What can I do if the builder refuses to consent to my assignment?

Whether a builder can refuse to consent to your assignment depends entirely on the terms of your original purchase agreement. If the agreement gives the builder absolute discretion to refuse consent, there is generally very little you can do — you are bound by the contractual terms you agreed to when you signed.

Some agreements allow the builder to withhold consent only on reasonable grounds or only on specified grounds. In those cases, an unreasonable refusal may give you a basis to challenge the refusal or seek specific performance, though litigation is expensive and uncertain.

If the builder is willing to consent but demands a very high consent fee, review your agreement to see whether the fee is capped. Some agreements cap the assignment consent fee; others allow the builder to charge whatever they want. If the fee is not capped, your negotiating leverage is limited.

The practical reality is that if you need to exit your purchase agreement because of a change in circumstances — financial difficulty, relocation, relationship breakdown — and the builder will not approve an assignment, you may need to speak with a lawyer about other options. These might include mutual agreement to rescind (if the builder agrees), selling immediately after final closing, or in extreme cases, defaulting and managing the consequences. None of these alternatives is ideal, which is why reviewing assignment provisions before signing is critical.