Lennar is still offering lots of bargains for their Florida properties, but even they are beginning to change tactics. They were developing a project in Orange County, California, and decided to take the homes off the market and wait for better prices. In stopping all of their development there, they refunded deposits they had already taken from some buyers.
I wonder what recourse those buyers have ... especially if they've been waiting for their home completion and losing other opportunities. Time is money. Any California agents have comments on your contracts out there, and what happens in this situation?
Hey Sharon,
I doubt they would have any recourse if the builder refunded their money, besides, they are probably better off if housing prices have dropped in that area and the contract price was higher than what the home when completed would be worth?
Just my thought.
Sean Allen
The Mortgage Professionals
I believe the Lennar contract takes very good care of Lennar, and they will not be penalized.
The contract is a 47 page wonder, with return of deposit pretty much the only remedy to the customer.
Jonathan - you're right. The Lennar contracts are not buyer friendly.
Sean - that's a good perspective. If prices are going down, they're better off without the contract.
Mike - yes, if I'd stopped to think about the Lennar contracts my buyers have down, that's absolutely correct.