STUDGLOVE
Posts:171
 | | 04/11/2008 10:02 AM |
 Alert | I recently closed escrow on my new house on feb 29th. Since then I have recieved several 20 day preliminary lien notices that state that the builder has not paid their subcontrators. I also at this point have two official liens on my house that have been recorded through pinal county from different subcontractors not paid by my home builder. What can I do to protect myself? I got my loan funded and have made my payments. How and why can they do this to me? Any advise would be greatly appreciated. Thank you! | | | |
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Mommybrittany
Posts:250
| | 04/11/2008 11:32 AM |
Alert | | Who is your builder? Are they potentially "going under?" A preliminary lien is just "paper work." (what we call it as a builder) It doesn't hold any real value. Official liens on the other hand, are something I would be highly concerned about. I would contact your builder. Surpass the represtentative and request a supervisor and/or director of their warranty department. They are able to do this to you because they performed the work on your property. And the lien is put against the property (and current owner) regardless of the responsible party for payment. If two liens have become official, I would mention the preliminary liens as a concern. | | | |
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twostep23
Posts:1689
| | 04/11/2008 11:41 AM |
Alert | I would check with your title company.....that is why we pay title insurance. To ensure a clean title. | |
Senior Member
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TimothyRobin
Posts:4
| | 04/11/2008 12:07 PM |
Alert | | Contact any friend that you have that is a realtor, and ask advice, if they can't answer all of your questions they know someone who will. You are not the only one it seems. Here is a recent article from the Republic: http://www.azcentral.com/realestate/articles/0228biz-randall0228.html and from that article I suggest you contact the AZDRE here is their site for info: http://www.re.state.az.us/ . Another handy link is the Arizona Secretary of State's Office: www.azsos.gov . | | | |
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STUDGLOVE
Posts:171
| | 04/11/2008 2:31 PM |
Alert | | the builder is elite communities. From the look of things, they must be going under. The total of the official liens and prelim notices is close to $20,000! They acrue interest at %24 per year. By the time the house is paid off they could be close to 1 mil. if not taken care of. I have contacted the builder and they give me the run around. Called the title company and they havent returned calls. I called the AZDRE and they told me to mail them the notices along with purchase contract. This is a nightmare! | | | |
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Mommybrittany
Posts:250
| | 04/11/2008 2:55 PM |
Alert | | Sorry to hear Studglove - that does not sound fun at all!! The problem is, during the "boom" builders and subcontractors had a positive cash flow, that payment of bills "on time" wasn't a priority. Now that the economy is slow, everyone is looking to get paid for the work that was completed a year ago, and the builder is stating they didn't submit in a timely manner per contract. It's a big fiasco for all parties, but the homeowners DEFINITELY shouldn't be the ones punished for it. Good luck to you! | | | |
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STUDGLOVE
Posts:171
| | 04/11/2008 3:13 PM |
Alert | | so I suppose my next question is.... does anyone know of a good attorney that can help settle things like this? | | | |
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Mommybrittany
Posts:250
| | 04/11/2008 3:21 PM |
Alert | | I do not, have you tried the BBB though? | | | |
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STUDGLOVE
Posts:171
| | 04/11/2008 3:29 PM |
Alert | | no, I have not. I am very new at all of this. | | | |
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Mommybrittany
Posts:250
| | 04/11/2008 3:50 PM |
Alert | | I can imagine, I would possibly try them. (I can call your builder and see if I can get anywhere with them if you'd like, I'm in the business, so I know the lingo) | | | |
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STUDGLOVE
Posts:171
| | 04/11/2008 3:58 PM |
Alert | | i may ask you to do that for me. I got the email adress to the president of the company and have written him. We'll see if he replies or even lights a fire under one of his minions to take care of me. When i look at the BBB am i looking for a real estate attorney, construction attorney? | | | |
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Mommybrittany
Posts:250
| | 04/11/2008 4:13 PM |
Alert | | So, I did a little research. For the BBB it would be under construction - the lien is for the work completed on your home, not real estate attorney. (and if it is different, once filed they will point you in the correct direction). E-mail is good documentation to have, but the President of most companies get a ton of e-mails, and yours probably will not be a high priority for them until they read it. I would CALL, CALL, CALL (the president)! The official liens need to be reversed, and no payment should come from you. The companies who put the liens on your house can't do much, and wont. You need to "light the fire" under Elite's booty! I'll be happy to assist in anyway I can. Wait to get an attorney until you have actually talked with the President of the company. And DEFINITELY mention legal action WILL be taken if this matter is not resolved in a timely manner. | | | |
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STUDGLOVE
Posts:171
| | 04/11/2008 4:23 PM |
Alert | | thank you very much for all your help. I am currently mailing a copy of all the liens and notices to the AZDRE. They said once they recieve them they will have someone investigate. Not sure how much help will come from that, but its a start. I will start calling elite daily and threaten legal action. I truly hope it doesn't come to that. | | | |
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Mommybrittany
Posts:250
| | 04/11/2008 4:33 PM |
Alert | Anything I can do to help a neighbor! It sucks, especially since you JUST closed on your home! I don't think it will get to the point where legal action is needed, but if they are going under...
