One of our most popular tips for those buying a new home: Review your purchase agreement with your lawyer to ensure your builder has set out in one place all the extras (or adjustments) that can be added to the price of your new home, so there are no surprises or hidden costs.
In Ontario, the TARION Warranty Corporation is responsible for administering the New Home Warranties Plan Act, which outlines the warranty protection that new home and condominium builders must provide, by law, to their customers.
We recommend that clients be completely familiar and aware of their rights and responsibilities under this program, including carrying out required inspections and reporting to TARION. Homebuyers should review TARION’S handy reference guide “Construction Performance Guidelines”, which is intended to help builders and homeowners understand which work and material defects are covered under the statutory warranty.
There are several points at which you will want inspections carried out on the home, for exmpale:
- progress inspections while the house is being built (in addition to those by municipal building officials)
- pre-delivery inspection (or PDI) prior to occupying the home and also required by the builder and TARION
- 30 day inspection – after closing, also required by TARION
- one (1) year inspection – also required by TARION after occupying the home
These inspections will be critical in documenting your concerns for further follow up and evaluation by your builder / contractor and TARION. Of course, some will not be comfortable with carrying out these inspections on there own and prefer to hire a 3rd party like Grassroots® to assist them along the way. So, understand what it is you are required to do and be prepared.