ComplaintsforLGI Homes
Current Alerts For This Business
Since January of 2023, the BBB has received many complaints and customer reviews concerning product issues about new construction of LGI Homes. It has been alleged by consumers there have been numerous warranty issues and repairs as required during walk through inspection, prior to closing. Additionally, some consumers have alleged difficulty in receiving refunds of their earnest money.
While LGI has answered most of the complaints on file, their response is someone will get back to them in 72 hours.
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Complaint Details
Note that complaint text that is displayed might not represent all complaints filed with BBB. See details.
Initial Complaint
02/16/2022
- Complaint Type:
- Product Issues
- Status:
- Answered
I began buying a home through LGI in LaVergne, TN. Things almost immediately went sideways after putting my $1000 down. We were told to drive back to the office for a Zoom meeting with the loan officer, which was an hour-plus drive during a week where plenty was on our plate- our agent knew this. Zoom calls are designed to be done remotely, but we were told we had to be at the office to do it. We get there, connect with Kimber Patrick, and we cannot get started on time because she’s not able to communicate with the agent, Baltazar *******, nor is she able to operate stuff on her end successfully- the majority of the call was spent with her laptop halfway shut so you couldn’t even see her head. She said she read over all of our stuff the night before, but it was apparent she hadn’t because she didn’t even know our names and asked questions that would’ve been easily answered just by reading the first few lines of the application. None of our agent’s notes had even been passed along. A 30-45min meeting took well over an hour. Why we had to be there was still not evident in the end. Later, Kimber emailed us at 9pm asking for very specific financial records by end of day the next day. Again, week was already busy- everyone knew this- and all for a June closing. Expressed my displeasure in this now-now-now approach, but was told it had to be this way. Talked with agent about details on the bathrooms in the house- and was told due to supply chain issues, both bathrooms would have tub/shower combos instead of a master walk-in like the website showed. When I asked him for pics of the home, after the tour, he sent me the link telling me it was just like mine but flipped. No mention of shortages and substitutes. I was told I had within 4 business days to back out without issue, before I was officially approved for a loan. I chose to do so, informing him via email. Too much had gone wrong. Told I’d never see that money again. Sent a cancellation form. No one will return calls.Business response
11/08/2023
Dear Mr. *********,
We appreciate your feedback on your experience with the loan process. There are limited circumstances where the earnest money deposit is eligible for refund, which are outlined in your purchase agreement. Based on the information provided here, it does not appear that any of those conditions were met, which is why the earnest money refund was not approved. We are sorry that you chose not to proceed with your purchase and apologize that you had trouble speaking with someone once you cancelled, this is not up to our standards and not the experience we aim to provide.
Thank you,
LGI Homes
Jessica McDonough
Digital Advertising and Social Media SpecialistInitial Complaint
02/15/2022
- Complaint Type:
- Product Issues
- Status:
- Answered
Thursday 10 Feb,2022 sales person said will complete and allocate the location of a new built property in Ferris, TX. Friday promised to send agreements and paperwork and mentioned there will be a virtual meeting. Didnot get the agreements till Monday 14 Feb,2022 morning. After agreement is signed gives me a slot to must visit in person to start paperwork at Ferris at a time thats not convenient and acceptable. The allocated time was agreed earlier when it was told to be a virtual meeting. Monday 14 Feb evening I get a call saying that if I dont show up forfeit your Ernest money. Some other gentle man calls Tuesday 15 Feb morning to my realtor to tell to come to site and settle the matter. They dont mail any refund.Business response
11/08/2023
We have record of Narasimha ******* ********** speaking with our sales rep in February 2022, but there is no record of a tour appointment, contract signed, or a deposit made. With this, there is no money for us to refund. We would appreciate you closing this complaint as resolved.
