Greater Sudbury Pilots New Strategy to Prevent Illegal Home Building
Jun 30, 2015
The City of Greater Sudbury is one of six communities that will test a provincial strategy to help protect new home buyers from construction not covered under warranty. Starting July 1, 2015, applicants for a home building permit must present either their Tarion Warranty Corporation registration number or a letter of confirmation to obtain a permit through Building Services.
“We welcome this partnership with Tarion and the Sudbury & District Home Builders’ Association to protect our residents,” said Greater Sudbury Chief Building Official Guido Mazza. “While not common in our community, illegal home builds can result in financial loss and heartache for unsuspecting buyers. This new strategy gives us the tools and the resources to enforce warranty obligations.”
“The Sudbury & District Home Builders' Association is pleased to partner with Greater Sudbury Building Services and Tarion,” said association President Louie Zagordo. “On average, slightly less than half of new home permits are issued to private individuals. This new strategy will support honest builders who work within rules and regulations, while preventing less scrupulous contractors from bypassing the process.”
In Ontario, anyone acting as a vendor/builder of a new home must be registered with Tarion to automatically place the home under warranty. Builders who are not registered, or who wish to exempt their obligations under the Ontario New Home Warranties Plan Act, must apply for a letter of confirmation from Tarion.
The letter of confirmation may exempt builders from the need to register or from warranty obligations, if the applicant is building a home on their own land for personal occupation, a seasonal home or a home on more than 40 per cent of an existing foundation.
“Tarion is committed to protecting the rights of new home buyers in Ontario. Our goal is to identify illegal building activities before a new home buyer has to suffer the consequences of purchasing a sub-standard home, said Howard Bogach, President and CEO of Tarion.
“By partnering on this pilot program with such volunteer municipalities as Greater Sudbury, we will work to enhance warranty protection and will provide suggestions for changes to the Ontario Building Code Act to ensure that home buyers are aware of their warranty rights and the importance of working with a registered builder.”
Applications to obtain a letter of confirmation from Tarion are available from Greater Sudbury Building Services at Tom Davies Square, 200 Brady Street or online at www.greatersudbury.ca and www.tarion.com
About the Ontario New Home Warranties Plan Act:
The Ontario Ministry of Government and Consumer Services has empowered Tarion Warranty Corporation to administer and enforce the Ontario New Home Warranties Plan Act and Regulations. Warranties include: protection for deposits, protection against financial loss for contract homes, compensation for delays in closing or occupancy, protection against unauthorized substitutions, one and two year warranties for certain defects in work and materials, and a seven year warranty for major structural defects.