gemcraft home bankruptcy
My home builder filed for Chapter 11, what does that mean for me?
I was getting ready to have a home built by Gemcraft Homes but I just found out that they filed for chapter 11 bankruptcy. Should I proceed in building my home at the negotiated cost or find a new builder?
Will this hurt the value of the neighborhood?
Also does this mean that I will get less quality if I choose to have them still build my home?
Although a Chapter 11 filing provides them with protection from creditors in the hope they can turn profitable, there is no guarantee that this will happen or that the company will not go belly up halfway through your house. Obviously, if they go from Chapter 11 to Chapter 7 after starting but not completing your house, you would have no recourse in getting it finished by that builder.
As for quality of the product, they may try to cut corners to eke out a profit, but who knows.
