Tarion Warranty in Ontario: What It Covers, Claim Deadlines and Your Rights
What Is the Tarion Warranty?
Ontario law requires builders of new homes to provide a warranty. Tarion is the not-for-profit corporation that administers the Ontario New Home Warranties Plan Act. You go to your builder first, and you go to Tarion if the builder does not fix an item or says it is not covered. The warranty applies to new freehold homes, contract homes, condo units and condo conversions built by a licensed builder. See Tarion, the new home warranty.
Coverage Before You Close
Before you take possession, Tarion’s protection is about your deposit and your closing date. The amounts below are from Tarion, coverage before you close.
Freehold deposit protection
Condo deposit protection
Delayed closing or occupancy
Contract homes
Since April 1, 2026, buyers of a new freehold home should register the purchase with Tarion within 45 days of signing the agreement. Registering is free. Tarion has deferred changes to deposit coverage tied to registration until January 1, 2027, so check what applies to your agreement. See Tarion, new registration rule and Tarion, pre-possession coverage.
Coverage After You Take Possession
If a covered problem makes the home uninhabitable, the builder must pay up to $150 a day toward temporary relocation, to a maximum of $15,000. For agreements signed on or after July 1, 2023, the maximum warranty coverage is $400,000 for a freehold home and $300,000 for a condo unit, and earlier agreements have different limits. See Tarion, coverage after you move in.
What the Warranty Does Not Cover
- Heating and cooling equipment under the seven-year warranty, such as furnaces and air conditioners.
- Dampness that is not caused by the failure of a structural element.
- Damage caused by an owner, tenant or guest, and floods not caused by the builder.
- Manufacturer defects in appliances, cosmetic damage present when the appliance arrived, and appliances that were never installed.
- Problems caused by improper use of the home’s systems or by lack of maintenance.
Claim Deadlines
Homes with a possession date on or after May 1, 2024 follow Tarion’s newer Customer Service Standard. Tarion says earlier enrolments stay under the previous rules, so confirm which applies to your home. Count the days from your possession date, which is on your Certificate of Completion and Possession. See Tarion, Customer Service Standard updates.
How to Make a Warranty Claim
Record problems at the walkthrough
Set up your MyHome account
List your items before each date
Let the builder repair, then ask for conciliation
The Pre-Delivery Inspection and Your Certificate
The pre-delivery inspection is a walkthrough led by your builder before you take possession. You, or a designate with written authority, attend. The builder records problems on the PDI Form, and you review it and sign. Tarion’s checklist says you do not have to sign if the builder refuses to record damaged, missing, incomplete or inoperable items. Bring a copy of your agreement so you can spot unauthorized substitutions, and keep copies of what you sign. For a condo, the inspection covers only the inside of your unit. See Tarion, the pre-delivery inspection.
What a Lawyer Reviews Before You Sign
The agreement and Tarion addendum
Deposit structure
Warranty coverage
Cooling-off period
We help pre-construction buyers across Toronto, Vaughan, Mississauga and the GTA review builder agreements. See our pre-construction condo service, our interim closing service and our assignment of property service. Budget for the other costs too, in our closing costs guide, and see how title insurance fits with the warranty.
Frequently Asked Questions
What does the Tarion warranty cover?
From your possession date it covers workmanship and defects in materials and Building Code violations for one year, water penetration, the building envelope, cladding, the electrical, plumbing and heating systems for two years, and major structural defects for seven years. Before closing it protects your deposit and compensates delays.
How long does the Tarion warranty last?
Coverage starts when you sign the agreement and lasts up to seven years. After you take possession, the warranties run for one year, two years, and seven years for major structural defects only, counted from your possession date.
When do I submit Tarion warranty forms?
For homes with a possession date on or after May 1, 2024, the forms are due on day 41 (Initial), day 183 (Mid-Year) and day 365 (Year-End), counted from your possession date. Confirm your own dates on Tarion’s website.
What if my builder does not fix a covered item?
After the builder’s repair period, you can ask Tarion for conciliation. The windows are day 42 to day 183 for the Initial form, day 184 to day 365 for the Mid-Year form and day 366 to day 516 for the Year-End form.
What happens if I miss a deadline?
Items that are not on the list when a form locks wait for the next form, and Tarion does not take conciliation requests after day 516. A 10-day grace period after the year-end form applies only with written proof that you reported the problem to the builder during the first year.
Does the warranty transfer if I sell the home?
Yes. The warranty follows the home, so a later owner of a home under seven years old that is enrolled with Tarion keeps the balance of the coverage.
Is my deposit protected?
Tarion protects freehold deposits up to $60,000 on a price of $600,000 or less, and up to 10% of the price, to $100,000, above that, for agreements signed on or after January 1, 2018. For condos, deposits must be held in trust, and Tarion protects up to $20,000 if it is not returned.
What if my closing is delayed?
If the closing or occupancy date is missed and no exception applies, you can be compensated $150 a day for living expenses, to a maximum of $7,500 that also includes other costs. Some unavoidable delays do not trigger compensation.
Do I need to register my purchase with Tarion?
Since April 1, 2026, buyers of a new freehold home should register within 45 days of signing the agreement. It is free. Tarion has deferred deposit coverage changes tied to registration until January 1, 2027, so check Tarion’s site for what applies to you.
Related Guides
Legal Information, Not Legal Advice. This guide summarizes information published by Tarion, checked on October 23, 2026. Coverage limits, deadlines and rules depend on the date you signed your agreement and the date you take possession, and Tarion updates its rules, so confirm your own dates on Tarion’s website and speak with a real estate lawyer before you rely on this guide.