Who covers defects in a brand-new house in Ontario?

Answers (1)

1. LE

   LokalMatch EditorialLokalMatch editorial

   Answered September 22, 2026

   Tarion, through a warranty the builder must enrol the home in — and before the builder can do that, they must hold a licence from the Home Construction Regulatory Authority. Building a new home in Ontario without an HCRA licence is illegal, and the HCRA’s Ontario Builder Directory is where you look one up.

   The coverage runs in three tiers from the day you take possession. The first year covers Ontario Building Code violations that affect health and safety, water penetration through basement or foundation walls, defects in work or materials that let water into the building envelope, and exterior cladding that detaches, shifts or deteriorates. The two-year tier covers water penetration and defects in the electrical, plumbing and heating delivery and distribution systems. Seven years covers major structural defects.

   Coverage attaches to the home rather than to you, so it continues if the house changes hands inside the period.

Answers come from pros and are reviewed by LokalMatch before they’re published. They’re general information — for regulated or safety-critical work, have a licensed professional assess your situation.

Sources

Where the facts on this page come from.

1. 1

   What we do — Home Construction Regulatory Authority (accessed September 21, 2026)

2. 2

   Coverage for freehold, contract, condo units and condo conversions — Tarion (accessed September 21, 2026)

3. 3

   Ontario Builder Directory — Home Construction Regulatory Authority (accessed September 21, 2026)