Home builder blames “COVID-19” for not addressing warranty issues

COLORADO SPRINGS — Our News 5 investigative group is tracking a pattern of issues in opposition to a Colorado house builder.

Considering that the start out of the COVID-19 pandemic, various home owners have filed complaints with the Much better Small business Bureau with a person typical difficulty—they say they builder will not likely honor its warranty.

It is really no key—new property development is popping up everywhere you go in Colorado Springs.

William Sawvel


William Sawvel

William Sawvel not long ago purchased a property from CreekStone Residences on the northeast side of the city.

He suggests because he moved in, his loved ones has professional nothing at all but problems.

“Each individual 3-4 months we have lights pop in the property and we have to change all of them,” he stated.

Sawvel had no difficulties demonstrating electrical challenges for our cameras. For example, just about every time he turns on the vacuum, the lights in the basement flicker.

If you choose a wander on the treadmill in the basement, the gentle also glints.

Originally, William suggests this wasn’t a big issue considering the fact that his residence arrived with a 1-year guarantee.

“With all of the problems we ended up obtaining, my wife and I made a decision it would likely be a fantastic concept to get an inspector to occur in just before the guarantee is up and have him glimpse via the property and explain to us every thing that is incorrect with the dwelling that needs to be preset so that we could send it to Creekstone,” he explained.

In an inspection report acquired by News 5, an inspector observed cracks in the concrete, overdriven nails in the siding which could lead to water hurt together with electrical issues considered as a “protection hazard.”


KOAA Graphics Section

House inspection

Sawvel states ahead of he attained out to News 5, he tried out various situations to get the builder to repair the difficulties.

I finished up sending a few e-mails,” he explained. “I’m just reminding them these are guarantee challenges and we might like these things fastened. They never ever responded.”

The paper trail:

March 17, 2020: CreekStone Houses despatched a generic concept to property owners notifying them that in-home warranty appointments ended up suspended straight away due to issues bordering COVID-19

April 22, 2020: CreekStone sent one more e-mail out indicating that all warranty function on done houses is temporarily suspended owing to the Governor’s “Remain at Household” buy

Nonetheless, Information 5 Investigates identified a opportunity concern. If you appear at the real order from Gov. Jared Polis, we discovered an exemption for providers associated to development, housing, and operate done by electricians and plumbers.

On best of this discovery, William states as he and his spouse have been getting a stroll in the neighborhood, they arrived throughout a CreekStone model household. On the doorway of that residence was a notice that lists a phone selection to set up a displaying appointment.

On line, William said CreekStone Houses pointed out their styles ended up “open up” and appointments for in-particular person tours have been available.

William requested, “How are you owning open houses and then telling people today who possess these properties that we won’t be able to deal with troubles with properties we now bought? Something didn’t appear to be correct.”

William claims right after months of no progress, he resolved to lastly make repairs on his have.

He then filed a lawsuit versus CreekStone Residences to assistance recuperate mend charges.

El Paso County Courthouse


El Paso County Courthouse

A judge awarded him far more than $2,000. Nonetheless, court docket records exhibit CreekStone Residences has not paid out this judgment.

Information 5 Investigates later uncovered CreekStone Households has filed an enchantment to overturn the judge’s ruling. Courtroom documents filed by CreekStone problem regardless of whether the courts need to have had the authority to intervene in this situation. They cited a “Invest in and Sale Agreement” which reportedly states that disputes must be taken care of by means of mediation and arbitration.

“There are other people possessing the exact difficulties (with warranty concerns),” Sawvel said. “They’re not responding or they’re coming up with excuses to not resolve issues.”

We confirmed William’s claim through the BBB’s personal documents.

Because any individual can depart a poor overview against a business, Information 5 made a decision to only aim on the 8 official grievances the BBB has on file within the previous 3 yrs towards CreekStone. On the other hand, it seems all 8 grievances were filed right after the pandemic commenced.

“Much larger challenges have been disregarded by the builder,” just one criticism claimed.

An additional criticism indicated “guarantee get the job done was note finished.”

Information 5 Investigates reached out to CreekStone Households for comment on William’s situation and to even further explore the BBB problems.

Perry Cadman, VP of Operations did not address the BBB issues, but did challenge a statement about William’s courtroom situation.

“Relating to the issue, Creekstone Households has filed an appeal of a verdict in El Paso County District Court involving a dwelling purchaser who at first submitted a claim of much less than $7,500. It is our company’s policy not to remark on pending authorized instances,” Cadman stated.

News 5 also requested whether or not CreekStone Households would be ready to sit down and go over processes and techniques for managing guarantee claims. Cadman declined that prospect.

“At Creekstone Houses, we are happy of our A-moreover score with the Far better Small business Bureau, and we react to difficulties and problems on a well timed basis, with the customer’s finest pursuits in head,” he explained. “We have been in business enterprise for 27 years, and we eagerly appear forward to the next 27. With regards to a conversation on the topic of our guarantee procedures, we will respectfully drop to take part simply because they are so regular and consequently, in our view, not newsworthy.”

William says he however doesn’t have the electrical issues in his home resolved and CreekStone Residences offered no resolution in either statement issued to Information 5.

We are going to retain monitoring the builder’s attractiveness through the court method. 

Guidelines for working with house builders:

Interaction is important—the two right before and immediately after the closing approach. It really is okay to seek out clarification and question queries about a builder’s approach for dealing with warranty concerns.

Comparable to working with contractors, often doc challenges and difficulties in composing. This generates a paper path.

Even if you might be shifting into a new house, it may well be value receiving an inspection prior to closing. Also, be present for that inspection so you can deliver up any challenges you may perhaps discover.

If you experience problems or guarantee concerns usually are not staying taken care of appropriately, you can file formal complaints with both equally the Much better Company Bureau and the shopper protection division at the Colorado Attorney General’s Place of work.

Have an problem you’d like Information 5 Investigates to glimpse into? E mail us: [email protected]