Whether you are a seasoned homebuyer or exploring the real estate market for the first time, understanding what to expect from your builder is essential for a smooth and rewarding experience. After all, your home is more than just a place to live – it is a significant investment. By understanding these important expectations, you can help ensure a transparent and well-managed homebuying process.

Here are some key points to keep in mind as you work with your builder.

Your Builder Must Be Licensed

In Ontario, all people and companies building or selling new homes are required by law to be licensed by the Home Construction Regulatory Authority (HCRA). A licence indicates that builders have met specific standards for home construction and are required to operate with fairness, honesty, and integrity.

Licensed builders have demonstrated knowledge in areas such as financial planning, project management, and Ontario’s Building Code requirements. This not only promotes a fair marketplace but also helps protect homebuyers from unsafe or unqualified builders. Learn more about the competency requirement to become a builder.

Before committing to a builder, check the Ontario Builder Directory to confirm they are licensed. Verifying a builder’s licence is the first step to a smooth and reliable homebuying experience. The Builder Directory provides key background information, including the number of homes a builder has constructed and whether the HCRA has taken regulatory action against them, such as court charges or convictions.

Always remember – only hire licensed builders by checking the Ontario Builder Directory. Learn more about HCRA efforts to crack down on unlicensed builders.

Your Builder Must Act Professionally

As the regulator of new home builders in Ontario, the HCRA has clear expectations for the professionalism of builders that is set out in government regulation, including the Code of Ethics and the HCRA’s Directives & Advisories. As a homebuyer, you should expect respectful and professional service. This includes zero tolerance for harassment, discrimination, misrepresentation, or bullying.

If you have a conduct concern about a builder, you can file a complaint to the HCRA for review. Reporting these issues helps protect you and supports the integrity of Ontario’s homebuilding industry.

Your Builder Must Honour Their Contracts

Builders are expected to abide by the terms of their contract. Sometimes there are legitimate reasons why a builder might ask a purchaser to revisit a contract, like an unexpected increase in costs. However, in doing so the HCRA expects builders to act ethically and follow the terms stated in their contract (also known as the Agreement of Purchase and Sale or “APS”). Builders are also expected to give buyers adequate time and information to respond to these requests.

Builders are also legally required to include a Condominium Information Sheet as the first page of the APS for all new condominium buyers. This sheet highlights important and potential risks of buying a pre-construction condominium, helping purchasers to make more informed decisions. Visit our Before You Buy page to learn more.

Your Builder Must Honour the Warranty

Most new homes in Ontario under seven years old are protected by mandatory warranties provided by your builder and backed by Tarion. This warranty coverage includes protection both before and after you take possession of your new home.

Tarion delivers Ontario’s new home warranty and protection program and is responsible for ensuring buyers receive the warranty coverage for which they are entitled to. You can also check the Ontario Builder Directory to confirm your home’s warranty coverage by entering the home address.

If you have questions or concerns about warranty coverage for your new home, please contact Tarion for next steps.