Homeowners troubled by builder liens
“We moved in January, and about two weeks later, we got our first claim to lien,” Renee Hoffman said. The lien was for work that Wilshire Homes should have paid for during construction.  The Hoffmans said the company told them it was an isolated incident. “They said all debt on the house was paid for, all vendors were paid,” James Hoffman said.

Leaky home owner ordered to pay builders
Miranda Patrick says the government's leaky homes solution is far from being fair and just and now she has to stump up more than $170,000 in court costs for those who built and signed off on her home, despite the fact everyone agrees she has a leaky house...  In fact the situation is so bad that her million dollar mansion is rotten and developed toxic mould. For eight years she fought for compensation, during which time her marriage collapsed, she lost her job, and battled tongue and throat cancer. "You're fighting so many different people and it's a constant battle and it requires so much of your time and effort that it's very hard to focus on the other areas of your life and it's very depressing as well," says Miranda.

Benifits of Home Inspections
A home inspection is a visual review and testing of the major components of a home. Home inspectors must be licensed by the Texas Real Estate Commission. They review more than 200 components, usually during a two- to three-hour period. The basic inspection includes the exterior, roof, crawl spaces, attic, foundations, structure, plumbing, electrical outlets and breakers, heating elements, air conditioning and interior surfaces. They also can inspect swimming pools, yard sprinklers, hot tubs, private water wells and septic systems.  Read more...

Homeowners getting stuck with homebuilder bills
The housing bust is leading to a disturbing trend across North Texas. Homeowners who've paid for their new house once are finding they may have to pay for it again.  Beverly Devaughn thought she found her perfect home - a $1.3 million mansion, the Frisco doctor built from the ground up. "I wanted to build a dream home," she said but added it had turned into a "nightmare." That's because near the end of construction, letters started arriving - liens, totaling $200,000, filed by angry subcontractors. Even though Devaughn fully paid her builder, he didn't pay the subcontractors he hired.

Major Arizona home builder files for Chapter 11 bankruptcy
“Unfortunately, the filing is a sign of the challenging times builders and developers are currently facing in today’s housing market,” Burger said. According to the company’s website, Fulton Homes has 21 communities in development in the Phoenix metro area. "As long as this doom and gloom scenario exists, you're going to have companies like this strained and stressed," added Hoffman.

The operators of Carolina Development conned more than 1,000 in a Ponzi scheme, California Atty. Gen. Jerry Brown's office says.
Six Orange County men face criminal fraud charges in an alleged $52-million investment scam that was said to promise big profits from luxury developments next to golf courses designed by Arnold Palmer, Jack Nicklaus and Greg Norman.
The criminal cases, filed Thursday in Orange County Superior Court by the office of California Atty. Gen. Jerry Brown, follow civil charges brought by the Securities and Exchange Commission against the operators of Irvine-based Carolina Development Co. "This is a very serious case, an unusually large fraud," Brown said in an interview. The defendants "callously conned" more than 1,000 people, including retirees, he said...The promotions took place from August 2001 to February 2006, authorities said, when a state and federal task force shut down Carolina Development.

Home Builder Sentiment Sinks to New Low
The National Association of Home Builders said its preliminary NAHB/Wells Fargo Housing Market Index was 8 in January, down from 9 in December. That is the lowest level on record since the gauge was launched in January 1985. Readings below 50 indicate more builders view market conditions as poor than favorable. The January index was below expectations of 9, based on a Reuters survey of economists. Eric Belsky, executive director at Harvard University's Joint Center for Housing Studies, said home builders are not only struggling under sinking demand and a credit crisis, but are facing a flood of homes in foreclosure.

Drees, others file suit over HUD ruling
HUD announced early in 2008 its plans to amend its Real Estate Settlement Procedures Act for the first time in 30 years. The final rule, announced in November and effective Jan. 16, aims to protect consumers from high settlement costs by requiring more disclosures. It also improves and standardizes the good-faith estimate, a list provided by a lender that details the fees expected to be associated with a loan’s closing. Moreover, the rule prohibits the ability of builders to require the use of affiliated businesses in order for consumers to earn incentives or discounts with the purchase of their home.

Councilwoman’s property listed in foreclosure
“It has, unfortunately, been a problematic property since the time I purchased it,” Freitas said.“Over the years I have had to continually pour money into trying to fix some of the shoddy construction work from the original builder,” she said. “I’ve replaced siding, windows, decking, sprinkler systems, etc. You name it and I have probably had to replace or fix it.”Given the cost of maintaining the problematic home, “I made the conscious choice to let this property go,” Freitas said.

Austin new home construction down 34% in ‘08
Starts in 2008 totaled 8,987, or 34 percent lower than the 13,624 housing starts in 2007, the report said. For fourth quarter 2008, starts totaled 1,459 new homes, down 51 percent from the same quarter last year, which saw 2,993 new starts. “The convergence of bad news regarding the economy shattered consumer confidence during the fourth quarter 2008,” said Mark Sprague, Austin partner for Residential Strategies. “Reports from the builders have been of high cancellations on previous new home orders, and of buyers that are very tentative on purchase decisions until the economic outlook improves.”