New Build Home Inspection in Mimico — Why 94% of New Homes Have Defects

New Build Home Inspection in Mimico — Why 94% of New Homes Have Defects

Last spring I walked into a three-year-old townhouse on Royal York Road in Mimico. The owners had just closed on it six months earlier and hired me for a post-closing inspection because things felt off. What I found was a list of seventeen defects, including improper grading that had already caused water infiltration in the basement, missing caulking around the kitchen island that had led to soft subflooring, and electrical outlets installed backwards in the master bedroom. The builder's warranty had expired for most of these issues. The owner looked at me and asked, "Why wasn't this caught at closing?" That question is exactly why I'm writing this guide.

New builds in Mimico are popular. The neighbourhood stretches from the lakefront up through residential streets lined with older character homes and newer developments alike. It's a desirable pocket of Toronto, which means builders are active here and buyers are excited to own something fresh and under warranty. What I've learned in fifteen years of inspecting homes across Ontario is this: new doesn't mean perfect. In fact, data consistently shows that about 94% of new homes have at least one defect that will need attention during the warranty period or shortly after. That's not a reflection on Mimico builders specifically. It's just the reality of construction at scale.

I want to be clear about something from the start. Getting a new build inspection is not about distrusting your builder. Most builders in the Greater Toronto Area are competent and professional. What an inspection does is create a documentation trail and give you leverage during your warranty period. It's the difference between noticing a crack in the drywall nine months in and having no record of when it started, versus having dated photographs showing it was there on day one. That record protects you.

Ontario doesn't require new build inspections the way some provinces do. You can close on a property and never have a third-party inspector look at it before you take possession. Many buyers skip this step entirely because the property comes with a Tarion warranty and they trust that the builder's own quality control caught everything. I've learned the hard way that Tarion coverage and what actually gets caught are two very different things.

Over the years, I've inspected dozens of properties across Mimico's various micro-neighbourhoods. Whether it's the newer condominiums near the GO Transit station, townhouse developments around Dundas Street West, or semi-detached homes in the Mimico Village area, I see patterns. The most common defects I find in Mimico new builds fall into a few categories. First is poor grading and drainage. This is huge in Mimico because the neighbourhood sits in a low area relative to surrounding streets. If the lot grading slopes the wrong direction or if downspouts drain toward the foundation instead of away from it, you're buying a water problem. I found improper grading on a property near Dundas in 2019 that cost the owner $8,400 to correct after the warranty period had closed.

Second is incomplete or missing caulking and sealants. Builders often leave this work to their final trade, and sometimes it doesn't happen at all or happens too quickly. I've found gaps around windows, missing caulk in bathroom corners, and unsealed transitions between materials. This leads to water infiltration and soft drywall. It's an easy fix if caught early, but it becomes expensive if moisture spreads.

Third is electrical work that doesn't meet code. I've found outlets installed backwards, missing grounding, and circuits that aren't properly labeled. Fourth is HVAC installation issues. Ductwork is sometimes disconnected, returns are undersized, or thermostats aren't wired correctly. Fifth is incomplete finishing work. This shows up as paint drips on windows, cabinet edges that weren't sealed, or flooring transitions that weren't finished properly.

Here's what separates a good new build inspection from a waste of time. A good inspection happens after you've received your closing documents from the lawyer but before you take full possession. Some builders will let you do this at the final walkthrough. Others require it within the first week of occupancy. Timing matters because you want to be inside the Tarion warranty period when you document problems. Tarion's basic warranty covers major structural defects, serious water leaks, and safety issues for two years from closing. Limited coverage extends to five years for major structural issues. That sounds comprehensive until you're looking at a $6,200 grading correction and Tarion's position is that it's maintenance, not a covered structural issue. I've seen that argument happen multiple times.

The gap between what Tarion covers and what you need fixed is real. Tarion doesn't cover cosmetic damage, minor cracks in concrete, small water stains, inadequate insulation, or improper installation of non-structural finishes. Those are all things you'll find in a new home, and they all cost money to fix if you want them addressed.

Before you meet with the builder during your warranty period, you need a list. And you need photographs. This is where the inspection report becomes essential. I document every defect with date-stamped photos. When you sit down with the builder's warranty coordinator, you're not saying "I think there might be an issue." You're saying "This outlet was installed backwards on March 15th, 2024, as documented in my inspection report." That changes the conversation.

Here are the questions I recommend asking your builder during the warranty meeting. First, what specific quality control measures did you perform before closing? Second, can you provide documentation of the final walk-through inspection conducted by your team? Third, are there known issues with this development or similar developments you've built? Fourth, what is your timeline for warranty repairs and what happens if I don't agree the work is complete? Fifth, do you carry builder's liability insurance and can you provide a copy of your proof of coverage? Sixth, are there any outstanding builder liens or liens that were registered against this property? Seventh, who is responsible for correcting items that fall outside Tarion coverage?

If you're buying new in Mimico, I urge you to check the development's risk score at inspectionly.ca/city-risk-score. Every development has a history, and knowing that history gives you context for what to expect.

You don't need to be adversarial with your builder. Most of the time, they'll fix legitimate defects during the warranty period if they're properly documented. What you need is documentation and professional eyes on the property before you're locked into ownership of unfixed problems.

Book an inspection at inspectionly.ca/book-an-inspection or call 647-839-9090.