This case study from the New Homes Quality Board highlights how poor after-sales service and unresolved damp issues can lead to significant customer dissatisfaction resulting in compensation claims. Developers can learn key lessons on communication, remediation and compliance with the New Homes Quality Code.

Summary of the complaint

A homeowner reported persistent damp, mould and fungal growth, alongside plumbing leaks and structural defects. These issues were raised within seven days of the customer moving in. Repairs were delayed and incomplete, and communication from the developer was inconsistent. Further damp and mould appeared in the hall, bathroom and living area which the developer monitored but failed to take any effective remedial action.

Additional snagging issues were identified and – while some works were completed – several issues remained outstanding.

Goodwill gestures, such as a promised garden shed and utility bill contribution, were not honoured.

The New Homes Ombudsman’s decision

The complaint was partially upheld, and the customer received £6,158 in compensation. The Ombudsman found that the developer failed to address root causes of moisture issues and its response had been reactive rather than addressing the issues in a timely manner. The developer did not meet standards under Part 3 of the New Homes Quality Code relating to after sales and complaints.

Key takeaways for developers

  • Investigate thoroughly: Address root causes, not just symptoms.
  • Ensure timely and lasting remediation: Avoid temporary fixes.
  • Communicate transparently: Keep customers informed and honour commitments.
  • Treat customers fairly: Consistent and respectful engagement is essential.
  • Follow through on goodwill gestures: These help restore trust.

Conclusion

Proactive and transparent after-sales service is essential for maintaining trust and compliance. Developers must go beyond surface-level fixes and demonstrate genuine commitment to resolving issues thoroughly.

New Homes Quality Code

New Homes Quality Code

More than 50% of all new homes sold in England, Scotland and Wales are now protected by the New Homes Quality Code. We outline how housebuilders can comply.  

Find out more Read more about New Homes Quality Code