I bought a two-family house for my mom for $25,000 in a crazy market, and now I'm in the thick of a costly renovation. I got quotes from different contractors for a gut renovation with a master suite addition, with prices ranging from $400,000 to $466,000. While working on the house, unexpected costs popped up, like necessary structural changes and added requirements from the town. My cousin, who's helping with the project, told me not to inform the bank about these costs and said we'd figure it out later through refinancing.
Now, the renovation is complete, but they are asking for an extra $148,000 on top of the original quoted price, and I've already poured $40,000 into materials myself. I'm worried they're hiding their profits from me since they won't show receipts for extra expenses, and my lawyer says we don't have a legal leg to stand on without a contract. What do you all think? Am I getting scammed?
3 Answers
Absolutely, it sounds like you’re being taken for a ride. Paying nearly half a million dollars without any written contract is a huge risk! It's clear you need to listen to your lawyer and not pay anything else. Brace yourself for potential legal disputes, especially if you suspect the work might not even be permitted. You might have a strong case here!
Yeah, it sounds really risky. You need to protect yourself here.
Wait, no contract for that type of money? That's just wild! You really should have had a binding agreement, especially for such a big renovation. It’s like cooking a three-course meal without a recipe!
Exactly! That’s like entering a race with no map. You gotta get legal help.
How many people are working on this project, and how long have they been at it? It might give you a better idea of whether the costs are justified or inflated.
At this point, consult your lawyer about how to proceed!