Tarion Warranty Corporation is a non-profit organisation that administers the New Home Warranty Act (formally known as the Ontario New Home Warranties Plan Act) in Ontario, Canada. This act was introduced in 1976 to provide a standardised warranty framework for newly built homes, ensuring that homebuyers had compensation if they encountered construction defects or other issues within specific timeframes after their purchase. Tarion’s warranty covers pre-construction condominium units and new detached or attached homes.
Importance & Benefits of Tarion Home Warranty
Purchasing a new home is a significant investment. Tarion New Home Warranty provides peace of mind to homebuyers by ensuring that their homes are built to a certain quality standard.
Following are the key benefits of the Tarion warranty:
Quality Assurance
The Tarion Warranty ensures that new homes in Ontario meet strict quality and safety standards. Builders registered with Tarion, like Saldan Homes, must adhere to these requirements, giving homebuyers confidence that their home is built with care, using quality materials, and following industry best practices.
Financial Protection
The Tarion Warranty safeguards homeowners from costly repairs by covering construction defects, acting as a financial safety net. This protection is crucial for first-time homebuyers needing more resources to manage unexpected repair expenses.
Dispute Resolution and Advocacy
Tarion provides a structured dispute resolution process as a neutral mediator for conflicts between homeowners and builders. This support helps resolve workmanship and project completion issues, ensuring homeowners cannot handle disputes alone.
Accountability for Builders
Tarion holds builders accountable by scrutinising their work and enforcing high standards. Builders who fail to meet these standards face penalties or loss of their license, ensuring the quality of new homes in Ontario.
Peace of Mind
Perhaps the most significant benefit of the Tarion Warranty is the peace of mind it provides to homeowners. Buying a home is a major life milestone, and the Tarion Warranty allows homeowners to focus on enjoying their new space rather than worrying about potential defects or problems.
Registration Process for Tarion New Home Warranty
Ontario’s builders must register their new home projects with Tarion before the construction begins to ensure compliance with the Tarion New Home Warranty Act. This registration process involves providing detailed information about the project, including the builder’s identity, the location of the development, and the number of units being built.
After the project has been accepted, Tarion will provide a registration number (available on Trion’s website and the builder’s marketing material/website). This number allows the project to be identified and monitored. Prospective homeowners can also use it to check the coverage of a home’s warranty.
Tarion New Home Warranty Price
The cost of a Tarion New Home Warranty is typically included in the purchase price of a new home in Ontario, Canada. Builders are required to provide this warranty, so buyers do not have to pay an additional fee.
The table summarises the Tarion New Home Warranty and its costs for different types of homes in Ontario, Canada.| Type of Home | Tarion Warranty Cost |
|---|---|
| Detached Home | Included in the purchase price |
| Attached Home (Townhouse, Semi-Detached) | Included in the purchase price |
| Condominium (Pre-Construction) | It may be included in the purchase price or charged as a premium |
Tarion's Warranty Coverage
Tarion’s warranty covers three main areas:
1. One-Year Coverage: This covers defects in workmanship and materials for all other parts of the home.
2. Two-Year Coverage: This covers defects in workmanship and materials, including plumbing, electrical heating, ventilation, and air conditioning systems.
3. Seven-Year Structural Warranty: This covers major structural defects, such as foundation cracks, roof leaks, and load-bearing wall problems.
Tarion's One-Year Warranty Coverage
Once you’ve acquired ownership, Tarion offers a one-year warranty on all their homes and condos. This coverage lasts one year, starting from the date of possession. Its purpose is to safeguard home buyers against illegal replacements, flaws in manufacturing or materials, and other similar issues.
What is Included in Tarion 1 year warranty?
- Issues related to the home’s structural integrity, such as foundation problems, load-bearing walls, or roof leaks.
- Defects in pipes, fixtures, and plumbing components.
- Issues with wiring, outlets, and electrical components.
- Defects in furnaces, air conditioners, and other HVAC equipment.
- Problems with siding, roofing, windows, and doors.
- Defects in drywall, flooring, cabinetry, and other interior elements.
What is not Included in Tarion's 1-Year Warranty?
- Regular maintenance issues or deterioration from everyday use, such as minor scratches or fading.
- Issues resulting from accidental or intentional damage by the homeowner, including misuse or neglect.
- Problems arise from inadequate maintenance or care, such as clogged drains or damaged appliances.
- Additional damage is caused by defects, like water damage from a leaky roof affecting personal belongings.
