How much does it cost to replace a furnace? In Canada, the average cost is around $4,000 depending on which province you live in. There are a number of factors that will determine what you actually pay, including the type and size of unit you purchase as well as the cost of installation. If you are looking for a trusted HVAC company in the Ottawa region that specializes in high-quality furnace installation at an affordable price, contact Draft Control today.

How Much Does It Cost to Replace Furnace – Contributing Factors

There are a number of factors that will affect the cost to replace your furnace. The following is a list of these main factors and an explanation of each.

The Efficiency Rating of Your Furnace:

The efficiency rating of your furnace will affect the overall cost of the unit – the more efficient the unit, usually means the higher the upfront cost will be. Furnace efficiency is measured by its annual fuel utilization efficiency (AFUE) rating. For example, if your furnace has a 95% AFUE rating, that means that 95 cents of every dollar go towards its actual heating ability.

The higher the AFUE rating, the more efficient your furnace will be. It does not include, however, the electrical energy required to operate your fan, pumps, or controls.

The higher the AFUE rating usually also means a higher price tag. A furnace with a 97% AFUE may cost about $200 more than one that has a 95% AFUE. That may seem like a lot of money, but if you consider that a more efficient furnace will save you about 2% on your heating bills over its lifespan, then that additional $200 is a great investment.

A furnace with a higher AFUE rating will cost more initially but will save you money on heating bills over time.

Size of Furnace You Purchase:

The bigger your house is, the larger the furnace you will need to heat it. The size of a furnace is measured in BTUs (British Thermal Units) and the sizes that you can buy usually go up in 20,000 BTUs increments. On average, each additional BTU will cost between $200 – $300. the vast majority of homes can be heated by a furnace that is less than 80,000 BTU/hr.

It is important to get the correct size of furnace for your home. With furnaces, bigger is not better. If your furnace is too powerful for the actual needs of your home, it will start up and stop more often because it can heat up your home very quickly. This, however, means that it is performing shorter heating cycles, which is actually harder on your furnace and will decrease its lifespan.

On the other hand, installing a smaller furnace that is just the right size to heat your house means that you will have longer heating cycles, which means fewer stops and starts and a longer lifespan for the unit. A smaller furnace will also cost you less initially and be more efficient.

You should purchase the proper size of furnace for the size
of your home for greatest efficiency

Whether You Choose Single Stage, Two Stage, or Modulating Furnace

There are basically three types of furnaces that you can purchase: single stage, two stage and modulating, with single stage being the least expensive and modulating the most expensive.

Single Stage:

When a single stage furnace comes on, it does so at full power and will keep running until the desired temperature is reached. You will notice rather uneven heating with this type of unit, as you get blasts of warm air as it turns on and off. The heating cycle of a single stage furnace is relatively short and as it has to keep coming on and off to warm your home, it is not very energy efficient.

Two Stage Furnace:

A two stage furnace has two separate burners that can be set to run at two different levels of heating capacity: 60% and 100%. This means that it can produce longer and slower heating cycles than the single stage furnace. They are more expensive to purchase than a single stage furnace but they are quieter and they run more efficiently.

Modulating Furnace:

A modulating furnace is the most expensive to purchase – about $900 more than a single stage furnace. However, they are the most efficient and produce constant heat throughout your home. Some models run at about 40% capacity and can increase their capacity by 0.5% as the thermostat requires it. They usually run continuously at a very low setting and give you 98% efficiency.

How much does it cost to replace a furnace: Furnaces with more than one speed / stage are more energy efficient and cost more

Extra Features:

There is a wide range of furnaces from very basic models to ones that have extra features such as advanced humidity controls, reduced noise levels, and the capability to give you diagnostic data. You can also choose from units that have varying fan systems that are designed to work best for homes of varying sizes and layouts. Talk to a reliable HVAC technician to get some professional advice on which type of model would best suit your home and the features would be ones that you really need.

A Good Warranty:

You may pay a bit more for a furnace that has a better warranty, but having that extra peace of mind is generally worth it. A cheaper furnace may have a very short or poor warranty, which could be an indication of the quality of the unit. It is worth the extra money to go for a furnace that is backed by a good warranty.

If a manufacturer is willing to give you a warranty for 10 years, that means that they are confident that their furnace is well made and will last that long. It will also give you peace of mind that you won’t have to pay to replace your furnace for another 10 years.

At Draft Control Our Customers Come First

Draft Control HVAC is a highly trusted heating and air conditioning company servicing the East Ottawa region. Unlike other companies, we focus on our customers and their complete satisfaction, not on the brands that we sell. Whether you require installation, repair, or maintenance for your furnace, air conditioner, water heater, gas BBQ and fireplace, or boiler; Draft Control is there for you. Contact us today for all your heating and cooling need.

“Selim is excellent and honest. He was very good in letting me know what my options are and what his opinion
​was based on his experience. I trust him.”
-Jan Dolfatto

Financing Available!

Great news, Draft Control now offers financing through EcoHome Financial. If you know that you need to a new air conditioner and furnace and want to replace HVAC system, but you weren’t sure how you were going to do it financially, we can help. Contact Draft Control to learn more.


We Even Offer a Military Discount!

Draft Control is proud to offer a 10% discount to our military personnel. Contact us today to learn more.