Initial Complaint
02/12/2022
- Complaint Type:
- Service or Repair Issues
- Status:
- Answered
I bought this house brand new and moved in January, 1, 2021. The very first night I was taking a shower and my whole house was flooded due to a PVC pipe being left in the toilet from the plumbers. After fighting back and forth they finally replaced some of my carpet. With that being said they told me the baseboards did not need to be replaced (currently cracking in the corners where water was high) and my laminate flooring did not need to be replaced. We had our water shut off and were unable to stay in our house and had to get a hotel for 4 days. 4/7 our “ac pipe broke” and started leaking through the ceiling. It was a hassle to get someone out to look at it and fix it due to LGI slow response and them not using the particular ac company anymore. I emailed, called, and placed multiple work orders. Finally on 4/22 after going to the main person involved it was addressed and someone finally came out 4/26 marked it as complete and never did anything. I placed multiple more orders and it was not addressed until mid June. Our ceiling had a huge water line and they said it would be okay. Finally got someone to patch it up. Recently, we have been getting notifications that we have been utilizing over 800 gallons of water multiple days a week. (Even when nobody is home) after multiple calls, multiple times being stood up, and multiple complaints someone finally came out - this is after the city had shut our water off for 3.5 days. This is unacceptable. They tore up my yard and said there was nothing found but I am still getting notifications from the city stating there is a leak since the water usage is so high. I am tired of being walked all over and having my water shut off with no way to shower, and use the restroom. This is a BRAND new house I shouldn’t have this many issues. LGI homes is lazy and does not properly build the houses and take care of their tenets. I am not even close to the only person in the neighborhood who has had issues.Business response
11/06/2023
Dear Ms. *******,
We apologize that you never received a response regarding this complaint. After reviewing the warranty portal, it appears all warranty claims have been addressed. We hope you have been enjoying your home and would appreciate it if you could mark this complaint as resolved.
Thank you,
LGI Homes
Initial Complaint
01/11/2022
- Complaint Type:
- Service or Repair Issues
- Status:
- Answered
Various dates beginning on and after August 10, 2021. I bought a home from LGI Homes-Washington, LLC and I've opened work orders to get day one inspection items corrected and they push back on everything. Matt ****** construction manager, was closing my work orders as being completed when the work had not been fixed/completed. There is a huge breakdown in communication between the area construction manager, Matt *****, and the construction manager, Matt ****** and backpedal on information that was provided. I was told my bathtub was on backorder now they are saying the manufacture will not replace it unless I have it repaired. They have been cutting corners on repairs and fixing everything with caulking instead of replacing items. They refuse to provide a number to corporate to file a complaint by saying "you are not going to get far with corporate and they will just push it back to us." They keep saying they are fixing things based on code but they refuse to give me a copy of the code they are referencing. I am not able to escalate issues beyond the local team.Business response
01/08/2024
Hi Ms. *******, we are concerned to hear that you were unsatisfied with the warranty process. After further review, we have confirmed that our team consistently worked with you to address the various claims you submitted and resolved any items that were covered by the warranty. We provided you with our Division President’s contact information in June 2022. Once you began to discuss working with a lawyer and threatened legal action in September 2022, we decided to cease contact and only communicate through legal channels as is our company policy. Until that point, we believe that our team worked diligently with you to resolve any issues that were covered, and we are disappointed that you felt otherwise.
Thank you,
JessicaCustomer response
02/16/2024
Better Business Bureau:
I have reviewed the response made by the business in reference to complaint ID ********* and have determined that this proposed action would not resolve my complaint.
I notified LGI promptly about the tub issue and they were refusing to replace the tub. They said they can have a contractor come out and fix the warping but couldn't give me reassurance on a guarantee on the warranty. I notified LGi I was not ok with not having warranty on the contractors work because they were just putting a band-aid on a bigger issue. The Tub was only replaced a year later after I had an independent inspector inspect the issues, I documented during the initial pre-move walk thru. The inspector found that the tub was not properly installed when I notified LGI of the inspector's findings they had Matt ***** (Director) come to inspect then a couple weeks later they had VP come out to inspect and only then did they approve the tub to be replaced.
As for the vent system the only reason the vent upstairs in the primary bedroom was blowing air was because they closed all the vents downstairs. That is not how a vent system should work. I shouldn't have to close vents to get air if I'm downstairs or upstairs. The contractor that they hired came to inspect it and the contractor told me that the vent system LGI had them install ran long, and it doubled back, reducing the amount of airflow to the vents upstairs. Additionally, he said that the return should've been placed upstairs instead of downstairs because hot air rises and reason that upstairs is so hot and the airflow doesn't cool down the upstairs. I literally have to use fans to move the air flow is so air is so weak.
I asked LGI if they didn't want to replace the vent system if they could move the return upstairs rather than having it downstairs and they literally said no they were not going to do it and that they didn't have to do it.
