Markham's New Home vs Resale Home Decision: Tarion, Upgrades, Timelines and Move In Costs
Markham's New Home vs Resale Home Decision: Tarion, Upgrades, Timelines and Move In Costs
A brand new home and a lived in home can cost the same on paper and very different amounts in real life. Here is how to compare them honestly.
Neeraj Moolchandani is a top real estate agent in Markham, Ontario.
The Short Answer
A new home in Markham comes with the Tarion warranty, modern systems, and possible HST rebates for eligible buyers, but often has a long wait, extra closing adjustments, and costly upgrades. A resale home lets you move in within weeks, see exactly what you are buying, and negotiate with a seller, but older systems may need replacing. Tarion's warranty covers workmanship for one year, key systems and water penetration for two years, and major structural defects for seven years. Deposit protection is up to $20,000 for condo units and up to $100,000 for freehold homes, depending on price.
Neeraj and the Kaizen Real Estate Team, one of the teams Markham buyers rely on for clear comparisons, help clients look at new and resale side by side. Neither is always better. The right choice depends on your timeline, budget, and patience.
The Big Differences
| Factor | New Home | Resale Home |
|---|---|---|
| Move in timing | Often months or years away | Usually 30 to 90 days |
| What you see | A model, floor plan, and renderings | The actual home |
| Warranty | Tarion 1, 2 and 7 year coverage | No warranty; rely on inspection |
| Price negotiation | Builder sets price; incentives vary | Negotiate with the seller |
| Extra costs | Upgrades and closing adjustments | Repairs and updates over time |
| Neighbourhood | Still being built, trees still young | Established streets and landscaping |
| HST | Included in price; rebates may apply | No HST on resale homes |
The Tarion Warranty
Every new home built by a licensed Ontario builder is covered by the Tarion warranty, starting on the day you take possession.
- One year: workmanship and materials, and Ontario Building Code issues.
- Two years: water getting in, electrical, plumbing and heating systems, and code issues that affect health and safety.
- Seven years: major structural defects.
Before you move in, you will do a pre delivery inspection with the builder. Note every issue in writing. Learn more in our home inspection checklist.
Comparing a builder's sales centre with resale listings? Neeraj can help you weigh both. Call or text Neeraj at (647) 370 8885.
Deposits: How They Are Protected
- Condo units: Tarion protects up to $20,000 of your deposit if the builder does not return it after the agreement ends. Larger condo deposits are held in trust under Ontario's condo law.
- Freehold homes: Tarion protects up to $60,000 on homes priced at $600,000 or less, and 10 percent of the price up to $100,000 on homes above that.
Deposits on new builds are often paid in several instalments. Make sure the schedule fits your savings plan.
Upgrades and Closing Adjustments
The price at the sales centre is rarely the price you pay.
- Upgrades. Flooring, cabinets, counters, and ceiling heights can add up fast. Decide your upgrade budget before you visit the design centre.
- Closing adjustments. Builder agreements may add charges at closing, such as utility connections, development related fees, and Tarion enrolment. Ask for a list and try to cap them before you sign.
- Condo occupancy. In a new condo you may pay occupancy fees for months before the building registers and you own the unit.
Ontario's 10 day cooling off period applies to new condo purchases from a builder. Freehold new home agreements do not have one, so have your lawyer review the agreement before you sign or make it conditional on review.
HST Rebates on New Homes
Resale homes have no HST. New homes include it in the price, but eligible buyers may get some back. First time buyers can get a full rebate of the federal portion on homes up to $1 million, with a reduced rebate up to $1.5 million. Ontario has also announced rebates of the provincial portion. Confirm current rules and your eligibility with your lawyer. See our first time buyer's guide for more.
Before you sign a builder agreement, have it reviewed. Start with a call. Call or text Neeraj at (647) 370 8885.
Which One Fits You?
A new home may suit you if you can wait, want modern systems and a warranty, and like being the first owner. Markham's newer areas include Cornell, Victoria Square, Cathedraltown and Downtown Markham.
A resale home may suit you if you need to move soon, want mature trees and an established street, or want to negotiate directly. In September 2026, Markham homes sold for about 98 percent of asking on average, according to TRREB, so there is often room to talk.
Visit our new construction page to learn how Neeraj represents buyers at builder sales centres.
Want to see resale homes that compete with the new build you are considering? Call or text Neeraj at (647) 370 8885.
Related Markham Guides
New Home vs Resale Questions, Answered
What does the Tarion warranty cover?
Tarion covers workmanship and materials for one year, water penetration and electrical, plumbing and heating systems for two years, and major structural defects for seven years, starting on the day you take possession.
How much of my deposit does Tarion protect?
Tarion protects up to $20,000 for new condo units. For freehold homes, it protects up to $60,000 on homes priced at $600,000 or less, and 10 percent of the price up to $100,000 on homes above that.
Are there extra closing costs on a new build in Ontario?
Often yes. Builder agreements may include closing adjustments such as utility connections, development related fees, and Tarion enrolment. Ask for a full list and try to cap them before signing.
Is there a cooling off period for new homes in Ontario?
Buyers of new condos from a builder have a 10 day cooling off period. Freehold new home agreements do not, so have a lawyer review the agreement before you sign.
Is it better to buy new or resale in Markham?
It depends on your timeline and budget. New homes offer a warranty and modern systems but can take years and add costs. Resale homes let you move in quickly and negotiate, but may need updates.
New or Resale, Choose With Clear Eyes
Neeraj will compare both paths with your timeline and budget, and represent you at the sales centre if you go new.
Call or text (647) 370 8885 · info@kaizenrealestate.ca
Kaizen Real Estate Team, eXp Realty, Brokerage · 9763 Markham Rd, Markham, ON L6E 1A4
Tarion warranty and deposit protection: Tarion Warranty Corporation. HST rebates: TRREB 2026 fact sheet. Market statistics: TRREB Market Watch, Markham, September 2026. Rules change; confirm with your lawyer. This article is general information, not legal, tax, mortgage, or financial advice. Market commentary describes current conditions and is not a promise of future prices. Information is believed accurate but should be independently verified. Not intended to solicit properties currently under contract.
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