I have a client with a dilemma and I don't have a good answer for her!

She recently started working with a builder - she was really proud to be hired by him - she beat out several other agents for the job.

So, here's the problem. The guy does lousy work. His floors slope, the tile in the kitchen & baths is improperly installed, the doorknobs are improperly installed (how hard is it to install doorknobs???) and he used the wrong kind of material on the deck. God knows what other nightmares will turn up.

Whaddya' do in this situation? Tell the builder his product is krap? Terminate the listing? Hope for the best? Are there any disclosure or liability issues here?

Her broker is on vacation, so we'll have to wait a week for his input.

Help!

Terminate!!!! When a buyer decides to sue the builder for crap work, the agent'll be name in the suit.

Personally, there shouldn't even be a question of what to do in this situation. Aside from legal ramifications that could come up, why would an agent want to align themselves with someone that has obvious ethical issues? That agent's rep will be worthless once the word gets out.

Is the work really obvious that shows poor workmanship? Or could it be that your client has a little higher expectation? Once this is established, I'll porbably approach the builder about the situation.

If there's nothing your client could do about it, if it was me, I'd terminate the listing. I would not accept anything less than good (and expected under normal industry standards) associated with my name and my reputation. Crappy stuff attracts crappy people and offers.

I asked the same question... she says that it really is awful. Nice builder, seems honest, just kind of clueless about building homes, apparently!

I worked with an investor like this in the 90's who really meant well, but didn't have a clue how to renovate. He got better thru the years, but not without some growing pains. For both of us.

It is her reputation on the line. Is this the image she wants for her self?

Okay, so far the consensus that she needs to walk away. Anyone have a tactful, yet professional way to do this that doesn't insult the guy?

SUSAN SCUBA????? You always have great advice!!!!!

Run away! Look at the mess this agent got drug into.

http://www.naplesnews.com/news/2007/jul/01/dream_home_turns_nightmare_owner/?

Approach the builder and ask if he feels that there is a problem with the workmanship. If he insist that there is no problem, I feel that she should still respectfully tell him what she thinks of it.

If he feels that there is a problem, see if he would want to rectify it.

I think she still needs to approach this matter head on. She shouldnt package it to sound that there is not an underlaying problem somewhere. Be upfront and honest. It can still be a mutual benefit for both in the future if she doesnt burn that bridge.

I would just point ou tthat these homes aren't sellable and th ebuilder is waisting his money.Is it his sub's that are doing the inferior work?This is why it's critical to inspect during every process.

I would just tell the builder that I wasn't sure if he was aware what's going on with his properties and bring it to his attention.If he says it looks fine to me say "I am sorry but I cannot represent you,a buyer is going to have an inspection that will turn up these flaws before purchasing and if you don't repair these items now and nip it in the bud your new homes will beome unsaleable.

I would be straight up and to the point,point out that there are a surplus of homes on the market right now and that everyhting in the house has to be perfect to sell or th ebuyer will go elsewhere.

If the builder is worth anything they will consider what you are saying,if they are arrogant and won't listen DUMP THEM,that builder might only be in business for a year,being assocaited with him and having buyers talk about there nightmare with the homes later on can ruin your reputation forever.

A superintendant or someone should be in charge of quality control. Maybe someone who does warranty work can be hired to perform those tasks?

Does the builder even know that he sucks? He may not, present some pics of the shoddy work. Its hard to argue with a pic. The builder may think he is selling quality work and relying on his team to deliver quality work.

I would have a qualified home inspection do a pre-listing inspection and see what turns up. Then based on the report decide what to do. It may not be as bad as it looks then again it could be worse. That is the why I would get an inspection.

I was a project manager for 4 years. If someone told us our buildings sucked, they would be under the next one! Especially if they were not from the building industry and we didn't think they knew what they were talking about.

I would just tell him you decided the job wasn't for you.

I think there is a diplomatic way to tell the builder that in your experience the average buyer will not accept certain things and ask if there is any way for him to deal with his contractors to get these things fixed early.

I wouldn't be too quick to dump him, if you can educate him and convince him to inprove his product you might have years of sales with him because of that!

Is this guy a new builder? How is it he stays in business?

I must say, this is very puzzling but my contrarian nature says not to be so fast in walking away but rather, to follow Dan's advice above because there *may* be a tremendous opportunity in there somewhere for this agent, leading to years of a mutually rewarding relationship. I'd at least give it a shot.

As for how to approach the builder, whether to tender resignation or talk about quality issues, I would couch it in terms of "I am so sorry...I did not do my homework before taking this listing...I am afraid we just have a different approach ... or different expectations" that kind of blah blah...no overt "blame", indeed, even taking partial responsibility for finding myself in this situation, but at the same time, getting the subject out there without putting the guy on the defensive. Once someone gets defensive, usually the conversation goes south and nothing is accomplished.

There is more to the picture than a single home. Have the other homes built by this builder had problems? Ask a few of your inspectors about the reputation of this builder. This could be an isolated incident caused by new or sub/sub contractors. What type of warranty does the builder offer? Have the problems been brought to the builders attention and has he been given a chance to correct the problems?

The door knobs are improperly installed??? Would love to here the specifics on this claim.

I think it's a small-time builder - who did most of the work himself? I'll ask to confirm, but I think that's the situation...

That's a good question on the warranty...

The locks & hardware on the doors were installed "upside down" and the doors don't open and close properly.

It sounds like a house I would build, if forced to ever do such a thing!

I have to ask...how do you just terminate a contract you have signed with someone?

I agree with Secret Agent and Deep Sea. I would definitely try to educate the builder. It is like having a listing where the seller refuses to do the dishes, make the bed, mow the grass, etc. Maybe the builder can do some cosmetic fixes and get better over time.

However, if it is krap and the seller won't fix the problem, then the Principal Broker can terminate the listing. You play good cop bad cop.

Perky, It's not too hard to get out of a listing if you want out. Nobody wants to work with an unwilling agent.