The Purchase of a New Home in Ontario-Part 1

Jul 23, 2021

The Purchase of a New Home in Ontario-Part 1

Buyers of new homes in Ontario are protected by legislation in matters related to the construction of their new home. This article intends to highlight the applicable legislation governing the purchase of a new home in Ontario and some helpful information involving the purchase of your new home.


Ontario New Home Warranties Plan Act and Regulations


The Ontario government, through the Ministry of Consumer Services has given powers to Tarion Warranty Corporation to administer and enforce the Ontario New Home Warranties Plan Act and Regulations.


The Home Construction Regulatory Authority (HCRA)


Until February1, 2021, Tarion was responsible for both registration of builders and warranty administration. But now, as of February1, 2021, HCRA is responsible for new home builder and vendor licensing in Ontario. Under the New Home Construction Licensing Act, 2017 (NHCLA), new home builders and vendors in Ontario must be licensed by the HCRA to legally build or sell new homes in Ontario. Builders and vendors who were registered with Tarion are automatically transitioned to an HCRA license with the number remaining the same. Builders and vendors who are licensed by HCRA, must also receive confirmation of enrolment from Tarion to build or sell new homes in Ontario.


Updated Addendum


New Purchase Agreements signed on or after February 1, 2021, must have the updated Tarion Addendum attached.


Warranty Information Sheet


The Tarion Warranty Information Sheet includes details about a home buyer’s statutory warranty coverage, the new home Tarion warranty provided by the builder, the Pre-Delivery Inspection, and Deposit Protection. It comes in six versions:

1.      Freehold

2.     Condominium

3.     Residential condominium conversion

4.     Vacant land condominium

5.     Contract homes

6.     New home with a parcel of tied land


Effective February1, 2021, builders must attach the Warranty Information Sheet to every new home Agreement of Purchase and Sale, and Construction Contract with an owner at the time the document is signed.


Ontario Residential Condominium Buyers Guide


When buyers of residential pre-construction or new condo units purchase from a developer or a person acting on behalf of or for the benefit of a developer, effective January 1, 2021, the Ontario Residential Condominium Buyers Guide (Condo Guide) must be provided to them by the declarant (developer). The Condo Guide contains important information about condominium ownership and the condo purchase process, which serves the purchasers of resale residential condo units as well.


Condo Information Sheet


For new condominium projects with conditions resulting in possible cancellations, a Condo Information Sheet is mandatory for all pre-construction Agreements of Purchase and Sale. A Condo Information Sheet, completed and signed by the purchasers, acknowledging to have received and read the document, must be placed at the front of the Agreement of Purchase and Sale, with effect from January 1, 2021.


We hope to bring more helpful insights about buying your new home in future articles.



Note: This article is for general information purposes only. The contents of this article are not legal advice or opinion and should not be relied upon as such. YFLaw Professional Corporation owns the copyright to this article and its contents. The article and its contents are not to be copied or reproduced in any form, in whole or in part, without the express permission of YFLaw Professional Corporation.



By Yasanthi Fernando 25 Sep, 2021
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I am opening our Insights page today, writing about something that we are all aware of but do not practice enough. It is about introspection or looking within. It is not looking at yourself in the mirror. It is examining, reflecting and accepting who you are. We are always looking at others around us in life, criticizing, mocking, imitating or envying. Do we ever stop and look at our own selves? Why should we look within? When we look within, we focus on our own selves, which in turn brings forth many favourable outcomes. We find out about our strengths and weaknesses. We identify our faults. We learn of our insecurities and fears. We analyze our thoughts and actions. We take care of our words and actions and that, in turn, takes care of our relationships within our family, surroundings, workplace, school and society. How do we look within? People find many ways to reflect upon themselves. The world today is filled with knowledge about how to find inner peace and where to find it. From yoga studios to meditation sessions, to mental health podcasts to nature escapes, we are all yearning for that inner peace and happiness. There are many materials to be found on this topic that I do not wish to dwell on it, but rather emphasize on the importance of finding the time to look within ourselves. In my view, a few simple minutes from our busy lifestyles is what is needed to do this. Practicing self-care You can practice self-care, without spending a lot of money. All you must do is find a quiet corner for yourself and reflect upon yourself, your family, relationships, career, school, work, health and goals in life. It helps you come to terms with yourself. It helps you improve your faults and weaknesses. It builds healthy relationships. It helps you identify your true friends and move away from those that bring you down. It instills confidence and helps you set boundaries in life to get what you deserve. Path to happiness Solving our own problems by ourselves by looking within paves the way or path to happiness. It gets rid of anxieties, stress, anger, frustrations and negative thoughts. It breeds contentment and calmness, a solution for many problems in the world. Yasanthi Fernando Note: This article is for general information purposes only. The contents of this article are not legal advice or opinion and should not be relied upon as such. YFLaw Professional Corporation owns the copyright to this article and its contents. The article and its contents are not to be copied or reproduced in any form, in whole or in part, without the express permission of YFLaw Professional Corporation.
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