Home Construction Regulatory Authority

HCRA

Ontario's regulator that licenses new-home builders and vendors and runs the public Ontario Builder Directory.

The Home Construction Regulatory Authority (HCRA) licenses and regulates the people and companies that build and sell new homes in Ontario. It is a not-for-profit corporation designated by the provincial government. It administers and enforces the New Home Construction Licensing Act, 2017 and its regulations.

The HCRA began operating on February 1, 2021. Before then, Tarion handled both builder licensing and the warranty. Now the roles are split. The HCRA licenses builders and vendors, while Tarion administers the new-home warranty. Warranty claims go to Tarion, not the HCRA.

In Ontario, it is illegal to build or sell a new home without a valid licence. A builder must be licensed as a builder, and a seller must be licensed as a vendor. The HCRA sets standards for competence and conduct, including a code of ethics. It runs a complaints process and has a Discipline and Appeals Committee. The Ministry of Public and Business Service Delivery and Procurement oversees the HCRA and remains responsible for the Act.

For buyers, the most useful HCRA tool is the Ontario Builder Directory. It is an online search covering about 7,000 new-home builders and sellers. A profile can show licence status, any conditions on the licence, charges such as illegal building, discipline decisions, and notices or orders. It also lists years active, the number of homes built and warranty claim information supplied by Tarion. A warning appears if a builder is not licensed.

Checking the directory before you sign a purchase agreement is basic due diligence. The directory is not a rating system and does not include reviews.

General information only, not legal, tax, or financial advice. Rules change and vary by province; confirm the current details with the relevant authority before you rely on them.