Since 1976, Tarion has been tasked with administering the Ontario New Home Warranties Plan Act by licensing new home builders and ensuring that new homeowners are aware of their warranty rights. The legislation outlines the warranty protection that comes along with a new home, while also mandating that new home builders in Ontario first be registered with Tarion.

Concord CityPlace in Toronto, image by Marcus Mitanis

Tarion has now updated the list of registration requirements builders must adhere to. Currently, those seeking to construct freehold homes and low-rise condominiums under Part 9 of the Ontario Building Code (OBC) must attend an orientation session, a business interview with a Tarion representative and complete a technical test based on the rules within the OBC. As of September 1, these builders are now required to demonstrate their competencies in seven fields:

  1. Business Planning and Management
  2. Financial Planning and Management
  3. Project Management and Supervision
  4. Legal Issues in Housing
  5. Building Codes in Ontario
  6. Construction Technology
  7. Customer Service and Tarion Requirements

Based on the Canadian Home Builder’s Association National Education Benchmarks, new builders will have to achieve these competencies by their annual renewal date until September 1, 2016, by which time these new educational rules become a prerequisite for registration. The changes do not apply to builders who were registered prior to September 1, 2015. Builders subject to Part 3 of the OBC, which deals with high-rise condominium construction, are subject to a separate list of requirements and are also not affected by these changes. 

Workers at a Toronto construction site, image by Marcus Mitanis

“Tarion ensures that new home builders have the necessary technical and financial competence before they can build new homes," Howard Bogach, President and CEO of Tarion, told us. "Their skills are essential as they have significant impact on our lives, our environment and our economy as a whole. The new education requirements will hold home builders to a higher standard, and provide more consumer protection to new home buyers while instilling confidence in the industry."

Certain applicants, including applicants holding roles for at least five years as a principal, officer or director with a registered builder, may be granted exemptions from the new educational requirements following evaluation by Tarion. The Ontario Home Builders’ Association, TrainingOntario.ca and BuildABILITY all offer Tarion-approved courses that can help applicants achieve the core competency requirements. 

For more information on the new rules and an overview of Tarion's responsibilities, visit their official website.