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Melbourne based developer scam innocent single mum
Topic Started: 8 Nov 2016, 10:02 PM (981 Views)
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Today I am gutted for my best friend who is a single mum that purchased an off the plan Townhouse in Doncaster Vic from X

She purchased the townhouse back in 2014 for $750k and now this could easily worth over $1mil. However the developer X, a Melbourne’s Eastern Suburb Builder whom Director is X instructed his solicitor to rescind the contract because the Sunset Clause expired last month! The townhouse is 2 weeks away from completion and my friends already got finance approved since beginning of this year. There were clear evidence X purposely delayed the construction until the sunset clause expired.

My friend bought the property through an Agent name X from X and this agent is not cooperating with the purchaser to have this resolve and deny any wrong doing.

This is so unethical from X who used the client’s deposit to get funding from the bank for the construction and then when the property increased in values they purposely delayed the construction and rescinded the contract. I bought townhouses before and it only took 8 months to be completed. This development only has 6 townhouses with DA Approved and it got dragged to almost 3 years. Unbelievable

Does anyone happen to be in similar situation where you could provide any advice or guidance?

[Edited by Admin: personal details removed]
Edited by Admin, 9 Nov 2016, 06:32 AM.
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Guest
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Sorry to hear. We have discussed all this before.

The conclusion of that conversation was pretty much this.......

With all the bullshit rules, regulations and laws, SOMEHOW they allow rich developers to DELIBERATELY rip people off. BLATANT ROBBERY.

And this is where the laws should be, to protect people from this very scam.

Yet these morons go around ripping the little people off. If these little people did not purchase these off the plans units in the first place, this idiot developer would never have gotten approval or finace to complete. It was these buyers that it allowed it to happen at the time, but now the developer can see he can now make a lot more so exercises his sunset clause so be can do so.

How about a royal commision into the blatant robbery of the Australian citizen. If somebody else stole tbis much money from somebody they would usually go to jail. But here it seems we have no problems when this very thing happens.

NOW , who is this dogact of a builder ? We need others to know to stay away.



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Will
Unregistered

Yeah this has been happening quite a lot in the Sydney and Melbourne super boom. The sunset clause was originally put in to protect the buyers from long construction delays.

Unfortunately it's now been used the other way as the result of this super boom.

There's also nothing you can legally do about this. It's very hard to legislate to make people behave honesty and ethically to each other.
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Ex BP Golly
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The industry is full of criminals.

She Should thank her lucky stars she didn't meet this guy.

https://en.m.wikipedia.org/wiki/Todd_Kohlhepp
WHAT WOULD EDDIE DO? MAAAATE!
Share a cot with Milton?
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Foxy
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Zero is coming...

julia1980
8 Nov 2016, 10:02 PM
Today I am gutted for my best friend who is a single mum that purchased an off the plan Townhouse in Doncaster Vic from X

She purchased the townhouse back in 2014 for $750k and now this could easily worth over $1mil. However the developer X, a Melbourne’s Eastern Suburb Builder whom Director is X instructed his solicitor to rescind the contract because the Sunset Clause expired last month! The townhouse is 2 weeks away from completion and my friends already got finance approved since beginning of this year. There were clear evidence X purposely delayed the construction until the sunset clause expired.

My friend bought the property through an Agent name X from X and this agent is not cooperating with the purchaser to have this resolve and deny any wrong doing.

This is so unethical from X who used the client’s deposit to get funding from the bank for the construction and then when the property increased in values they purposely delayed the construction and rescinded the contract. I bought townhouses before and it only took 8 months to be completed. This development only has 6 townhouses with DA Approved and it got dragged to almost 3 years. Unbelievable

Does anyone happen to be in similar situation where you could provide any advice or guidance?

[Edited by Admin: personal details removed]
Yes, dealing with low lifes gets you that result.

Better luck next time, try an established builder who values their clients.

Peter
http://www.afr.com/content/dam/images/g/n/2/1/u/8/image.imgtype.afrArticleInline.620x0.png/1456285515560.png
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Rufus
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Breaking news - woman who signed a contract drawn up by a real estate developer finds that the contract entirely favours the developer, and is shocked at that revelation.
Take risks - if you win you will become wealthy, if you lose you will become wise
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Rastus2
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julia1980
8 Nov 2016, 10:02 PM
Today I am gutted for my best friend who is a single mum that purchased an off the plan Townhouse in Doncaster Vic from X

She purchased the townhouse back in 2014 for $750k and now this could easily worth over $1mil. However the developer X, a Melbourne’s Eastern Suburb Builder whom Director is X instructed his solicitor to rescind the contract because the Sunset Clause expired last month! The townhouse is 2 weeks away from completion and my friends already got finance approved since beginning of this year. There were clear evidence X purposely delayed the construction until the sunset clause expired.

My friend bought the property through an Agent name X from X and this agent is not cooperating with the purchaser to have this resolve and deny any wrong doing.

This is so unethical from X who used the client’s deposit to get funding from the bank for the construction and then when the property increased in values they purposely delayed the construction and rescinded the contract. I bought townhouses before and it only took 8 months to be completed. This development only has 6 townhouses with DA Approved and it got dragged to almost 3 years. Unbelievable

Does anyone happen to be in similar situation where you could provide any advice or guidance?

[Edited by Admin: personal details removed]

This is a sad, but infrequent story. They suck.

Truth is, developers can not always be trusted, and if you google sunset clauses for off plan purchases, you will see lots of alarm bells.

Still, there have been some wins.

In NSW..
http://www.domain.com.au/news/new-protections-for-offtheplan-buyers-to-be-introduced-to-parliament-this-month-20151031-gknckw/

If I was your friend, I would approach all of my local MP's, as well as the ACCC and any other gov department I could... might even be able to form a group of people from that development who were screwed with a bit of digging around... that is valuable should it go to the media, which the developer would hate...
Shadow - Defrauded his Bank ? 2015 I have 9 different loans and my bank had no idea which ones were personal and which were investment. They had half of them classed incorrectly. When this change came in they asked me to tell them if any personal loans were incorrectly classed as investment, which I did, and they switched them to personal for the lower rate. They also had a couple of investment loans incorrectly classed as personal. They didn't ask me about those. So they stay on the lower rate too. Worked out pretty well. :)
Shadow - 2008 Sydney Median House Price 1.25M by 2014-2015

Shadow : I think this boom has already begun in several cities. My prediction :
Peak of boom: 2014-2015. Sydney Median Price: $1,250,000 Bottom of bust: 2017-2018. Sydney Median Price: $1,100,000

Shadow's Original 2010 House Boom and Crash prediction http://s836.photobucket.com/user/rastus22/media/shady-orig-2010-chart.png.html?sort=3&o=0

Shadow's attempt to edit his 2010 chart in 2015 and replace it with one that does not show a crash in 2013 http://s836.photobucket.com/user/rastus22/media/Screen%20Shot%202015-06-06%20at%207.12.52%20pm_1.png.html
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Lisa
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It will end up being the luckiest thing that has ever happened to your friend. I bought my house in Bulleen in 2001 for $220,000. It is a relatively spacious house on nearly 700m2. $750,000 for a townhouse is disgraceful. I would tell her to sit it out and wait for some sense to come to the Australian people. The bubble will pop, they always do.
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Jon Snow
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Rufus
10 Nov 2016, 10:00 AM
Breaking news - woman who signed a contract drawn up by a real estate developer finds that the contract entirely favours the developer, and is shocked at that revelation.

This just in! The Real Estate Industry is full of sharks. Film at 11.
Speak when you are angry and you will make the best speech you will ever regret.
Ambrose Bierce
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