ᐅ Final inspection of new construction despite missing heat pump. Is this a major defect?

Created on: 18 Sep 2022 17:35
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HessamA
Hello dear forum members,

In March 2021, we purchased a house from a developer under a standard developer and broker contract. The handover is scheduled for September 28, 2022. The contractually agreed deadline is September 30, 2022. In a letter regarding the handover, the developer noted that the heating system will not be fully completed by the handover date and that we will have to work with temporary solutions. He did not specify exactly what is missing or what these temporary solutions involve. However, based on verbal statements, we know that the heat pump is missing. Isn’t the absence of the heat pump a significant defect that would justify refusing the handover? I have the impression that the developer wants to push through the handover before the deadline to avoid possible damage claims.

Thank you in advance for your help.
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HessamA
18 Sep 2022 23:57
Thanks for the effort you’re putting in. I really appreciate it.

So, what I’ve gathered so far is that I first need to find out what alternative he is offering here. I wasn’t familiar with mobile heat pumps. In my ignorance, I assumed a solution like electric heating and instantaneous water heaters, which thankfully would have been nonsense. Is a simple phone call enough here, or do I need to have the solution in writing to have something solid to refer to?
11ant19 Sep 2022 02:14
SaniererNRW123 schrieb:

No, according to the real estate agent and developer regulation, the final installment of 3.5% is still due after full completion. In this regard, a handover (handover with a defect report) could take place. In my opinion, it depends on the temporary solution. For an average house costing €500,000, the original poster would still be holding back €17,500. So, it depends on the value of the defects.
I would also have recommended a handover with a defect report as appropriate—if only the word "if" wasn’t there (and if the developer behaved professionally), but unfortunately, you probably have to formally request this first. In my view, a heating system that is not operational and permanently installed by the agreed handover date can only be provisionally considered as meeting the agreed delivery if the developer provides timely, clear statements on the following points:
a. technical concept of the temporary system and its expected duration of use;
b. concessions regarding the higher operating costs of the temporary system and, if applicable, compensation (“pain money”) for its more complex operation;
c. how to handle any extensions of the expected temporary phase.
So far, the developer has not deemed it necessary to address these matters, although (hopefully!) they have been professionally building residential properties for "consumers" commercially for some time.

Up to now, the original poster has reason to fear that the temporary solution might continue under conditions like “wear three jackets layered” or “keep yourself warm by thinking warm” until who knows when—or at least until God knows when. I consider this attitude completely unacceptable and worthy of strong rejection. I can imagine that following my suggested approach (which notably does not involve any threats or overreactions), the original poster might end up “like nothing the world has ever seen” at the very top of the developer’s heat pump waiting list. The one who challenges quietly loses out.
HessamA schrieb:

In my ignorance, I assumed a solution like electric heating and instantaneous water heaters, which thankfully would be nonsense.
You are indeed uninformed—but mainly because your contract partner has not clearly communicated so far. This solution would only be nonsense in theory—there is no guarantee that no one would dare try it in practice.
HessamA schrieb:

Is a simple phone call enough here, or do I need written communication to have something solid?
You can’t be serious about that question. When dealing with slick operators, always communicate in writing—better to send one registered letter too many than one too few.
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allstar83
19 Sep 2022 09:05
Maybe consider hiring a building expert for the inspection? Depending on your interests, they could become the scapegoat...
K a t j a19 Sep 2022 09:46
11ant schrieb:

When dealing with tricky people, it's always better to communicate in writing—better to send one registered letter too many than one too few.

Basically, it is advisable to use written communication for major defects, even if the general contractor (GC) is your best friend ever. I wouldn’t assume any cunning behavior here just yet. Everybody seems to have noticed that technical issues have become quite common lately. The GC is not acting fraudulently to cause the defect—if you want fraud, you might rather take that up with Mr. Habeck.
It is clear that he needs a formal acceptance process. He cannot keep all projects listed as unfinished until the end of time, otherwise he would have to declare bankruptcy tomorrow. The big question remains: what alternative does he offer? Here, I would try to find a joint solution through discussion. If nothing or very little comes out of it—lawyer.
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allstar83
19 Sep 2022 10:48
One more thing. We did an interim inspection before moving in (the carport and some other things were still missing). I’m not sure how correct this is legally. However, during the time until the final inspection, it was possible to test the entire house and they probably noticed one thing or another.
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HessamA
19 Sep 2022 11:11
Hello everyone,

I had a lengthy phone call with the builder today. He told me that there is currently an electric heating system in the house that heats the entire building. This is necessary because of the screed and is intended to warm the whole house. He assured me that he will cover the costs for the electric heating during the temporary period without any issue. He also guaranteed that we will have hot water by the handover date. He will inform me about the precise details later. Since there will be additional costs due to the temporary setup, he will fully cover all of them. We will document this agreement in writing in the handover report. He also offered that I could withhold the security deposit, which is set at 5% in the realtor and builder contract, citing the argument of incomplete completion. He is fine with that.

When I asked if he could provide written confirmation of what we discussed, he declined, stating that everything is contractually agreed and does not require separate written confirmation. He said that the heat pump arrangement will be formally recorded in writing at the handover appointment. However, we will not be able to set a deadline there because the supplier – the company Vaillant – currently cannot provide a delivery date or any further information.

What is your opinion on this?