This homeowner lost $170K in a home-building horror story

Building a home is often seen as a milestone, a dream come true for many Australians looking to settle into a comfortable retirement. However, for David Hawkins, what was supposed to be the beginning of a blissful new chapter turned into a five-year nightmare that cost him an additional $170,000 and, he believes, contributed to his prostate cancer diagnosis.

David Hawkins, a 73-year-old former air traffic controller, embarked on his home-building journey with high hopes. He envisioned a peaceful retirement with his wife in their dream home in Ashfield, northeast of Perth, Western Australia. But the reality that unfolded was far from the dream he had imagined.


The project began with promise in 2019 and quickly descended into a series of stressful events. The first major setback occurred when workers discovered groundwater during earthworks, posing a significant flooding risk. The builder's solution was to raise the house by about a metre, a plan Hawkins agreed to, assuming that the necessary council approvals would be sought. However, he later discovered that the builder had not obtained these approvals.


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David Hawkins experienced extreme stress and financial loss during a five-year home-build nightmare. Credit: Shutterstock


Despite this oversight, construction continued at a snail's pace until a significant storm in May 2021 revealed the severity of the groundwater issue. The undercroft area flooded, trapping water behind the garage walls. The builder downplayed the problem, assuring Hawkins that it would be resolved. But when work on the house came to a complete standstill, Hawkins' concerns grew.


Seeking peace of mind, Hawkins contacted the council, only to discover they had no communication from the builder regarding the alterations. When Hawkins confronted the builder and threatened to take the matter to the State Administrative Tribunal (SAT), the builder's response was a chilling threat: 'If you do that, the place will never get finished.'

Undeterred, Hawkins filed a complaint with the SAT and commissioned a geotech report. The report revealed that the builder's excavation had intersected the water table, causing flooding during the storm. The report also criticised the ineffective drainage system installed by the builder, which exacerbated the problem.

Frustrated and financially drained, Hawkins took legal action to reclaim the build in mid-2022. He was successful, but by then, he was significantly out of pocket and still faced 20 per cent of the construction to complete. With the help of his contractors, Hawkins finally moved into his home in early 2023.


The emotional and financial toll of this ordeal was immense. Hawkins suffered from mental health issues and anger, and he believes the stress contributed to his prostate cancer diagnosis. Reflecting on the tumultuous years, he fought back tears as he shared his story, not for compensation but as a cautionary tale for others.

Hawkins advises fellow Australians considering building a home to be extremely selective with their choice of builder. He urges potential homeowners to read reviews meticulously, seek references, and ensure that all necessary approvals are in place before signing any contracts.

This harrowing experience is a stark reminder of the potential pitfalls of home building. It reminds us that due diligence, constant oversight, and clear communication with builders and councils are crucial in ensuring that the dream of building a home doesn't turn into a costly nightmare.

Key Takeaways

  • David Hawkins experienced extreme stress and financial loss during a five-year home-build nightmare.
  • Groundwater issues and lack of proper council approvals contributed to delays and additional costs.
  • After the builder failed to address the problems, Mr Hawkins took legal action and eventually reclaimed the building, completing it with his contractors.
  • Mr Hawkins warns others to research builders thoroughly, read reviews, and seek references before entering into a contract to avoid similar issues.
Members of the Seniors Discount Club, we invite you to share your own experiences with home building. Have you faced similar challenges, or do you have tips for navigating the construction process? Your insights could be invaluable to others in our community looking to build their own dream homes. Let's discuss in the comments below and support each other through these significant life projects.
 
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Yet another horror story that evidences the horrific mess the building industry is in - due substantially to poor regulation and corrupt or seriously ineffective regulators.
There are tens if not hundreds of thousands of similar stories. A Building license is now seemingly a license to extort and defraud, and there are too often no consequences for builders who engage in such crimes. Poor training, no work ethic, sloppy licensing policies and lack of respect for clients leads to shoddy workmanship.

I have a similar story, and what enrages me is that the so-called ''regulator'' determined that it ''was not in the public interest'' to take action on fraud and extortion and many other evidenced offences by a builder because he closed his company. He walks away with a bank account loaded and leaves a trail of destruction - at least 17 families badly hurt and potentially homeless - and he suffers no consequences. Police say it's a QBCC matter, despite fraud and extortion being serious crimes. Nobody in authority cares.

The consumer contracting with a residential builder today has less effective consumer protection than someone spending $5 at a discount store. The contract is meaningless because it costs far too much for a consumer to enforce it. A recent court case in North Qld finally concluded after SIX YEARS and the client spending $1.3 million on legal costs. How many could afford that much to challenge a builder's shoddy work or a regulator's wrong determination?

We need change urgently. This is the second article like this I've seen today and I'm very pleased that finally the public is being alerted to the problems in the building industry. I hope many will support the demand for reform.
 
Yet another horror story that evidences the horrific mess the building industry is in - due substantially to poor regulation and corrupt or seriously ineffective regulators.
There are tens if not hundreds of thousands of similar stories. A Building license is now seemingly a license to extort and defraud, and there are too often no consequences for builders who engage in such crimes. Poor training, no work ethic, sloppy licensing policies and lack of respect for clients leads to shoddy workmanship.

I have a similar story, and what enrages me is that the so-called ''regulator'' determined that it ''was not in the public interest'' to take action on fraud and extortion and many other evidenced offences by a builder because he closed his company. He walks away with a bank account loaded and leaves a trail of destruction - at least 17 families badly hurt and potentially homeless - and he suffers no consequences. Police say it's a QBCC matter, despite fraud and extortion being serious crimes. Nobody in authority cares.

The consumer contracting with a residential builder today has less effective consumer protection than someone spending $5 at a discount store. The contract is meaningless because it costs far too much for a consumer to enforce it. A recent court case in North Qld finally concluded after SIX YEARS and the client spending $1.3 million on legal costs. How many could afford that much to challenge a builder's shoddy work or a regulator's wrong determination?

We need change urgently. This is the second article like this I've seen today and I'm very pleased that finally the public is being alerted to the problems in the building industry. I hope many will support the demand for reform.
Well, it seems to be happening a lot in this country. From House building to roading contractors. The whole problem is there needs to be a Federal Law, as each state just decides what and how the law works.
 
The federal government and statue government are really quick in passing laws that either take your rights away and any new tax they can come up with but anything to Do with builder ripping people off, going into bankruptcy or just not following the building codes it seems it’s to hard.
the caravan industry is the same, the government looks the other way, if it does not fill their pockets $$$$$$ their not interested.
these industries in my opinion are the biggest Scams out there.
 

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