Case Study

The buyer’s claim

The buyer claimed the builder had provided misleading pre-purchase information because the bedroom dimensions were smaller than indicated, there weren’t sufficient parking spaces and there was a persistent odour.

The buyer requested an apology and £11,000 compensation.

The builder’s defence

The builder stated that the bedroom dimensions were indicative only, as small variations could occur due to technical or regulatory requirements, in this case due to the installation of fire safety measures.

The builder also stated that the information provided to the buyer prior to purchase indicated only one car parking place.  As for the odour, this was outside their control.

The builder made no offer of settlement.

The adjudicator’s findings

The adjudicator noted the sales brochure and drawings included a statement that dimensions were for guidance only and there could be very small variations. The actual variation of around 800mm or less was not enough to have made the difference between the buyer being informed or uninformed regarding their purchasing decision.

The adjudicator also found that the material supplied to the buyer prior to purchase indicated there was a single parking place for the home.

Finally, the adjudicator noted that the home is adjacent to a large sewage treatment plant and the buyer could and should have been aware of this prior to purchase.

Decision

The claim did not succeed.

Learning points

For buyers:

  • Check the small print. Builders are required to provide accurate and truthful information, but there will be some instances where final details are subject to change based on circumstances that cannot be fully predicted. In this case, fire safety requirements impacted the bedroom size. If you want reassurance, check with your builder what would be considered a ‘small variation’ so you can decide whether you’re comfortable with that level of uncertainty. Under the Code, builders are required to notify buyers about significant changes that alter the appearance or use of the home, but that did not apply in this case.
  • Consider access and flexibility. Talk to your builder about parking – not just your own parking space(s) but whether additional parking is available for family, friends and other visitors. If this is important to you, it’s worth making sure your chosen home offers the flexibility you need.
  • Get to know the area: Your solicitor should conduct local searches which will show utilities, roads and other infrastructure in the immediate vicinity. Your builder should notify you about any neighbouring activities likely to have a material impact on your decision to buy, but it’s important that you do your own research about what is nearby and how that might affect you.

For builders:

  • Be clear about variable information: Make sure buyers understand when information they are given is subject to change or indicative only. Where possible, provide examples of how the information might change so buyers are well informed and can factor that into their decision-making.  
  • Be open about neighbouring activities: Solicitors are responsible for running local searches, but you do have a responsibility to inform buyers about neighbouring activities that could impact their decision to buy, such as proximity to businesses that may create noise or traffic pollution.

Adjudication Case HOME008477

Tags

Did not succeed, Bedroom, Dimensions, parking, odour

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