- Minor aesthetic concerns that don’t impact the functionality or safety of the home, such as minor dents or paint imperfections.
1 Year Warranty Note for Residential Condominium Conversion Projects
If purchasing a converted condominium unit, note that the one-year warranty may not cover pre-existing elements (like existing walls or floors) due to their age and condition. However, all other aspects of the project, including new construction and compliance with building codes, are still protected.
Tarion's Two-Year Warranty Coverage
Tarion’s new home warranty continues to offer protection in the second year, focusing on essential systems like water penetration, heating, and electrical. This coverage starts on the possession date and remains effective even if you sell the home.
- Your home is protected against water intrusion through the basement or foundation walls.
- Defects in cladding materials (like brick, aluminium, or vinyl siding) are covered.
- Plumbing, electrical, and heating systems are protected against defects in workmanship and materials.
- Your home is expected to meet Ontario Building Code regulations related to health and safety.
What is not Included in Tarion Two-Year Warranty?
The Tarion Two-Year Warranty does not cover:
- Routine deterioration and maintenance issues, such as minor scratches or fading, occur over time.
- Problems resulting from accidental or intentional damage by the homeowner, including misuse or neglect.
- Issues arise from improperly maintaining the home, such as clogged drains or damaged appliances.
- Small blemishes, uneven paint application, or minor touch-ups are minor aesthetic concerns that do not affect the home’s functionality or safety.
- Additional damage is caused by defects, such as water damage from a leaky roof affecting personal belongings, such as furniture damaged due to water leakage.
- Problems resulting from unauthorized changes or renovations the homeowner makes that do not comply with building codes or standards.
For instance, if a homeowner installs new plumbing or electrical systems without following code requirements or obtaining necessary permits, any resulting issues will not be covered under the warranty.
2 Years Warranty Residential Condominium Conversion Projects
If you’ve purchased a converted condominium unit such as an old office building, warehouse, or other non-residential structure turned into Condominium,, the two-year warranty covers both the new construction (Any new construction work performed during the conversion process, such as the installation of new walls, flooring, or fixtures,) and preexisting elements (Parts of the building that existed before the conversion, such as the original walls, windows, and roof, are also covered.). This includes protection against water penetration and electrical, plumbing, and heating system defects.
Tarion's Seven-Year Warranty
Tarion’s seven-year warranty covers major structural defects (MSD) and begins on the date of possession. It offers protection for seven years from that date.
What is Covered Under Tarions’s 7-Year Warranty?
- Defects that cause a structural load-bearing element to fail or significantly compromise its ability to support the building’s weight.
- Significant damage resulting from soil movement or major cracks in basement walls.
- Chemical failure of materials or exposure to harmful substances (like excessive radon).
- Collapse or severe distortion of joints or the roof structure.
What is NOT Covered Under Tarion’s 7-Year Warranty?
- Damage to drains or utilities.
- Structural defects do not cause dampness.
- Damage to interior or exterior finishes.
- Problems arise from failure to properly maintain the home, such as clogged gutters or poorly maintained HVAC systems.
7 Year Warranty Note for Residential Condominium Conversion Projects
The seven-year warranty applies to the new construction and pre-existing elements if you’ve purchased a converted condominium unit. This means you’re protected against major structural defects in both building parts.
How to File a Tarion Warranty Claim?
You can file a claim with Tarion if you discover a defect in your new home. The process involves providing documentation and evidence of the defect. Suppose Tarion determines that your claim is valid. In that case, they may offer mediation or arbitration services to help resolve the dispute between you and the builder. If the claim is approved, Tarion may order the builder to repair or replace the defective component.
Tarion Consumer Advice
Tarion offers consumer advice and resources to help homebuyers understand their rights and responsibilities. They can provide information on the home-buying process, pre-delivery inspections, and other topics related to new home ownership.
Conclusion
Tarion New Home Warranty is an essential tool for Ontario homebuyers. It protects against defects in new homes and offers a dispute resolution process if problems arise. Understanding Tarion’s coverage and processes allows you to make informed decisions and enjoy peace of mind in your new home.
Saldan Homes is proudly registered with the Tarion Warranty Corporation. This certification affirms that we adhere to Tarion’s rigorous standards for construction quality, customer service, and warranty coverage. Our registration with Tarion reflects Saldan’s commitment to maintaining high construction standards and delivering exceptional service.
Choosing Saldan Homes means investing in a home built to strict quality standards and benefiting from a robust warranty that provides peace of mind.
