New Home Warranty Program

Every new home in Ontario comes with warranty coverage provided by the builder and guaranteed by TARION Warranty Corporation. For those purchasers of new homes and condominium units who took possession of their home between September 1, 2004 and July 1, 2006, the maximum coverage for warranty protection available to them is $150,000. After July 1, 2006, the maximum coverage was increased to $300,000. This coverage begins on the purchaser’s date of possession and remains in effect even if the house is sold to another party before the warranty expires. So long as the purchaser formally reports the home’s deficiencies before the end of the warranty’s limitation period, the warranty will be honoured by TARION.

There are varying warranty periods depending upon the deficiencies involved. The Ontario New Home Warranties Plan Act outlines the warranty protection that new home and condominium builders must provide as well as those items excluded from warranty protection. Examples of items specifically excluded from warranty coverage include defects in materials, design and work supplied by the purchaser, normal wear and tear and damage resulting from improper maintenance.