Starting July 1, 2025, new freehold home buyers are encouraged to notify Tarion of their purchase within 45 days to receive the maximum amount of deposit coverage.
If you’re planning to buy a new home this year, there’s a new step in the homebuying journey you’ll need to be ready for. The good news: it’s quick, easy, and it’s designed to help protect Ontario’s new home buyers against illegal home sales.
Registering your purchase agreement: a step that enhances consumer protection
Starting July 1, 2025, all purchasers of new freehold homes in Ontario are encouraged to notify Tarion within 45 days of signing their purchase agreement to protect their investment.
Purchasers of new homes in Ontario are eligible for deposit protection coverage, which protects your deposit up to certain limits if you exercise your right to terminate your purchase agreement - or in the rare case that a builder goes bankrupt or fundamentally breaches your agreement. In general, if your builder can’t deliver your new home and doesn’t return your deposit, you can submit a claim to Tarion for compensation. Learn more about your deposit protection coverage.
While all new freehold home buyers will continue to benefit from Tarion’s deposit coverage, as of January 1, 2026, it’s exclusively those who provide notice within 45 days who will qualify for the maximum amount of coverage currently available.
What happens if you miss the 45-day window?
If you register more than 45 days after signing - or don’t register at all - you’ll still have protection for your deposit, but you may qualify for a lower amount of coverage.
Will this change affect all new homebuyers?
These changes only affect freehold homebuyers in Ontario. Because deposit protection is structured differently for condominiums and contract homes, these purchasers aren’t required to notify Tarion about their purchase. Find out how deposit coverage works with condos.
What this means for you
After you’ve signed your purchase agreement, visit our easy-to-use online portal and enter a few key details about your purchase to make sure you are protected.
You can also have your builder, or other professionals like real estate agents or lawyers help you with the registration process.
Why we’re making this change
Illegal home building and selling is a serious problem that hurts consumers. By letting Tarion know about your purchase right after you’ve signed the purchase agreement, we’ll be able to confirm that the builder was licensed and approved to build and sell homes legally. If they aren’t, we’ll be able to act quickly and work with the Home Construction Regulatory Authority (HCRA) to help shut down illegal activity much earlier in the process. Check out our Public Q&A.
What’s not changing: your builder’s warranty
The great news for homebuyers is that Ontario’s new home warranty program offers some of the country’s most comprehensive coverage. After you take possession of your home, you’ll have protection against building defects and other potential issues for up to seven years after the home is completed. This change does not affect the builder’s warranty and all new homeowners will continue to have full coverage. Learn what the builder’s warranty covers.
Protect your investment – we’re here to help
As an independent consumer protection organization established by the provincial government, it’s our role to ensure that Ontario's new home buyers receive the coverage and protection they are entitled to under their warranty.
By taking a few simple steps early, you can help ensure your new home — and your investment — are protected.