Good luck. If you need anything else, let me know and I'll see what I can do. | | | |
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Takingabreak
Posts:334
| | 04/12/2008 4:41 AM |
Alert | Studglove,
Elite should have a bond posted with the Arizona Registrar of Contractors as well. Contact them to see how to put your name first in line to use the bond. http://www.azroc.gov/index.shtml This page has a lot of good information on it.
It looks like Lance Keller has two licenses http://www.azroc.gov/clsc/AZROCLicenseQuery andhttp://www.azroc.gov/clsc/AZROCLicenseQuery
You might also contact the Home Builder Association of Central Arizona http://www.hbaca.org/index.cfm for help, they have great infromation and may be able to give you attorney names.
Also you might try talking to someone in accounting at Elite, they usually handle the pre-lien and lien processes and might be able to answer your questions.
Please keep us updated as I am sure others will be going through the same thing you are.
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Need a tax write off? Donate to the Maricopa SALVATION ARMY EMERGENCY SERVICES FUND. | |
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Takingabreak
Posts:334
| | 04/12/2008 6:42 AM |
Alert | I thought of something else.
Which company issued the lien? Maybe you can start calling them to see what the status of payment is. Could be they have been paid (late) and will be releasing the lien soon.
If you let us know who the company is, maybe Mommybrittany or I could get you the phone number if it isn't already listed. | |
Need a tax write off? Donate to the Maricopa SALVATION ARMY EMERGENCY SERVICES FUND. | |
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jeeptj02
Posts:142
| | 04/14/2008 12:32 AM |
Alert | | good luck with elite! I was having a house built by them 2 years ago and they are sooo horrible at every aspect of building homes i ended up walking away. of course i lost my earnest money but looking back it was a choice well made especially if there going under. If i remember correct the person that owns maricopa broadband is the same one that is doing elite. | | | |
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STUDGLOVE
Posts:171
| | 04/14/2008 9:04 AM |
Alert | | today starts another round of phone calls. I will keep everyone posted. Thanks again for the care and concern. | | | |
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STUDGLOVE
Posts:171
| | 04/14/2008 10:52 AM |
Alert | i have talked to both the AZROC and the Home builders association of Central Az. None of them could be of any help at all. The ROC it seems is an advocate for the consumer when the contractor doesnt do the job or doesn't finish. They said they have nothing to do with liens. The HBACA had no clue what to do. Elite hasnt been answering phones today so it's the AZDRE which is my last hope. They will be receiving all the paperwork I sent them tomorrow. Hopefully they can help. If not, its off to finding an attorney.
PS
Taking a break, the liens are from L&S Enterprises Distinctive door, and from Roadrunner Drywall corp. The distinctice door bill for sure has not been paid because Elite did tell me that much. I doubt the drywall was paid either. | | | |
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Mommybrittany
Posts:250
| | 04/14/2008 11:16 AM |
Alert | Hey STUDGLOVE!
Sorry to hear things aren't going well yet. You could call the contractors, but they really wont tell you much, except they haven't been paid. They aren't too concerned about the "customer (you)" when it comes down to it. They want money for work they completed. I hope the AZDRE helps you out... | | | |
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