The Ontario government is introducing comprehensive measures to enhance consumer protections for homeowners and buyers, ensuring they are safeguarded against harmful business practices.
Key initiatives include:
- Banning Consumer Notices of Security Interest (NOSI) Registrations: The province is addressing the misuse of NOSIs, which have significantly increased from approximately 2,000 registrations per year in the early 2000s to over 58,000 in 2023. This ban aims to protect consumers from being pressured into expensive buyouts when selling their homes or seeking additional financing.
- 10-Day Cooling-Off Period for New Freehold Homes: A proposed statutory 10-day cooling-off period will give buyers of new freehold homes the time to fully understand their commitments and back out if necessary. This aligns protections with those already available to new condo purchasers.
- Public Disclosure of Builder Cancellation History: The government plans to mandate public disclosure of builders’ history of cancelling purchase agreements for new freehold homes, boosting homebuyer confidence and transparency.
- Combating Illegal Building and Selling: Ontario will explore measures to protect consumers from purchasing homes from illegal builders who bypass licensing and fail to enroll homes with Tarion. Public consultations are planned for early 2025 to develop recommendations to address these risks.
- Enhancing Protections for Condo Owners: Ontario is expanding the Condominium Authority Tribunal’s jurisdiction and will consult on initiatives to improve condo operations, including status certificates, disclosure statements, and records access, providing greater transparency and operational clarity.
- Conserving Heritage and Supporting Housing Development: Proposed amendments to the Ontario Heritage Act will give municipalities until January 1, 2027, to complete property evaluations on their heritage registers, easing administrative pressures. Additionally, measures will support building more mixed-use housing near transit, maximizing investments in transit-oriented communities.
These initiatives reflect Ontario’s commitment to protecting consumers, preserving heritage, and facilitating responsible housing development.