WARRANTY ...

New Homeowners in Ontario benefit from both deposit protection and warranty coverage. Deposit protection begins the moment a deposit is paid. Warranty coverage takes effect on the date of possession and remains in effect, even if the house or condominium unit is sold before the end of the warranty period.

What's Covered?

1. Deposit Protection - Ontario new home buyers are protected against loss of deposits up to $40,000 should the sale of their home not be completed through no fault of their own. This applies to freehold and contract home buyers who signed an Agreement of Purchase and Sale (APS) on or after February 1, 2003.   Buyers who signed an APS before February 1, 2003 are covered for up to $20,000. 

2. One-Year Warranty Protection - Builder warrants that the home is free from defects in work and materials, is fit to live in and meets the Ontario Building Code requirements for one year from the date of possession. Homeowners are responsible for notifying both the builder and Tarion in writing of any defects before the end of the first year. If Tarion does not receive notice in writing within the warranty period, the claim will not be accepted. Tarion does not accept e-mail as written notice of complaint. The builder will pass on to you any warranties given by manufacturers, suppliers and subcontractors that extend beyond the first year. In these cases, you should make any claims directly to the manufacturer or distributor.

3. Two-Year Warranty Protection -  The builder warrants for two years against: - Water seepage through the basement or foundation walls (in condominiums, this protection includes all below-ground areas such as parking garages.) - Defects in materials and work including caulking, windows and doors so that the building envelope prevents water penetration. - Defects in materials and work in the electrical, plumbing and heating delivery and distribution systems. - Defects in materials and work which result in the detachment, displacement or deterioration of exterior cladding. -Violations of the Ontario Building Code's health and safety provisions

4. Seven-Year Protection Against Major Structural Defects - New Homes are protected for seven years against major structural defects. A major structural defect is defined in the Ontario New Home Warranties Plan Act as: - Any defect in materials or work that results in the failure of a load-bearing part of the home's structure, or - Any defect in materials or work that significantly and adversely affects the use of the building as a home.