Are J.D. Power Ratings for homebuilders relevant?

JD Power surveys hardly tell the whole story about all builders especially in Canada. I just completed one, and the survey in itself was quite comprehensive. However, another survey should be taken for the smaller builders as well. My prediction is that the smaller builders will come out head and shoulders above the big builders. Unfortunately the big builders just don't care about the individual new home buyer. They have the capital and the resources to "bury" any individual homeowner who might try to fight them. With the little guys, this ain't so and they have to try harder. This has certainly been my experience, and I will look for a little guy every time.

I do not personally think JD Power has much importance unless they were to rate a builder very badly, which would indicate a serious problem. Otherwise, comparing a few big builders with each other isn't showing how they'd stack up next to the really stellar builders that are out there.

I've read a couple of articles, one I think was from Builder Online, suggesting some ways the surveys could be inaccurate or skewed. I've heard from homeowners who told me ways their builders tried to get only happy customers involved, and keep the unhappy ones out.

Also, surveys that are taken right after closing don't reflect the many new homes that turn out to have serious problems that only show up after a year or two, when damage becomes observable.

Most of us are familiar with the fine reputation which J.D. Power has for its “automobile rating reports” based on responses from actual automobile owners.

However, I believe that J.D.P. has erred badly by its venture into ratings builders. Visiting the Canadian builder ratings website by J.D.P., I saw serious shortcomings;
1. who rates?
a. There is no explanation. Is it by the actual new homeowners?
2. are updates are done?
a. This is necessary because the homeowner learns progressively more about the builder after having moved into the house and asked for corrections. Problems surface even years later!
3. too few cities, builders’ names –
a. not worth searching for your builder on the J.D. Power website
4. non-disclosing questions –
a. J.D.P/’s questions did not adequately investigate the builder’s competence, integrity, service, etc. A key question would always be to the actual home owner “Would you recommend this builder?...... yes, no, definitely yes/no, no comment”
5. summary statistics of city, province, building industry –
a. J.D.P. has none that I can see. Summaries are critical to government regulators, insuring agencies, building associations and home owner protection groups to understand the overall ratings of the industry and by region.

Regards,
Jerry