New Home Development – Check Availability of Cable, Phone and Internet Service

Sept. 26, 2010 - PRLog -- New Home Development – Check Availability of Cable, Phone and Internet Service

Imagine being lucky enough, especially in today’s economy, to purchase a beautiful home in a new home subdivision. You are very excited! You have moved up, relocated to the area or possibly just needed more room for your family. The utility companies are contacted to arrange for power, gas (depending on availability), and water and sewer service. You also try to arrange for cable, phone and internet, often referred to as “nonessential” services, only to be told they are not available yet in your community. Your immediate reaction is, “what, you have to be kidding me!”

With slower home sales, abandoned subdivisions, and economic uncertainly, this occurrence is becoming more of a reality with service providers prioritizing installation of infrastructure until there are a sufficient number of customers to provide an acceptable return on their investment. Worse, there may be no way to know exactly when these services may become available or your options may be severely limited.

Seemingly unheard-of until a few years ago, this may be developing into a nationwide problem. Unlike public utilities, availability of cable, phone and internet is not required to obtain a certificate of occupancy, generally required before you can move in.

Developers are generally only required to install utility infrastructure like power, water and sewer, along with streets, some sidewalks and streetlights. It may be time to make installation of cable, phone and internet infrastructure part of that requirement, although this would undoubtedly increase the purchase price of lots and, like building permits, impact fees and other associated costs, may make those properties less competitive.  These services are almost a necessity in today’s technological world and economy, especially with so many people working from home.

Would you knowingly purchase where these “nonessential” services were unavailable? Disclosing this basic expectation of service can and has resulted in loss of sales. Not disclosing brings potential risk to the developer, builder, REALTOR®, and property owner. It is “Buyer Beware” in Alabama. Don’t assume; ask about availability of service and get it in writing. As with any real estate transaction, especially one where the property is subject to a Homeowners or Condominium Association or is in a new subdivision, seek professional advice before making a purchase offer.

If you would like further information, please contact The Alabama Concerned Homeowners Alliance (ACHA), a grassroots organization created to act as a voice for homeowners in communities governed by Homeowner Associations (HOA’s) and Community Covenants and Restrictions (CCRs). Its goal is to identify issues facing purchasers and homeowners and assist in developing possible disclosure, accountability and protective solutions to relay to legislators, the Alabama Real Estate Commission, Multiple Listing Services and other professional organizations. Its ultimate goal is the enactment of reasonable but effective protection for new purchasers and current homeowners for the largest investment most of them will make in their lifetime. Further, it is their intention to promote consumer confidence, and increase property sales, a win-win for all parties involved.

To learn more about promoting disclosure and transparency in your community, visit the Alabama Concerned Homeowners Alliance website at www.alabamahoa.org, contact them by e-mail at acha@knology.net or by phone at (256) 829-8774.

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ACHA is grassroots organization created to act as a voice for homeowners in communities governed by Homeowner Associations (HOA’s) and Community Covenants and Restrictions (CCRs).