Project Summaries 2010-2011 - Homeowner Protection Centre

170 Sheppard Avenue East, Suite 202
Toronto, Ontario
M2N 3A4
Tel.: 416-961-3487
Fax: 416-975-8819

New Home Builder Customer Service Best Practices

$42,000

In 2006, the JD Power survey of New Homebuyer Satisfaction in the Greater Toronto Area (GTA) noted that the average builder in the GTA reported over 38 problems for each new home built. It noted that almost one third of all respondents were dissatisfied with their purchase. With over 225,000 housing starts across Canada last year, there are tens of thousands of unhappy new housing consumers across the country every year. Virtually no other manufactured product in Canada is plagued by the defects and deep dissatisfaction that is found in the new home market. The Homeowner Protection Centre (HPC) seeks to address the serious concerns expressed by consumers.

Research conducted in 2005 by the Canadian Home Builders Association suggests that poor customer service tops a list of homeowners’ complaints. Homebuyers surveyed said that on warranty service, builders often offered poor or delayed service and were hostile about making the repairs.

Expected Outcome

This project will develop an understanding of how exemplary builders deal with their customers. It will identify and document best practices that can be shared with builders across Canada to the benefit of consumers. A preliminary literature search of available research revealed little detailed information on customer service practices available for builders to use.