Agreement of Purchase and SaleA legal document that states the buyer’s desire or interest in purchasing the property.
ApplicantThe person or company applying for a builder, vendor or vendor/builder licence, but has not yet been licensed.
BuilderA person or company who will build or offer to build a new home. It is the builder who undertakes the performance of the work and the supply of the materials necessary to construct a completed home.
DepositThe money you submit during the Agreement of Purchase and Sale process to secure your property.
DirectorNamed in the Initial Return / Notice of Change filed with the Ministry of Public and Business Service Delivery.
Expiry dateThe date that the licence expires, occurring 30 days after the renewal due date. A licence cannot be renewed after its expiry date.
Illegal BuildingBuilding without a licence or without enrolling the new home as set out in the New Home Construction Licensing Act, 2017 and Ontario New Home Warranties Plan Act.
Interested PersonIndividuals and corporations who have, or may have, influence over a person or the person’s business. This includes persons who have, or may have, a beneficial interest in the business of the applicant or licensee as well as persons who control the applicant or licensee whether directly or indirectly. It also includes persons who have or may contribute financially to the business of the applicant or licensee
Interim OccupancyThe period of time between your move-in date and the day you take ownership. This allows a builder to focus on the common elements before the building is registered.
LicenseeA person or company who has been issued a licence by the Registrar to build and sell new homes.
New HomeA self-contained single-family dwelling. The home can be detached, semi-detached, a townhome or a rowhouse. It can also be a unit in a duplex or high-rise condominium if the unit is a self-contained, single-family unit.
Notice of ProposalA procedure under the New Home Construction Licensing Act, 2017 (NHCLA) in which the Registrar notifies an applicant or licensee in writing of the intent to refuse to grant or renew a licence, suspend or revoke a licence, apply conditions to a licence to which the licensee has or has not provided their consent.
OfficerNamed in the Initial Return / Notice of Change filed with the Ministry of Public and Business Service Delivery.
OwnerA person who first acquires a new home from its vendor for occupancy.
Owner-BuilderAn individual who is building a new home for their own personal use on land they own. An owner-built home is not eligible for warranty coverage under the Ontario New Home Warranties Plan Act and will not have statutory warranty coverage under that Act.
PartnerA legal relationship between two or more individuals, corporations or trusts that join together to carry on a trade or business.
Pre-delivery InspectionBuilders are required to conduct an inspection of your new home before you take possession of your new home or occupancy of your condominium unit. It allows home buyers to identify any item that is damaged, incomplete, missing or not operating properly.
PrincipalAny individual or company owning at least 10% of the business as per the Shareholder Register.
Renewal due dateThe date that is 30 days before the expiry date of a licence. If a renewal application is submitted after the renewal due date, a late fee will be applied to the renewal application. All licences must be renewed by their renewal due date.
Umbrella groupA group of builders/vendors sharing at least one common officer, director, principal, partner or franchise. The umbrella group itself is not a legal entity and does not have its own licence number, but each member company of the umbrella group is a separate legal entity and has its own licence number.
VendorA person or company who will sell or offer to sell a new home. It is the vendor who sells and transfers title to the new home to a purchaser.
Vendor BuilderA person or company who will both build and sell a new home. This person will be licensed as both a builder and a vendor.
Warranty Information SheetAn information sheet that provides a basic overview of the warranties and protections that come with your new home. It must be included with the Agreement of Purchase and Sale.