Cardel Homes - Is it a scam?

[int30h]

Hi guys,

My first post on this site and am wondering if someone could guide me in the right direction.

I booked a new house with Cardel Homes in the community of Cranston. The agreement was signed in the first week of September. I paid them $50,000 as down payment and since then I attended all vendor appointments (countless hours) to select tiles, flooring, carpets, cabinets etc. etc.

In the last week of October, I received a letter from Cardel along with a copy of 'Right of First Refusal' agreement which Cardel wanted me to sign. This new addendum basically was to give Cardel Homes rights to re-purchase the house if I wanted to sell it during the first year after taking possession at the same price and in the same condition which they sold me for.

I refused to sign this new addendum contract as I believe that they should've presented this to me at the time of signing the original contract. At that time I had the choice to go to a different builder. I also believe that once I pay full price for an item, I should have full rights on it, whether I sell it, set it on fire or tear it down. By sining this contract means that I still don't own the house for one year as I can't make any changes to it i.e. developing basement etc. etc.

Cardel has their reasons as they wanted to discourage the investors. I am arguing that WHY after three months when they wasted so much of my time and used my money as well.

Two days ago I got a voice message from their Sales Manager that they're going to cancel my agreement and returning my down payment since I refused to sign their other addendum contract.

I am pissed off now, since I am pushed back three months and house prices might have climbed up a bit.

I just need to know what my options are? The original contract says that builder has the right to cancel the agreement at any time (of course its written in their favor).

Should I call it Cardel scam?

Any help would be greatly appreciated.

[Eclipse_Spyder]

call channel global tv and tell them, then they have to listen

[bspot]

Absolutely brutal. This happened to a girl I work with. Is there a provision in there that they have to pay interest on your deposit when they refund it? I sure hope so. I wish everyone could give a big FU to builders doing this, and leave their projects unsold.

What if you get a job transfer?

What if you get married and have a kid and need more room?

What if in the same time your place goes up 100K? That should be your money no matter what.

I wonder how enforceable those clauses are?

[88jbody]

I agree that is BS.

I would be curious to see if they do this every time. if so then I would like to know why they do not put it in the original agreement? I think it is a bit sneaky to get you locked in and most would just sign it.

it is your right to sell it and do whatever you want with it you bought it. and if you want to sell it the day after for a profit or a loss it is your buisness!

I would probably do a letter to editor or something like that to the paper, perhapps even talk to some others that used cardel and see if they did the smae thing with them.

cardel builds good quality but I don't agree with this anti-investor policy

[kaput]

.

[int30h]

Originally posted by bspot
Absolutely brutal. This happened to a girl I work with. Is there a provision in there that they have to pay interest on your deposit when they refund it? I sure hope so. I wish everyone could give a big FU to builders doing this, and leave their projects unsold.

What if you get a job transfer?

What if you get married and have a kid and need more room?

What if in the same time your place goes up 100K? That should be your money no matter what.

I wonder how enforceable those clauses are?

The contract specifically says 'the money will be returned, without interest'. Builder wrote that contract and everyting is in their favor. Had I known that they'll be doing this with me, I would've read the contract in more detail. I just signed it in good faith.

I told them that I can't predict my future, anything could happen, and why should I give you the option to re-purchase my house, they had no answer to any of my questions or arguments. I think what might have happened is that they sold all these lots and houses at a price which was very reasonable and probably other builders gave them heck and then they thought of getting some of these lots back. Discouraging investors is just an excuse.

[int30h]

Originally posted by Eclipse_Spyder
call channel global tv and tell them, then they have to listen

That's a good idea. I'll give t a shot. Thanks,

[int30h]

Originally posted by 88jbody
I agree that is BS.

I would be curious to see if they do this every time. if so then I would like to know why they do not put it in the original agreement? I think it is a bit sneaky to get you locked in and most would just sign it.

it is your right to sell it and do whatever you want with it you bought it. and if you want to sell it the day after for a profit or a loss it is your buisness!

I would probably do a letter to editor or something like that to the paper, perhapps even talk to some others that used cardel and see if they did the smae thing with them.

cardel builds good quality but I don't agree with this anti-investor policy

I know a couple of people who are uildig with Cardel. I'll probe into this. I would also be curious to know if they built any house without having this contract signed.

[autosm]

If the prices are up maybe you should sign it ? Is it a smoking deal or can you get the same deal from another builder ?

Is it a year from possesion?

So more like 2 years from now until you can sell it ?

Does it say any thing about renting it ?

I wonder if they think something is up with the market and are trying to get you to tube the deal so they can sell it to some one else?

Have all the aprovals by the city gone through ? Can construction start now ? Someone else might pay a premium for a house that can be ready next year ?

Might just be something the sales guy over looked and they are being dicks ?



The fuckin builders are in the drivers seat thats why I would hate to build a new house now . Better to get them when they are hurting .

[JordanLotoski]

I have built in cranston and am building right now...we use baywest homes, they have been great to us...if you can aford to go to an estate home there i would reccomend them highly.

