Stronger Protection Is Coming For New Home Buyers In Ontario. Here’s How

Starting July 1, 2025, Ontario is introducing new measures to better protect people buying newly built freehold homes. Tarion, the organization that manages the province’s new home warranty program, will encourage buyers to notify them within 45 days of signing a purchase agreement. This early notice helps Tarion monitor transactions and act quickly if problems arise.

From January 1, 2026, only buyers who have registered their purchase agreements with Tarion will be eligible for the full deposit protection coverage. This change aims to prevent illegal home sales and ensure that buyers are aware of their rights and protections. The registration process is straightforward and free, accessible through Tarion’s website.

Tarion’s warranty program offers deposit protection, compensation for delayed closings, and coverage for construction defects. By registering their purchase agreements, buyers link themselves to their future homes in Tarion’s system, allowing for quicker action if issues like fraud or builder bankruptcy occur. This proactive step can be crucial in safeguarding a buyer’s investment.

Many buyers may not be aware of these protections. Tarion is urging industry professionals—such as builders, real estate agents, and lawyers—to inform and assist clients in registering their agreements promptly. Educating buyers about these steps can prevent potential losses and ensure they receive the full benefits of the warranty program.

The initiative also helps maintain the integrity of Ontario’s housing market. By identifying and addressing illegal activities early, Tarion and the Home Construction Regulatory Authority can take swift action against non-compliant builders, protecting consumers and supporting reputable industry players.

For more information or to register a purchase agreement, buyers can visit tarion.com/registertoday. Taking this simple step can provide peace of mind and ensure that buyers are fully protected under Ontario’s new home warranty program.