Buyer beware – Kamloops woman waiting for her new home

Alferink says she’d been in contact with Metro Modular Homes for updates on when the home would arrive, and the company was also assisting with her rent costs while she waited.

“I was trying to contact him (the owner) again in January a couple of weeks ago. No answer, another email – no answer. Tried to call – no answer. I drove by – nobody there.”

Shortly after, Alferink was contacted by a Metro employee who she claims told her the owner had left, and it wasn’t clear what the status of her home or deposit was.

Now worried about the home she’d ordered, and what happened to the large sum she’d used as a deposit, Alferink is trying to get assurance the home will still arrive. The single mother had opted for a modular home because it was one of the few options she could afford in the Kamloops area.

“You go to see what can you afford, and that’s like stratas or estates like this, and that’s a way to come into the community, and then this happens and now I’m stuck.”

The owner of Metro Modular Homes did not return CFJC calls for comment by publication time. But company employees are actively reaching out to clients to keep them up to date.

A legal expert says consumers should note that purchasing a manufactured home is not in the same contract category as a real estate purchase.

Real estate sales have deposits held in trust in case a deal falls through, so clients can have their money returned to them in full. Whereas when purchasing a brand new item like a manufactured home or car, you may or may not get all of your money back.

“Then you have this buyer’s lien for your deposit but that’s only good, so to speak, if there’s any assets remaining,” explains TRU Law Professor John O’Fee. “You do rank ahead of their lender, like a bank that might be lending the business but if there’s zero there for example, then you might lose your money.”

O’Fee and other legal experts advise buyers to be extra careful when large sums of money are used as purchase deposits and to have it held in trust.

“You’re better advised to make sure it’s properly held in a trust account, through a realtor in the case of a real estate purchase, or your lawyer, or even the seller’s lawyer,” says O’Fee. “As long as it is being held in a trust account by an insured professional, you can rest easy knowing if something happened and the deal went sideways through no fault of your own, you would be getting that money back.”

Alferink meanwhile, is trying to determine what is going on with the funds she had deposited – still holding out hope that she’ll be able to live in Kamloops in the modular home she’d ordered.

“But I don’t know how long that will take. Will that be this year, next year? I can’t wait another year.”

by CFJC Today

Buyer beware – Kamloops woman waiting for her new home

Our Community