Peace of Mind for Newly Built Homes.
Buying new construction in Ontario? Tarion administers the province's statutory new home warranty — offering deposit protection and warranty coverage for buyers of newly built homes and condos. Here's a plain-English overview of how it works and when it applies.
What Tarion is
An independent organization that administers Ontario's new home warranty.
Tarion is an independent, not-for-profit organization that administers Ontario's statutory new home warranty program. It exists to protect buyers of newly built homes and condominiums by backing the warranty commitments builders make and by providing deposit protection during construction.
In Ontario, responsibilities are split: the Home Construction Regulatory Authority (HCRA) licenses new-home builders and vendors, while Tarion administers the warranty and deposit protection. If something covered goes wrong and your builder does not resolve it, Tarion can step in under the warranty framework.
General information only This page is not advice or legal advice. Tarion is an independent organization and is not affiliated with, nor does it endorse, Vaughan Mortgage Group.
What's covered
A general overview — exact terms and limits apply.
Your deposit on a newly built home or condo is protected up to limits set by Ontario's new home warranty framework, in case things don't proceed as agreed.
If your builder delays your closing or occupancy beyond the agreed dates without proper notice, you may be entitled to compensation, subject to the rules and limits that apply.
Coverage commonly described as protecting against defects in work and materials during the first year of possession.
Coverage often described as extending to certain items such as water penetration, electrical, plumbing and heating systems, and other specified defects.
Coverage generally described as protecting against major structural defects over a longer period.
Warranty periods, coverage and dollar limits are set by Ontario's new home warranty framework and can change. Confirm current details with Tarion.
Warranty timeline
How protection generally unfolds — from deposit to major structural.
Deposit protection (before closing)
Your deposit is protected during construction, up to the applicable limits, before you take possession.
Delayed closing / occupancy compensation
If closing or occupancy is delayed beyond the agreed dates without proper notice, compensation may apply subject to the rules.
One-year warranty
General coverage for defects in work and materials begins from your date of possession.
Two-year warranty
Coverage often extending to certain systems and specified defects over a two-year period.
Seven-year major structural
Longer-term coverage generally described as protecting against major structural defects.
Builder registration & the HCRA
Buy from a licensed builder or vendor.
New homes and condos in Ontario should be built and sold by a licensed builder or vendor. In Ontario, the Home Construction Regulatory Authority (HCRA) licenses builders and vendors, while Tarion administers the new home warranty and deposit protection.
Before you buy, it's worth confirming that your builder is properly licensed and in good standing. You can check the Ontario Builder Directory to review a builder's licensing status and history.
Two organizations, two roles:
HCRA — licenses and regulates new-home builders and vendors.
Tarion — administers the warranty and deposit protection that backs the new home you buy.
Together, this framework is designed to give newly built home buyers a clear line of protection.
When it applies
Newly built homes and condos from registered builders.
Applies to newly built freehold homes purchased from a registered, licensed builder or vendor.
Applies to newly built condominium units from registered builders — condominium common-element coverage works differently from the individual unit.
Generally does not apply to previously owned resale homes. It's designed for newly built homes and condos.
What's covered — and for how long — depends on the type of home and the current framework. Confirm the details that apply to your purchase with Tarion.
Learn more & verify
Always confirm current terms and coverage with the source.
Warranty periods, coverage and limits are set by Ontario's new home warranty framework and can change over time. For the most accurate and current information — and to check builder registration or start a warranty claim — visit Tarion directly. The official Tarion website is provided as a reference, not an endorsement.
Financing a new build?
New construction has its own timelines — let's plan the mortgage around them.