Tarion Warranty For New Condos
A Guide to Understanding the Tarion Warranty for New Condos
If you’ve been doing your proper research before investing in a new condo, or have been keeping up with my more recent blogs, you’ve probably seen the term “Tarion warranty” mentioned a few times. If you have no idea what this means, or what this warranty covers, it is time to get yourself acquainted. Luckily for you, I’m here to help, explain, and answer some of the most common questions concerning the Tarion warranty for new condos.
What or Who is Tarion?
The Ontario Government created Tarion in 1976 as an entity to enforce and oversee the Ontario New Homes Warranty Act. This Act still exists today, although it has undergone some changes to adapt with the times as the years have gone by. You can find a current version of the Act, here. To put it in simple terms, Tarion makes sure that house and condo builders follow all of the rules and that those that buy newly built homes are protected should something not be the way it is supposed to be once they gain ownership.
What Does the Tarion Warranty for New Condos Cover?
Not everything is covered under a warranty. This is true for electronics, furniture, and yes – even homes and condos. There is a one-year, two-year, and seven-year warranty coverage from Tarion and each protect the owners of new condos and homes against different things. For example, within the first year, you are able to file a claim against substitutions you did not authorize, like a change in paint colour or floor material and finish. Once the first year is up, however, it is too late. The seven-year warranty protects only against major structural defects, like a collapsed roof. If you want to know more about what is covered and what is not, you can find more information on Tarion’s website, here.
Is it Necessary to have the Tarion Warranty for New Condos? Do I Have to Purchase it?
The Tarion warranty is necessary for all new homes, including new condos. All builders have to be licensed by Tarion in order to be able to build new houses and condos within Ontario. This also means that they have to register each new building with Tarion and pay the warranty fees. With that being said, you probably will end up paying for the warranty anyway, as the builder will simply add the fee to register your new condo into the final sale price.
When Does the Tarion Warranty for New Condos Take Effect?
The Tarion warranty for new condos takes effect on the occupancy date – the date that the builder allows you to move into your suite, whether the building is completely finished or not. You do have some coverage, however, before the occupancy period begins. Tarion provides deposit protection and will reimburse you the money lost should your occupancy date be pushed back.
Do You Have More Questions About the Tarion Warranty for New Condos?
If you want to learn more about the Tarion warranty for new condos, I highly recommend visiting the website or giving them a call. Of course, you can always get in touch with me, instead! Over my years of experience, I’ve gained a lot of insider knowledge about Tarion and how the warranty works. Call me at 647-519-5751 or send me an e-mail at firstname.lastname@example.org. I’m always happy to help!
The information on the Tarion warranty for new condos blog based on my experience. Readers/Users are strongly recommended to obtain independent mortgage, legal, tax or accounting advice. The information displayed is for reference only and is without any representations and warranties. We do not represent the developer. We represent you.