad publicity and just maybe, put them out of business or at least force them to conduct their business better
That should teach them a lesson..

I would suggest that a better way may be to include a learning from this incident for anyone wanting to buy OTP in the future: A part of your due dilignece must involve seeing previous finished developments, and a lst of references.

Cheers,

The Y-man

 

[sivakumar_sr]

Inspite of my solicitor sending reply. The Vendor solicitor had written back saying that they will withdraw the fridge/washing machine offer by 5pm today. And if I don't settle by tomorrow they will send me the rescission notice. Which means I have to settle in next 14 days otherwise they take my 10% deposit and put the property back in the market.

My solicitor told that they are getting advise on what to do next. I don't know what to do now with not much help with the conveyancer. Is there anywhere I can ask help for? Can you guys give me the details of the property solicitor in Melbourne so that I can call and find out what other things can be done in this case.