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Consumer Affairs.com - KB Home complaints
Friday, 06 January 2006
Housing
Buying or selling a home, dealing with landlords and condo associations is enough to turn anyone into a nomad. Trying to find a good builder? It's not easy. Builders are very aggressive about suing people (and Web sites) who complain about them and they are usually well-connected with the local politicians who run the courts. The best way is to talk to others who've had homes built and see how satisfied they are. Every reputable builder should be willing to give you a list of recent customers. If not, it's a sign of trouble. Two related articles   KB Home Customers Find FTC Penalties Inadequate
KB Home to Pay $2 Million for Violating Home Warranty Agreement

KB Home

KB Home
Consumer Complaints
---
News
KB Home Customers Find FTC Penalties Inadequate
KB Home to Pay $2 Million for Violating Home Warranty Agreement

Edward of Las Vegas writes:
I have to say that, our new home purchase from KB Home started out as a wonderful jaunt through dreamland and ended up in hell. I work out of my home about 90% of the time, so we can live just about anywhere. With that, we moved from the mountains of Colorado to Las Vegas after the Hi Meadow fire. Las Vegas was chosen because it's booming and is, essentially, the "last frontier." The homes and the cost of living were much less in Las Vegas than most of the other cities we researched.

When we arrived, we decided to rent for a year so that we could get our bearings and enjoy the "house-hunting experience." However, after having been through our "rights of passage" with the realtors of Las Vegas, we decided that it would be easier to either live in a port-o-pot on The Strip, or just go ahead and buy a new home.

It all started one fine day in Dec of 2001 when we were out house-hunting. We came upon Granite Peaks, in West Summerlin. It is a beautiful little oasis in the middle of the desert. We walked into the model and it was "exactly" what we were looking for: 2,500 sf, office on the lower level, view of the city ... everything. It was even next to a park and backed up to a cul-de-sac ... we had one neighbor.

But, the only thing that was missing, was a competent builder with customer service skills ... this, we found out later. However, at the time of our utmost ignorance and delusions that this might be "fun," we signed on the dotted line and coughed up our deposit. One day, in February, we met with the superintendent to go over the plans for the house. During this meeting, he told us that the wall by the park had been moved in three inches. We thought nothing of it until my wife asked who would maintain the exterior, toward the park, since the wall was now on our property. He said that "you own the wall" and that you will have to maintain the wall.

Apparently, KB Home either had to put the wall wholly on our land or move the other five houses over three inches to meet the plan submitted to the county ... or so we were told. Whoa! It's not that we lost three inches, but now we're told that we are responsible for any and every little miscreant that happens to smash into the wall and break his nose! SO, we asked KB Home, "What affected the [wall] move and what will be the liability, title, and convey-ability impact of the move?" Evidently this small question popped a capillary in their collective pea-brains because, this started some strange political ritual the likes I hope to never see again!

Of course, the first volley in tennis is a warm up and usually the opponent doesn't return the serve. It's good to give them a break … once. SO, we asked KB Home again, "What affected the [wall] move and what will be the liability, title, and convey-ability impact of the move?" This time, I sent the e-mail to the CEO, the head of the mortgage group, and the sales manager … who was caught in the middle. I have to ask why a sales person felt the desire to get in the middle of this is beyond me. All they do is, well, "sell," and to do that they don't have to know anything, or so it seems.

SO, the sales manager finally sent a packet of information to my wife and me. This packet contained, of all things, the original setback plan, which showed 5' on both sides of the house, and a hand-sketched plan, which showed 5', less three inches, on the wall by the park. Yes. The original plan showed a 5' setback and the hand-sketch, in the same packet, showed 5' less the three mysterious inches. YET, the sales manager felt the need to argue with my wife about "her" fact that the wall was never moved and the superintendent says he never told us anything. But, when my wife asked if the sales manager had looked at the packet, the sales manager spit and sputtered and finally saw that indeed the wall was moved three inches on to our property.

What's better still is that the sales manager signed the cover letter in the packet! But, the packet didn't answer my question; however, it did demonstrate KB Home's aptitude for political prattle. The presentation of KB Home's response packet, for some reason, made me think about the way my dog chases the reflection of her collar on the wall for hours on end … or until she becomes cross-eyed and begins drooling.

SO, once again, we asked KB Home, "What affected the [wall] move and what will be the liability, title, and convey-ability impact of the move?" The sales manager then called me directly and told me how lost they all are and that she wants to have a meeting with me and "everyone" else. Hmmmm.

At this point, I needed an unbiased intermediary. To help resolve this issue, we contacted the county and they were not happy about this situation. They felt that KB Home had made a mess that they needed to either move the wall back or resubmit a modified plan of the subdivision. We also contacted city management to find out about liability and CC&R issues surrounding this odd situation. The county sent out a compliance officer to review the situation and get some answers for us.

