A new home builder targeted by an investigative news report about new home defects, is at the top of the consumer satisfaction list in more cities than any other builder in the nation.

Pulte Homes ranked tops in customer satisfaction in three cities, Charlotte N.C (tied with Ryland Homes), Denver, CO and Las Vegas, NV. In Phoenix, AZ, Pulte's recently acquired Del Webb division tied with Pacific Bay for first place and Del Webb tied for first place with Pacific Bay in San Diego, CA , according to Agoura Hills, CA-based J.D. Power and Associates, a global marketing information services.

J.D. Powers' "2001 New Home Builder Customer Satisfaction Study"also placed Bloomfield Hills MI-based Pulte second in Houston, TX, Chicago, IL (tied with its Del Webb division) and San Diego, CA (tied with Lennar). Del Webb was second in Las Vegas, tied with Pardee.

Conducted in 10 of the largest home building markets, J.D. Powers' study is based on responses from more than 45,000 buyers of newly constructed homes who evaluated 282 builders who closed 150 or more homes in any market where they are rated.

The study includes feedback from new-home buyers (single-family detached and attached homes) who have lived in their homes between 4 and 16 months.

The study covers satisfaction with the entire home-buying experience including sales staff, design center, customer service, price/value, physical design elements, location, recreation and amenities, and quality of workmanship and materials. Home buyers were also asked about the mortgage and title companies used, the builder's Web site, and construction problem occurrence and resolution.

J.D. Power said nine factors drive overall customer satisfaction with a builder.

The top four factors -- customer service (23 percent), home readiness (18 percent), sales staff (16 percent) and quality of workmanship/materials (14 percent) -- represent more than 70 percent of the overall satisfaction score.

"Customers want new homes of the highest quality and they want them finished on time," said Paula Sonkin, senior director, real estate industries practice at J.D. Power and Associates.

"Historically, quality of workmanship and materials has been the most important factor driving overall satisfaction among new-home buyers, followed by customer service. However, our 2001 study shows that while these factors remain important, consumers expect a high-quality product from the start so they don't have to disrupt their busy schedules to address problems that may arise once they're living in their new home."

The study indicates that the remaining factors are very important when home buyers are selecting a builder, they become less important once the home buyer occupies the home.

The remaining five factors in the study include price/value (10 percent), physical design elements (7 percent), design center (5 percent), recreational facilities (4 percent) and location (3 percent).

The other companies at the top of the list in the remaining cities were: Lakewood, Chicago, IL; Huntington, Dallas/Ft. Worth, TX; Newmark and Trendmaker (tie), Houston, TX; Masterpiece, Orlando, FL; Blandford, San Diego, CA; and Ausherman, Washington, D.C.

Earlier this year, Pulte, the nation's largest home builder, was the primary target of MSNBC's Dateline production "Reading the fine print. Do home warranties offer protection for buyers?" which interviewed Pulte home owners who complained of leaks, toilets that didn't flush, out of plumb walls and floors, electrical wiring problems, structural problems, mold and warranty complaints.

The National Association of Homebuilders blasted the broadcast as "a one-sided and unfair portrayal of the home building industry and 10-year insured warranties on new homes."

After reading the J.D. Powers report, Pulte appeared vindicated.

"Exceeding customer expectations and providing a quality product remain the foundation of Pulte Homes' Homeowner for Life" strategy," said Mark O'Brien, Pulte's president and chief operating officer, after the J.D. Powers report.

"We are pleased to see that our initiatives are resulting in consistently high levels of customer satisfaction. Our goal is to ensure that a similar standard of customer satisfaction, as reflected in the J.D. Power and Associates results, is achieved throughout our operations," he added.

For more articles by Broderick Perkins, please press here.

Published: September 27, 2001

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Broderick Perkins parlayed a career in old-school journalism into a contemporary digital news service that really hits home. The award-winning consumer journalist, originally from Wilmington, DE, is founder, publisher and executive editor of the bootstrap DeadlineNews Group, a Silicon Valley-based editorial content and consulting service specializing in residential real estate, consumer news and related editorial consulting services. The DeadlineNews Group includes the website, DeadlineNews.com, offering real estate editorial content and consulting services, and its back shop, the Deadline Newsroom, an open house on news that really hits home. Perkins obtained his formal journalism education from University of Delaware and a journalism boot camp, the Institute of Journalism Education at the University of California-Berkeley. He went on to 20 years of service as a daily newspaper journalist at the Wilmington, DE News Journal and San Jose, CA Mercury News. Perkins covered housing on the San Jose Mercury News reporting team which earned a General News Reporting Pulitzer Prize in 1989 for coverage of the Loma Prieta earthquake. He has also produced real estate, consumer and small business content for the Wall Street Journal, Los Angeles Times, RealtyTimes.com, Nolo.com, Better Homes and Gardens, the National Association of Realtors, Homestore/Move and Intuit/Quicken among more than three dozen publications. In addition to managing the DeadlineNews Group, Perkins most recently served as chief editorial consultant for Nolo's Essential Guide To Buying Your First Home, Nolo, and writes real estate television scripts for RealtyTimes.com.