Home Warranty in Canada (2025)

Home Warranties in Canada: An Overview

In Canada, new home warranties are mandatory in most provinces. They protect buyers from construction defects and are administered by provincial warranty programs. The coverage periods and programs differ by province — but the concept is universal: if a new home has a defect caused by poor workmanship or materials, the builder must fix it.

Resale homes typically have no statutory warranty coverage, though buyers can purchase optional home protection plans from private insurers.

Province	Warranty Program	Coverage Periods
Ontario	Tarion (Warrantor)	1/2/7 years
BC	2-5-10 Warranty (various insurers)	2/5/10 years
Alberta	New Home Warranty Program (NHWP)	1/2/5/10 years
Quebec	GCR (Garantie de construction résidentielle)	1/3/5 years
Other provinces	Various (some voluntary)	Varies

Ontario: Tarion Warranty

Tarion administers new home warranties for Ontario builders. Coverage includes:

• Year 1: Defects in work and materials, Ontario Building Code violations, unauthorized substitutions
• Year 2: Water penetration through basement or crawlspace; failure of electrical, plumbing, heating delivery systems; Ontario Building Code violations
• Year 7: Major structural defects — conditions that affect the load-bearing capacity or render the home unsafe

To make a Tarion claim, you submit a warranty form within the prescribed period. Tarion mediates between you and your builder. If the builder refuses or fails to remedy defects, Tarion can step in directly — though this process can be slow and frustrating.

Pre-Delivery Inspection (PDI)

Before taking possession of a new Ontario home, you conduct a Pre-Delivery Inspection with the builder. Document every defect, scratch, and incomplete item meticulously on the PDI form. This becomes your primary warranty document. Many buyers rush through the PDI — take your time and bring a detailed checklist.

BC: 2-5-10 Home Warranty

In BC, new homes must have a third-party warranty from a licensed insurer (such as Travelers, Pacific Home Warranty, or National Home Warranty). Coverage follows the 2-5-10 structure:

• 2 years: Labour and materials, delivery and distribution systems (plumbing, heating, electrical), building envelope defects
• 5 years: Building envelope (water ingress — critical given BC's leaky condo history)
• 10 years: Structural defects

Resale Home Warranty Options

For resale purchases, no statutory warranty applies — but you can purchase private home protection plans. Companies like HomeProtect and various insurers offer optional plans covering major systems and appliances (HVAC, plumbing, electrical). Coverage typically costs $500–$1,500/year with deductibles per service call.

These plans are generally more useful than they appear in marketing materials — but read the exclusions carefully. Pre-existing conditions, improper maintenance, and cosmetic items are typically excluded.

Related: new build vs resale, home inspection checklist, property insurance.