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ARTICLE · 25 JUNE 2025

Tarion's Updated Deposit Protection Policy

Sorbara Law
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If you're planning to buy a new freehold home in Ontario, or are already in the process, you need to be aware of important updates to Tarion's Deposit Protection policy.

CanadaReal Estate and Construction
David Young
David Young

If you're planning to buy a new freehold home in Ontario, or are already in the process, you need to be aware of important updates to Tarion's Deposit Protection policy.

What is Tarion?

Tarion is a consumer protection organization established by the Government of Ontario to administer the province's new home warranty program. One of its key roles is to protect the deposits of buyers who purchase newly built homes.

How Deposit Protection Works

When you put down a deposit on a new freehold home, Tarion protects that money in cases where the builder goes bankrupt or breaches the purchase agreement.

Here's how the current deposit protection coverage works for freehold homes:

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