Humber/Ontario Real Estate Course 1 Exam Practice

Mr. and Mrs. Sharma have just purchased a new single-family dwelling, which is enrolled under the new home warranty provided by Tarion Warranty Corporation. How many years are they covered for basement water leakage?

1. Unfortunately, water seepage is not covered under the new home warranty program.

2. Water seepage falls under the 2-year warranty coverage.

3. Water seepage is covered for a 3-year period.

4. Water seepage is covered for a 60-month period.

5. Water seepage is covered for a 5-year period.

6. Water seepage is covered for a 1-year period.

The correct answer is: Water seepage falls under the 2-year warranty coverage.

In this scenario, the correct answer is B. Water seepage falls under the 2-year warranty coverage. This means that for the first two years after purchasing a new single-family dwelling covered under the new home warranty provided by Tarion Warranty Corporation, any issues related to water seepage in the basement would be covered. It is important to note that not all potential issues are covered under the warranty, but specifically, water seepage is included under the 2-year warranty period. The other options are incorrect because: - Option A states that water seepage is not covered under the new home warranty program, which is incorrect as it is covered for a specific time frame. - Option C, D, and E suggest longer coverage periods of 3 years, 60 months, and 5 years respectively, which is not accurate. The correct coverage period for water seepage is 2 years. - Option F mentions a 1-year coverage period, which is shorter than the actual coverage period for water seepage under the new home warranty program.