Deficiency List

Learn how a deficiency list works in Canadian real estate, when it's used, and how it helps protect buyers during new home purchases or inspections.

Deficiency List



What is a Deficiency List?

A deficiency list is a documented record of unfinished, incomplete, or substandard items identified during the inspection of a newly constructed or renovated property.

Why a Deficiency List Matters in Real Estate

In Canadian real estate, especially with new home builds or condo purchases, a deficiency list is typically created during the Pre-Delivery Inspection (PDI) or final walkthrough. It helps buyers and builders track outstanding issues that need to be resolved before or shortly after possession.

Common deficiencies include:
- Scratched flooring or countertops
- Incomplete caulking or paintwork
- Improperly installed fixtures or appliances
- Missing hardware, cracked tiles, or non-functional outlets

The builder is usually responsible for correcting listed deficiencies within a specified timeframe, often under the terms of a home warranty program like Tarion in Ontario. Buyers should document issues thoroughly with written notes and photos and follow up to ensure completion.

A complete deficiency list protects buyers from overlooking defects and supports warranty claims or legal recourse if problems are not addressed.

Example of a Deficiency List in Action

During the PDI of a new condo, the buyer notes five deficiencies including a broken cabinet hinge and scuffed walls. The list is submitted to the builder for correction before move-in.

Key Takeaways

  • Documents unfinished or flawed construction items.
  • Used during new builds and PDIs.
  • Guides builder repairs under warranty.
  • Helps ensure buyer satisfaction and protection.
  • Should be detailed and photo-supported.

Related Terms

Additional Terms

Public Realm Improvements

Public realm improvements are enhancements to public spaces such as sidewalks, parks, plazas, and streetscapes, often funded or contributed by. more

Mortgagee in Possession

A mortgagee in possession is a lender who takes control of a property after borrower default, but before foreclosure or power of sale. The lender. more

Lease Surrender Agreement

A lease surrender agreement is a negotiated contract between a landlord and tenant that ends a lease before its scheduled expiration. Terms may. more

Green Infrastructure

Green infrastructure refers to natural or engineered systems that manage stormwater, reduce heat, and improve sustainability in developments.. more

Escrow Holdback

An escrow holdback is a portion of funds withheld at closing and held in escrow until specific conditions are met, such as completion of repairs,. more

Underused Housing Tax

The Underused Housing Tax (UHT) is a federal annual 1% tax on the value of vacant or underused residential property owned by non-resident,. more

More For You

Did the long weekend's warmth stir up something in you? 19 - 1075 Carlo Enterprise Road is the kind of listing that doesn't just sell a cottage, but sells a whole summer.

Perched high above Three Mile Lake on 0.44 acres with 107 feet of shoreline, the approximately 1,000 sq. ft, three-season property in Muskoka Lakes' Watt community is asking $779,000 — and the dock alone makes a compelling argument.

Keep ReadingShow less
Surrey Approves DCC Reductions, Planning New ACC Program

A construction site in Surrey. (City of Surrey)

Last week, Surrey City Council approved an update to its bylaw governing development cost charges (DCCs), reducing rates at a time when homebuilders are struggling to advance new construction.

In 2025, the City of Surrey began the process of updating its 2024 DCC Bylaw in response to new provincial legislation. The updated bylaw was submitted to the Province for review, but City staff say the review was delayed due to “job action” at the Province, so the 2024 bylaw remains the most current.

Keep ReadingShow less
Quaint Detached In Wychwood Is Like A Cottage In The City

319 Wychwood Avenue has a loft above a vaulted living room, organic berry beds in the backyard, perennial gardens out front, and a private driveway that fits three cars.

It's three minutes on foot from Cedarvale Ravine, and it's asking $989,000. At this point in the Toronto market, that combination shouldn't exist.

Keep ReadingShow less
Wesgroup Revises Civic District Master Plan Project In Surrey To 1,900 Units

An updated rendering of Civic District. (Arcadis, Wesgroup Properties)

Prominent Vancouver-based developer Wesgroup Properties has submitted a new rezoning application for Civic District, their multi-phased master-planned communication in Surrey.

Civic District is set for 10355 King George Boulevard, a 5.1-acre site bounded by King George Boulevard on the east, Central Avenue on the south, City Parkway on the west, and 104 Avenue on the north.

Keep ReadingShow less

There's a version of the contemporary Toronto home that gets the aesthetic right but fumbles the livability.

305 Manning Avenue doesn't have that problem.

Keep ReadingShow less
Altree Adds Second 43-Storey Tower To Weston Village Proposal

Rendering of 1705 Weston Road in Toronto/Graziani + Corazza Architects

Toronto-based Altree Developments is upping the ante, once again, on its plans to bring new housing, height, and density to Toronto’s Weston Village. The firm submitted a proposal to the City in mid-April for a 43-storey “east” tower at 1693-1709 Weston Road and 6-10 Victoria Avenue East, which would mirror a 43-storey “west” tower, approved for the site in July 2025.

“Since the 2025 Approval, the owners have acquired the properties at 6 and 8 Victoria Avenue East so that the assembly now includes all lands between Weston Road and the rail corridor, on the north side of Victoria Avenue East, extending north to the Metrolinx property and parking lot,” says the planning letter that went to the City on behalf of Altree last month.

Keep ReadingShow less

There are Muskoka cottages, and then there are Muskoka cottages.

The cedar Panabode at 1041 Crockford Lane S. in Bracebridge is firmly the latter — a classic of the region, sitting at the end of a quiet road on over an acre of private waterfront, with 130+ feet of Muskoka River shoreline.

Keep ReadingShow less
LISTED: Riverside Beauty Listed In Bracebridge For $600,000
Canadian Office Vacancy Expected To Hit Pre-Pandemic Levels By 2029
Shutterstock

Six years later, office markets across the country (and beyond) are still feeling the impacts of the COVID-19 pandemic, which changed the world forever by making remote work mainstream. But things are on the upswing.

In Q1 2020, at the onset of the pandemic, the national office vacancy rate was just under 8% according to commercial real estate services firm Colliers. Since then, it has been steadily increasing every quarter until about midway through 2025, when it peaked at 14.9%.

Keep ReadingShow less