As for LGI, working on multiple tickets with me, that's because there were several issues notated during the pre-moving inspection that they had to fix those issues. Doors were not put in correctly. There were gaps in the doors, both the front door the garage door they left spaces between the house were insects and rodents can get in so they used foam to fix the gaps.
I'm still having issues with the carpet and the gaps between the carpet and the laminate all they did was stretch it out but that was a Band-Aid and a couple weeks later it went back to the gaps when they originally installed the carpet.
I am appalled at the refusal of LGI to fix issues when they said they would fix them originally during the pre-move inspection they said according to Matt ****** we can fix it. We can fix that. He didn't have a notepad to write down the issues as we walked all he would say "we can fix it." "We can fix that." Once I moved into the house, LGI refused to fix issues. They just kept saying "they are not going to fix it." "No, we're not going to do that."
****** *******Business response
02/23/2024
Hi Ms. *******, everything in the home was built to code and inspected by third-party inspectors. Despite this, we know it is normal for minor issues to be found after closing, which is why we offer our one-year workmanship warranty. During your New Homeowner Orientation we discussed what items are covered by warranty and what isn’t covered, and provided instruction for to submit issues to the warranty portal. Our team met with you to discuss each item that was submitted to the portal, and for the items that were determined to be warrantable, we worked with our trade partners to come out and fix them. We are sorry that you do not believe some items were not addressed properly, but we are confident that we met our warranty obligations.Customer response
03/16/2024
Better Business Bureau:
I have reviewed the response made by the business in reference to complaint ID ********* and have determined that this proposed action would not resolve my complaint.This organization is not willing and has made excuses from the beginning. What is the BBB doing to resolve this issue. As you can see it’s just going back and forth and nothing is being resolved.
Regards,
Business response
04/08/2024
Hi Ms. *******, we understand you are frustrated, but we have addressed the items that were found to be covered by the warranty. There is nothing further we can do for you and we hope you have many years of happiness in your home.Initial Complaint
12/25/2021
- Complaint Type:
- Customer Service Issues
- Status:
- Answered
Earlier this year I was greeted to water bubbling in my upstairs office ceiling and a distinct musty smell. I could not trace the issue and called an HVAC company to look at the problem. The builder did not install a drain pan the length of the HVAC unit in the upstairs attic nor was it covering critical pieces. The cost to repair this substandard installation cost me ~$500 ($389 for the HVAC work and $150 for the drywall and repainting). I would have left this alone but recently the breaker controlling my kitchen dishwasher recently started tripping. I called out the same respected local company whose HVAC technicians repaired the HVAC issue (******** ******** our of Magnolia, TX) who dispatched an electrician to help me with the tripping breaker. Upon investigation and troubleshooting the electrician found that the garbage disposal and dishwasher are running on the same breaker, even though the builder has two separate breakers in the box for two separate home run lines labeled; “disposal” and “dishwasher”. This is not the case. The builder may not have known that the initial installation was shortcutted but the fact remains is that it has. I now find myself having to potentially replace a breaker for hundreds of dollars on a regular basis if the electrical load become too much for the breaker (which has now happened twice since I paid ~$99 to replace the original breaker.Business response
01/23/2024
Hi Joseph, while an auto-shutoff system was not in place for your HVAC unit, there is typically a secondary drainage pipe that will begin dripping to alert you if there is an issue with your primary drain line. Regarding the dishwasher tripping the breaker, we see that you did submit a warranty claim for this problem in December 2021. As you are aware, you had already been in your home for about 1.5 years when you submitted this ticket, putting you outside of your one-year workmanship warranty window. Despite this, our warranty team did meet with you and worked to resolve this problem, resulting in you signing off on the work order in March 2022.