According to the final compilation of information ... the wall was moved because, according to the superintendent, Summerlin did not want the wall on their park ... the city had put in place an easement to cover the issue of liability ... convey-ability is no longer an issue as KB Home was within an "acceptable tolerance." We finally had an answer! However, after all of this, we were also informed that this is a matter for civil litigation because of misrepresentation and nondisclosure as well as loss of land because of the relocation of the wall.

So, to ask, and answer, a few questions:

Q: How did all of this come about in the first place?
A: We would've never known had the superintendent not told us! What was all that about? It isn't a disclosure issue if you don't tell anyone that there was a disclosure issue! DOH!

Q: How could KB Home provide the original setback plan and a hand-sketched plan that demonstrated that the wall had indeed been moved, and then argue about it?
A: DOH!

Q: Why was this minute, three-inch issue even an issue?
A: I have no idea! I didn't bring it up! Once that tidbit of information escaped the lips of the superintendent, all I wanted was a simple answer to a simple question, but no one would answer the question until the county got involved and investigated the issue. But, the reason it was brought up in the first place "as an issue," if it wasn't an issue, is a universal mystery as KB Home either has a problem with responding to queries from their buyers or really, just, has absolutely no idea what's going on around them.

Q: Why did KB Home stick a sales person in a situation that required someone with some knowledge of the situation?
A: DOH!

Q: You're being a problem buyer!
A: When someone tells me something out of the ordinary about an "expensive bunch of wood" that I happen to be buying, it's my right to make sure that I am getting what I pay for and that I don't take on a slew of potential litigation down the road. It's also the obligation of the builder to provide competent answers, not packets of political poppycock, in a timely manner.

As a builder, they are not doing a favor for "the buyer." "We," as buyers, are offloading product from their "warehouse" so that they can scurry off to throw together a few hundred more homes for other unsuspecting souls.

Q: What now?!
A: Had KB Home simply provided an answer in the first place instead of mess about the way they did, we would not have wasted time, the county would not have wasted time, and we wouldn't have had to contact our attorneys to discuss the civil suit for misrepresentation and nondisclosure. All I can say about it is ... DOH!

Okay, okay. I admit that I do understand one aspect of this situation quite well. It's where an individual complains about an obvious issue and the organization doesn't want it to go public. In this case, they try to ignore, squelch, intimidate, or pounce on the individual. However, if the issue becomes public, the organization would then have to deal with the problem from the multitudes, instead of that one person.

Well, here's a hint for future reference: when they run into this situation again, as I'm sure they will, when dealing with a "buyer," they should try to make the individual happy instead of ensuring that they'll evangelize the company's shortcomings. I'm sure the buyer will work with them. They have to remember that they are in an industry that requires "buyers." DOH!

Well, now I'm off to deal with the unusual personality and non-stop ramblings of our KB Home Mortgage loan counselor. At this point, her only problem is that she feels it is essential to recite the equivalent of the Gettysburg Address when I ask a simple question, and then becomes very short or talks over me. How funny! One side won't say a word and the other side won't shut up! I'm sure this will be as enlightening as our current experiences with KB Home.

Henry of Vacaville CA (12/8/01):
We first reported a water leak in the southeast corner of our family room to the builder, Lewis Homes, in January 1998. Lewis made several attempts to fix the problem but failed (both contractors have done "repairs" in the summer, so we don't know how effective these repairs are until it starts raining again). Since Kaufman & Broad bought Lewis Homes and the problem continued, we reported the ongoing leak to Kaufman on 2/26/00 and again 1/17/01 and KB personnel signed off both times on-site on Warranty Claim Report forms. Their minimal efforts to solve this problem were ineffective and we again had water damage during a storm on 11/29/01.

KB Home required that we fill out another Warranty Claim Report Form which we did. On 12/4/01 they responded in writing that "we found that the item listed on your claim was determined not to be covered under the terms and conditions of your Limited Warranty Booklet." In January 2001, this "item" was covered; in December 2001, it is now "not to be covered."

Dealing with Kaufman over these years has been a horror show with much yelling, screaming and threatening necessary to get them to respond at all. Several times they have openly lied to us. At one point, we were told they had sent a subcontractor to check the roof and he had found no problems.

What Kaufman didn't know is that my wife and I were both working out of the house that day, so we know positively that no one was on our roof (!) on the day they claim. I've filed a complaint with the Contractors State License Board on 12/3/01 but I'm not sure what good that will do. What can be done about such unscrupulous contractors?

Northan of Alexandria VA:
I bought a home with a 10-yr warranty. The home is 7 yrs old, but foundation started shifting after 3 yrs resulting in considerable damage. The builder told me to file a warranty claim which was denied because they say my yard wasn't maintained properly. I have two separate engineering reports which tell me this house was destined to shift from the day it was built because of the soil elasticity.

Doors and windows don't open and shut, dry wall separating, cracks in wall throughout the home, the house is at an obvious tilt. I fear plumbing may be damaged at this stage

http://www.consumeraffairs.com/housing/housing.htm
http://www.consumeraffairs.com/homeowners/kb_home.html

 
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