How can I verify that a builder is registered with Tarion before I buy?
Before entering into a purchase agreement for a new home in Ontario, you should confirm that the builder is licensed by the Home Construction Regulatory Authority (HCRA). This step is essential because Tarion's deposit protection and warranty programs depend on the home being sold by a properly licensed vendor and enrolled in the warranty programme. Buying from an unregistered builder puts your deposit and warranty rights at serious risk.
You can search the Ontario Builder Directory (OBD), which is run by the Home Construction Regulatory Authority (HCRA) at obd.hcraontario.ca. The directory lists every registered builder and vendor in Ontario and shows their registration history. It also shows any warranty claims made against that builder and how those claims were resolved — useful information about a builder's track record.
The OBD is public and free to use. Simply search by builder name, business name, or registration number. If you cannot find the builder or if their registration is suspended or cancelled, do not proceed without legal advice.
Your real estate lawyer will also confirm builder registration as part of their standard due diligence on a new-construction file. However, checking the directory yourself before you even engage a lawyer is a quick first step that could save you from serious risk.
Key takeaways
- Search the HCRA's Ontario Builder Directory at obd.hcraontario.ca before signing any agreement
- Registration is required for Tarion's deposit protection and warranty to apply
- The OBD shows the builder's claims history and current registration status
- If the builder is not listed or registration is lapsed, get legal advice before proceeding