Our province has the most construction defect protection system for new home buyers in Canada. Homeowners Protection Act is a provincial legislation that aim in providing consumer with protection for all new homes offered for sale. All new construction must meet the following requirements set by this act:
- All builders should have a license with HPO or Home Owners Protection Office
- All New homes that will be offered for sale must have a third party home insurance. This home warranty insurance gives consumers up to two years of coverage for defects in materials and labour (some limitations apply) five years defect in the building envelope and 10 years for structural defects which often called as " 2-5-10 warranty". If the new home is resold within 10 years, the remaining insurance coverage is passed on to the next buyer.
However, there are also new homes built by owner-builder which are exempted to these requirements.
The following are steps that you can take as a homebuyer of new homes or condos in order to protect youself.
- Before you start looking for a new home, there are some basic questions you may ask yourself:
-Where do I want to live?
-What kind of home so I want?
-What are my choices
- What I can afford?
There are a lot of selections for consumers nowadays in their choices for considering a home. The different types of housing like single detached homes, duplexes, apartments, townhouses and condos are all example of what type of housing you can get but it all depends on your household income, size, preference and needs.