HOMES WARRANTY INFORMATION
home is registered in the Ontario New Home Warranty Program.
Scarlett Homes has maintain a rating of "excellent" since
it received its first rating. You should only purchase a
home from a registered builder to ensure that your investment
is protected. There are some "rogue builders" that are not
licensed to build homes in Ontario. Protect your investment,
choose a registered builder. The warranty enrollment fees
is paid by the Purchaser in addition to the Purchase Price
from the fee structure as set out by the Ontario New Home
DOES YOUR COVERAGE BEGIN?
deposit insurance coverage begins from the date that you
sign your agreement of purchase and sale. The balance of
the warranty begins on the date of closing.
IS COVERED UNDER THE
ONTARIO NEW HOME WARRANTY PLAN?
ONE YEAR WORK AND MATERIALS WARRANTY
from defects in work and materials and is fit to live
from Ontario Building Code violations.
- All warranties
from the suppliers and trades are passed on to the Purchasers
for the remainder of their coverage. Any claims under
these warranties, past the first year, would be made directly
with the supplier or manufacturer.
TWO YEAR "POWER TRAIN" WARRANTY
from water seepage through basement walls.
from defects in work and materials including caulking,
windows and doors to prevent water penetration.
from defects in work and materials in the electrical,
plumbing and heating delivery and distribution systems.
from defects in work and materials which result in the
detachment, displacement or deterioration of the exterior
from Ontario Building Code's health and safety provisions.
SEVEN YEAR MAJOR STRUCTURAL DEFECT WARRANTY
structure is insured against major defects that would render
the home unusable or inhabitable. This would result in the
failure of a load-bearing part of the structure and would
also include any defect in work or materials that significantly
and adversely affects the use of the building as a home.
100,000 MAXIMUM COVERAGE
maximum coverage per house is $100,000
$ 40,000 DEPOSIT COVERAGE
deposit is insured to a maximum of $ 40,000 if the builder
cannot or will not complete the home, through no fault of
$ 5,000 MAXIMUM DELAY IN CLOSING OR OCCUPANCY
all builders strive to build within the original time period,
there are occasions when the closing dates can not be met.
This can be due to material shortages, skilled trade shortages,
strikes, delays caused by homeowners in choosing colour
selections, or shortages of materials. This is coverage
for reasonable living expenses caused by a delayed closing
or occupancy without advance written notice. In order to
claim you must close on the original date, and claims are
limited to $ 100 per day to a maximum of $ 5,000. You must
support your claim with receipts.
Notice Periods in Brief
delay: At least 65 days written notice prior to the
original closing date for a delay exceeding 15 days and
up to 120 days.
delay: At least 35 days written notice prior to the
original or extended closing date for a delay of up to
delay is 120 days from the closing date or confirmed occupancy
a five day grace period without penalty.
There is no compensation for delays caused be events beyond
the builder's control such as strikes, fires, civil insurrection,
floods or Acts of God.
are protect against substitutions of key elements in your
new home as set out in your agreement of purchase and sale.
The builder cannot make major substitutions of materials
without prior agreement with the Purchaser, unless the substitutions
are of equal or greater value. This is to give the Purchaser
the assurance that they will substantially receive what
they agreed upon in the contract. If the colour selection
that you originally chose is not longer available, you must
choose an alternative selection within 7 days, failing which
the builders can make the substitution on your behalf. The
builder has the right to build the home reverse to the house
IS NOT COVERED?
is just as important to know what is not covered under your
new home warranty. While most things are covered there are
a few instances where your claims will not be allowed.
in materials, design and work supplied or installed by
the homeowner, or by someone directly employed by the
damage caused by defects in the home. There is no coverage
for personal injury or damage to household contents. This
is normally covered under your homeowner insurance policy.
wear and tear.
shrinkage of materials that dry out after construction.
resulting from homeowner neglect or improper maintenance.
or additions made by the homeowner.
of soil around the house or along utility lines.
caused by the homeowner, tenants or guests.
beyond the builder's control, caused by an act of God
such as floods, wind, lighting. Vandalism after the date
of closing is not covered.
from insects or rodents unless the home does not meet
the Ontario Building Code.
caused by municipal service and other utilities.
defects in work and materials noted in writing and accepted
by the homeowner at the time of possession.
or seasonal homes not built on permanent foundations.
built on preexisting footings or foundations.
that have been lived in or rented prior to closing.