New Homes Quality Board case study: Information provided concerning streetlight positioning

For many purchasers, finding the right plot is just as important as finding the right property, and many different factors can sway this decision. This recent case study demonstrates how complaints may arise from misinformation being provided to purchasers which influences their plot selection at reservation, even where such misinformation may seem insignificant to developers and is provided as a genuine mistake.

What was the complaint?

A streetlight was constructed directly outside of a homebuyer’s window, despite the home builder advising at reservation that the nearest streetlight would be across the road, out of sight from the property.

It subsequently came to light that the sales adviser of the home builder had incorrectly interpreted the development plan. Unfortunately, the misinformation was relied on by the homebuyer and was a key factor in their decision to reserve and complete on this particular plot.

When the issue was raised by the homebuyer, the streetlight was relocated. It was, however, still visible from the property and there was a three-month period during which the drive to the property was obstructed by the streetlight column.

Was the homeowner’s complaint upheld?

The complaint was upheld, and the customer was awarded £1,500. The Ombudsman concluded that the requirements of the New Homes Quality Code had not been met for the following reasons:

• the homebuyer was entitled to expect that the sales adviser would give them correct information; and
• the homebuyer had suffered both temporary and permanent inconvenience.

Practical tips

In order to mitigate the risk of homeowners making successful complaints regarding misinformation, developers should ensure that:

• sales advisers are fully informed on developments, by way of adequate training and access to correct information;
• sales advisers understand the importance of providing accurate information to purchasers, even when such information may seem trivial;
• there is an appropriate forum for sales advisers to raise queries or verify information;
• there is a clear structure in place to deal with any after-sale issues and this is explained to homebuyers.

^{This article was co-authored by Abbie Lockwood.}