Thank you,
JessicaInitial Complaint
12/18/2021
- Complaint Type:
- Order Issues
- Status:
- Answered
LGI HOMES WILL ILLEGALLY CANCEL YOUR CONTRACT IF YOU REFUSE THE PREFERRED LENDER! When we signed the contract for the new home in Charlotte, we already had 2 preapprovals and told them we intended to use our own lender. They told us we HAD to get qualified with their lender, even if we use our lender. We figured we would see if they offer better rates and if not, stick with our lender. They forced us to come in person for a lender meeting, even though I am high risk for covid. We drove over 30 minutes just to get there and the lender wasn’t there, so we did a phone conference. The lender also asked me to take my mask off, just in case he couldn’t hear me. I told him I would keep my mask on as the home sales agent did not have a mask on in the enclosed room. The lender proceeded to be rude and nasty to us, and treated us like we were being dishonest about income. Little did we know, THEY were the dishonest ones. They wanted to lie to the underwriter and say that I was a student and that would explain why my pay was so much lower than it is today. I explained I got a new job so more money, and that I WILL NOT LIE to the underwriter! The lender sent us an email saying we had to provide transcripts or we couldn’t move forward with the loan. I told them not to move forward then, and that we would use our own lender. They submitted the loan application anyways! They just never responded to my email, and instead just sent me a loan approval email. The interest rate was SKY HIGH. PREDATORY. I emailed them multiple times to announce my lender, and to this day no response to this emails. I explained my lender was giving a lower rate, no response. I got a call stating that I needed to get tested for COVID because the agent we worked with has it . I’m livid because the lender tried to get us to take our masks off! Hours later, I was told the contract was cancelled because I didn’t use the preferred lender! THIS IS ILLEGAL - TYLER Z & ASHLEY O LGI HOMESBusiness response
01/23/2024
Hi Angelica, we are very disappointed to hear about the experience you had. While the lender is an employee of a third-party, we apologize that you felt the lender rude and dishonest. This is not what we expect from our trusted partners and apologize. While we request each of our customers to meet with our third-party lender as we believe this allows us to provide the best experience through the process, our customers are always welcome to use a lender of their choice. We see that your earnest money refund was approved and returned to you. Again, we apologize for the experience you had. It is not in line with our expectations, nor is it the experience we typically provide.
Thank you,
Jessica
Initial Complaint
12/06/2021
- Complaint Type:
- Service or Repair Issues
- Status:
- Answered
I purchase the home at the address listed on this complaint on 12/16/2020, after only 5 months of residing at the home I have experienced issues with the AC unit. I have filed several work request regarding the unit. LGI will send the company that does maintenance on the unit out for repair. After each repair the unit will function for a short period of time only to go out again. I spoke with Josh Winslow about a new unit being installed multiple times due to the repeated repairs on the AC unit. After some research, I have discovered other home owners are having the same issues with no resolution. I would like for LGI to resolve this issue with installing a new unit at my home.Business response
01/23/2024
Hi Kimberly, we are disappointed to hear you were experiencing trouble with your air conditioner. We see that after you submitted this claim, our team had the HVAC company out to evaluate your unit and determined that the thermostat needed to be replaced. This work was completed on 12/13/21.
Thank you,
JessicaCustomer response
01/23/2024
Better Business Bureau:
I have reviewed the response made by the business in reference to complaint ID ********, and have determined that this proposed action would not resolve my complaint.
[Provide details of why you are not satisfied with this resolution.] I have continued to have issues with the HVAC unit. Since this complaint I have 3 separate issues with the unit leaking into the light fixture in the bathroom.
Regards,
Business response
01/31/2024
Hi Kimberly, we are sorry to hear you have continued trouble with your HVAC unit since we last worked with you. As a reminder, it is recommended to have your unit serviced yearly to inspect for potential clogs and to keep your unit running as expected. After reviewing your past warranty claims, we do not see any record of this specific issue happening previously and, as you are aware, you are now outside of your warranty period. We advise contacting the HVAC company that was provided in your closing packet to investigate this further and to determine if there are any manufacturer warranties that may help.Initial Complaint
11/27/2021
- Complaint Type:
- Customer Service Issues
- Status:
- Answered
There are several issues that were reported to LGI homes prior to the expiration of the builder's warranty. When the LGI responded to the original warranty request I was told they could not do anything because of COVID and that they would contact me they were available. I was never contacted and when I was able to reach them, I was told that they would not provide service. I've attached the letter that I have sent via twitter, Facebook, and email. A response was received on Facebook stating they would work on the problem, but no resolution or contact has occurred.Business response
01/23/2024
Hi Shedric, we apologize that there was some trouble having your warranty work completed. COVID-19 severely delayed our warranty timelines and we apologize for any confusion that resulted from that. We are happy to confirm that your claims were all addressed and that you confirmed your satisfaction on December 21, 2021 (please see attached email).
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Contact Information
1450 Lake Robbins Dr Ste 430
The Woodlands, TX 77380-3294
Customer Complaints Summary
149 total complaints in the last 3 years.
45 complaints closed in the last 12 months.