Tarion Warranty Ontario: 1, 2, and 7-Year Coverage Explained (2026 Guide)
Tarion warranty is Ontario’s statutory new home warranty program. It covers every new home built or sold in Ontario across three coverage tiers: 1-year (materials and workmanship), 2-year (water penetration, major systems, building envelope), and 7-year (major structural defects). The warranty travels with the home, not the original buyer. Coverage is automatic and paid for by the builder — homeowners don’t pay a separate premium.
This guide explains exactly what Tarion covers, what it doesn’t, the claim process, deductibles, and the deadlines you must meet to keep your warranty rights.
Why Country Renovations. Tarion-enrolled for qualifying new builds, additions, and custom homes since 2014. HCRA-registered, WSIB-cleared, $5M insured. Free quote in 5 business days. Book a free site visit →
Key Takeaways
- 1-year warranty: defects in materials and workmanship — anything that doesn’t meet the Ontario Building Code or the contractor’s design.
- 2-year warranty: water penetration, electrical/plumbing/heating system delivery failures, exterior cladding defects, OBC health-and-safety violations.
- 7-year warranty: major structural defects — foundation, framing, roof structure, retaining walls.
- $300 first-claim deductible; subsequent claims free if the same defect.
- Coverage is automatic and free to homeowners — paid by the builder via Tarion enrollment fees.
- Strict deadlines: file 30-day list within 30 days of possession, year-end list before 1-year anniversary, 2-year claims before 2-year anniversary, 7-year structural before 7-year anniversary.
What Tarion Covers (By Year)
Year 1 — Materials and Workmanship
Anything that doesn’t conform to the Ontario Building Code, the contracted design, or the construction quality standard. Examples: drywall cracks, paint defects, cabinet alignment, flooring gaps, fixture malfunctions, sticking doors and windows, deck and railing issues. Cosmetic defects must be reported within the 30-day or year-end list.
Year 2 — Major Systems and Envelope
Coverage extends to:
- Water penetration through the basement, walls, or roof.
- Defects in plumbing, electrical, or heating distribution systems.
- Defects in the exterior cladding (brick, siding, stucco) that allow water entry.
- Health-and-safety violations of the Ontario Building Code.
Year 7 — Major Structural Defects
Defects that affect the load-bearing portions of the home: foundation, structural framing, roof structure, retaining walls. Must materially affect the home’s structural integrity to qualify.
What Tarion Does NOT Cover
- Normal wear and tear, settling, or shrinkage cracks within standard tolerances.
- Damage caused by homeowner abuse, neglect, or improper maintenance.
- Defects in items not supplied by the builder (after-purchase appliances, owner-installed fixtures).
- Damage from acts of God, third-party damage, or non-residential use.
- Properties that aren’t enrolled with Tarion (rare for new homes — illegal building usually).
The Tarion Claim Process
- Notify your builder first. The builder gets 120 days from the start of warranty (1-year claims) to fix listed items. Most warranty claims resolve directly with the builder.
- If the builder doesn’t repair, file a claim with Tarion online at tarion.com.
- Tarion conducts a conciliation — an inspector visits and determines whether the defect is covered.
- If covered, the builder is required to repair; if they refuse, Tarion repairs at builder cost or pays the homeowner directly.
- Disputes go to the Licence Appeal Tribunal (LAT) for binding resolution.
Critical Deadlines (Don’t Miss These)
| List / Form | Deadline | What to File |
|---|---|---|
| 30-Day Form | Within 30 days of possession | All defects identified after move-in |
| Year-End Form | Within 30 days before or after 1-year anniversary | Final 1-year materials/workmanship items |
| Second-Year Form | Before 2-year anniversary | Water, systems, envelope claims |
| Major Structural Defect Form | Before 7-year anniversary | Structural defects only |
Missing a deadline forfeits the claim. Use the Tarion online portal — it timestamps your submission and creates an audit trail.
Frequently Asked Questions
How much does Tarion warranty cost a homeowner in Ontario?
Nothing — coverage is automatic and free. Builders pay Tarion enrollment fees, which are absorbed into the home price.
Does Tarion cover renovations?
Tarion covers new homes, substantial additions that create new dwelling units, and contract homes — not renovations of existing homes. For renovation work, your protection comes from the contractor’s workmanship warranty + their insurance + your written contract.
What’s the Tarion deductible?
$300 deductible on the first claim within a warranty period; subsequent claims for the same defect are free.
Does Tarion warranty transfer to a new owner?
Yes — the warranty is attached to the home, not the original buyer. Subsequent owners receive the remaining coverage.
What if my builder isn’t enrolled with Tarion?
For new homes, Tarion enrollment is mandatory. Selling a new home without Tarion enrollment is “illegal building” — HCRA enforcement action applies and the homeowner has rights to a Tarion-funded resolution.
Get a Free Quote from a Tarion-Enrolled Builder
Country Renovations is Tarion-enrolled for qualifying new builds, additions, and custom homes — providing you statutory 1/2/7-year warranty coverage. Book a free site visit and we’ll deliver a written, fixed-price quote in 5 business days.
