ᐅ Delivery issues, material shortages – as of October 2022

Created on: 19 Oct 2022 08:12
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Nixwill2
Hello everyone,

Since July, we have had our approved building permit / planning permission, but since then, absolutely nothing has happened on the part of the home builder (prefabricated house). No planning is being done until the selection appointment, and we have now been given an appointment for this in February 2023.

The original timeline was for the basement in December 2022, the house about 4-6 weeks later, and moving in roughly April-May 2023.

Now we are being told that the basement will arrive at the earliest 2-3 months after the selection appointment, the house will be delivered not 4-6 weeks later as originally planned, but in 5-6 months, and the finishing work will take not 3-4 months but rather about 6 months.

Overall, this means that it could be a whole year later before we can move in than originally agreed.

We have a construction contract under the building code. Unfortunately, the contract does not say a word about delivery or move-in dates (I know, we were quite naive and foolish to trust the sales representative so much).

All of this is repeatedly explained by missing materials and supply problems, although we actually believe that the builder overcommitted with orders, took on way too much (before everything completely collapses), and now cannot deliver quickly enough.

(Of course, we are also struggling with costs and cannot and do not want to just stand by. Losing the subsidy hit us pretty hard, then of course the general price increases — from June 2023 we will have to pay the full loan plus our current rent, and from November 2023, also default interest at the bank. The kitchen is scheduled for delivery in May 2023, which will bring price increases and storage costs to us, and as I said, the selection appointment hasn’t even happened yet—we don’t even want to know the prices for floor coverings and such.)

What I really want to know from you is: what is the actual current situation regarding raw materials? I have lost track and hear here and there that things have actually stabilized. Sure, it’s not like before (order today, arrive tomorrow), but if you plan smartly, you can usually get your materials on time. It’s no surprise anymore that if I need insulation for a house in four weeks, it will work out.

What can you tell me about this? Is the delivery situation still as bad out there?

Best regards
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Myrna_Loy
19 Oct 2022 10:36
Nixwill2 schrieb:

The thread title expresses my actual question, and I have already received answers that I’ve also heard in personal conversations with a few people (if you plan properly, almost everything should work out quite well).

That is simply not correct. The biggest issue right now is staff shortages, at least in our region in southern Bavaria. For months, most companies have been operating with only two-thirds of their usual workforce. Sometimes even less, or none at all, because employees with COVID cannot be sent to work. If in a medium-sized company one of the two experienced journeymen is absent and the new apprentices aren’t the most skilled, then basically nothing gets done. A plumber told us that their current priority is repairs rather than new construction, because you can’t just leave a daycare center without heating or have the lift system in a nursing home fail for four weeks. An alarm and locking system installer recently postponed our work because his most capable employee can only work part-time now, as his wife is seriously ill and he needs to take care of her and the children. First, try to have a conversation and don’t immediately assume that everything is due to poor planning or greed.
Nixwill219 Oct 2022 10:51
For now, I’m not focusing on the house’s interior work or the trades involved. My concern is why the production of the house at the factory is taking so long that even the scheduled assembly date is uncertain. Whatever impact COVID-19 has had, every company has to deal with it, but that shouldn’t really be the main issue... As I mentioned before, I suspect there’s another reason.

Also, postponing the final selection process only costs us more time and money, even though our choices could have been ordered a long time ago.

Don’t get me wrong—I’m starting this thread to find out how things are going elsewhere, so I can get a realistic idea for myself. I need some kind of benchmark to follow up on things; otherwise, they could keep playing this game with us for another five years.
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xMisterDx
19 Oct 2022 10:58
At the moment, it is impossible to make a reliable forecast; that is the only reliable forecast one can make. Everyone is currently operating on a day-to-day basis. There may be disruptions due to COVID-19, and disruptions caused by other illnesses are also possible.

However, there can already be severe reductions in production or even complete shutdowns because companies simply cannot afford to pay for energy anymore.

Anyone who believes "This can’t be happening" or "Companies must have this under control" is welcome to apply. We are currently desperately looking for people who can source materials that, due to shortages, no supplier can provide to us at reasonable prices within a foreseeable timeframe.

And if we have to buy these materials at exorbitant prices, then it doesn’t make sense to proceed. At the end of the day, we all work to earn money. If we have to bring money to work, there’s no point in getting up in the morning.
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WilderSueden
19 Oct 2022 11:18
Nixwill2 schrieb:

Delaying decisions until the final selection appointment only costs us more time and money, even though we could have placed our order long ago.

What does your representative say about that? I would seriously put some pressure on them considering their substantial commission. Such a late appointment at the selection center cannot be reasonably justified by endemic COVID-19 or delivery difficulties.
Nixwill219 Oct 2022 11:23
@xMisterDx
I’m not looking for predictions, I just want to hear how things are going for others. After all, we’re not the only ones here building a prefab house...

@WilderSueden
That’s just it—the sales representative says he’s not involved with this scheduling, but even the business owner referred me to the staff member who handles appointments back in June... They keep passing me along, and this staff member bluntly says there are no earlier appointments available...
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xMisterDx
19 Oct 2022 11:23
It is also a misconception that the general contractor will just click "purchase" once the material selection is complete. Where is he supposed to store all that material until mid-2023? Moreover, his warranty with the manufacturer starts as soon as the goods arrive, not when he installs them.

Some people have unrealistic expectations here...

PS:
It's the same for others as well.