[grrrouch]

Originally posted by MIWYFSHOT
I have built in cranston and am building right now...we use baywest homes, they have been great to us...if you can aford to go to an estate home there i would reccomend them highly.

wow sweet response buddy.. this guys about to lose money and your telling him to buy a house from ur shitty company. thanks for coming out

[93accord]

Originally posted by int30h
Hi guys,

My first post on this site and am wondering if someone could guide me in the right direction.

I booked a new house with Cardel Homes in the community of Cranston. The agreement was signed in the first week of September. I paid them $50,000 as down payment and since then I attended all vendor appointments (countless hours) to select tiles, flooring, carpets, cabinets etc. etc.

In the last week of October, I received a letter from Cardel along with a copy of 'Right of First Refusal' agreement which Cardel wanted me to sign. This new addendum basically was to give Cardel Homes rights to re-purchase the house if I wanted to sell it during the first year after taking possession at the same price and in the same condition which they sold me for.

I refused to sign this new addendum contract as I believe that they should've presented this to me at the time of signing the original contract. At that time I had the choice to go to a different builder. I also believe that once I pay full price for an item, I should have full rights on it, whether I sell it, set it on fire or tear it down. By sining this contract means that I still don't own the house for one year as I can't make any changes to it i.e. developing basement etc. etc.

Cardel has their reasons as they wanted to discourage the investors. I am arguing that WHY after three months when they wasted so much of my time and used my money as well.

Two days ago I got a voice message from their Sales Manager that they're going to cancel my agreement and returning my down payment since I refused to sign their other addendum contract.

I am pissed off now, since I am pushed back three months and house prices might have climbed up a bit.

I just need to know what my options are? The original contract says that builder has the right to cancel the agreement at any time (of course its written in their favor).

Should I call it Cardel scam?

Any help would be greatly appreciated.

the exact same thing happened to my parents. they wasted a lot of time running around the city picking out everything for the house and then cardel mailed us tat effing contract. my parents refused and later we received a check tat was 10 grand short of what we paid. still waiting for our money back!! fucking assholes. my parents searched all over the city and they really liked this house.

[bspot]

Tell the fuckers you'll sign it if the price goes down if you can sell it back to them for the original price they sold it to you one year later.

[riceboi]

Originally posted by 93accord


the exact same thing happened to my parents. they wasted a lot of time running around the city picking out everything for the house and then cardel mailed us tat effing contract. my parents refused and later we received a check tat was 10 grand short of what we paid. still waiting for our money back!! fucking assholes. my parents searched all over the city and they really liked this house.

This gives the other builders in Cardel's area a huge boost in sales. All they have to do is stating this requirement as a reason why you should buy from them and not Cardel and you will see Cardel's potential sales plummet. Wow, talking about shooting your own foot. What a stupid idea by whomever from Cardel that came up w/ this idea.

[noCARbob]

Im building a condo with cardel and have not heard of this at all maby its just with new homes

[/////AMG]

Originally posted by 93accord


the exact same thing happened to my parents. they wasted a lot of time running around the city picking out everything for the house and then cardel mailed us tat effing contract. my parents refused and later we received a check tat was 10 grand short of what we paid. still waiting for our money back!! fucking assholes. my parents searched all over the city and they really liked this house.

I reckon you should contact int30h over PM something and both of you should go to Global TV together.
Hopefully something will be done

[JordanLotoski]

Originally posted by grrrouch


wow sweet response buddy.. this guys about to lose money and your telling him to buy a house from ur shitty company. thanks for coming out

actually, since cardel in pretty much going to bow out of building this guy a home, and give his money back, which by law they cant keep if they refuse to build him a home, iam reccomending a builder which i work closely, and know are great.


god i love the little kids on this site.....

[Kloubek]

This is BS man. First, you really should have read the contract more closely. I'm sure you're not going to make that mistake again.

Second, I would consider asking to speak to the sales manager's manager. In fact, don't ask. Demand. And if you don't get anywhere, demand to talk to HIS/HER supervisor. Generally, if you work your way to the top sometimes you'll get your way. But don't be a dink, even if you should be entitled. Be polite, and calm. Only after you get to the top and you're still denied is it time to get anger involved.

Going to the media isn't a bad idea. And you can let the top dog know you plan to do so as well.

In the end, if you don't get the house, then go with another company (obviously). Jayman is a great place, from what I've heard.

Good luck!

[AndrewMZ3]

Originally posted by MIWYFSHOT
I have built in cranston and am building right now...we use baywest homes, they have been great to us...if you can aford to go to an estate home there i would reccomend them highly.

I'm currently building with Bay West too. I've been very happy with their service so far, and they haven't tried pulling anything like this on me.

If you do end up getting your money back I'd suggest you try to purchase again immediately. Last I talked to my sales rep, it's been a pretty slow month (due to seasonality of the market) and a lot of builders are offering a lot of incentives such as free upgrades etc. I believe a month ago or so there was a 2200 sqft floor plan going for 480ish in copperfield...however I think that may have been with Cardel.

Perhaps before deciding whether to sign or not, start looking at your alternatives and see if the extra promotions/incentives make it so you can get a better deal. If you only purchased 3 months ago, I don't believe the house prices have gone up; however, the cheaper lots in new phases may have already been taken. You may actually come out on top here, and with sales slowing down, your possession might not be that far off your original possession.

[calgarys_finest]

also try the better business bearu(sp) and get a laywer to look over the contract