The cost to replace a furnace in Ontario can range anywhere from under $3,000 on the lower end to over $5,500 on the higher end. Read on to find out what affects the price and what is a reasonable price to pay. Then trust Draft Control with your furnace installation.

Cost to Replace Furnace in Ontario

The replacement cost for a furnace can fall anywhere from under $3,000 to well over $5,500. But why is there such a big difference in price? That’s because there are many factors that affect the final price you pay including brand, labour, warranty, and the type of installation.

The Brand You Choose Will Affect the Cost

There are a large number of furnace brands on the market from well-known makers such as Carrier, Bryant, and Lennox , to lesser known ones. The better the brand, the higher the price you will pay. But as with most things in life, a higher quality furnace will probably last longer than a lower quality one.

Carrier Infinity® 80 Gas Furnace 58CVA
– Image Source: Carrier

Bryant Preferred™ Series Variable & Multi-Speed Gas Furnace – Image Source: Bryant


Lennox 98V Variable-Capacity Gas Furnace – Image Source: Lennox 

The Model You Choose Will Affect the Cost

As with brands of furnaces, there are also a wide range of different models. The biggest factor that will affect the price among the different furnace models is its efficiency rating. The more efficient furnaces will usually cost you more, but they may end up being the best value as they can save you in fuel costs over time.

Furnace efficiency is measured by its annual fuel utilization efficiency (AFUE) rating. For example, if your gas furnace has a 90% AFUE rating then that means that 90 cents of every dollar goes 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 that has 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 the more efficient furnace will be saving you about 2% on your heating bills over its lifespan, then that additional $200 is a great investment.

Replace furnace in Ontario: A better model and brand of furnace will cost you more initially,
​but it may last longer

The Size of Furnace Will Affect the Cost

It is important to select the right size of furnace for your home. A trained HVAC technician can help you figure out how big of a furnace you will need. With furnaces, bigger is not always better.

You shouldn’t install a furnace that is too powerful for the actual needs of your home. If you do, 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.

A furnace that is the correct size will make longer heating cycles and have fewer stops and starts. As a result, your furnace will last longer and will also cost you less initially to purchase.

The Type of Furnace Will Affect the Cost

There are 3 types of furnaces: single stage, two stage, and modulating.

Single Stage: These are the least expensive type of furnace. A single stage furnace will come on at full power and will keep running until the desired temperature is reached. It gives uneven heating as you get blasts of warm air as it turns on and off.  The heating cycle of a single stage furnace is relatively short. It has to keep coming on and off to warm your home, so it is not very energy efficient.

Two Stage Furnace: This type is more expensive than a single stage. It has two separate burners that can be set to run at two different levels of heating capacity: 60% and 100%. Because of this feature, it can produce longer and slower heating cycles than the single stage furnace. They are quieter and they run more efficiently than the single stage furnace.

Modulating Furnace: A modulating furnace is the most expensive to type. They can cost about $900 more than a single stage furnace, but 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.

Replace furnace in Ontario: A modulating furnace is the most expensive but the most efficient type

Getting a Better Warranty Will Affect the Cost

A furnace with a better warranty may cost you more, but it will be well worth it. It is worth the extra money to purchase 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. A cheaper furnace may have a very short or poor warranty, which could be an indication of the quality of the unit.

The Type of Installation Will Affect the Cost

If you have a difficult installation, such as converting your current furnace from oil to gas, then it will put up the overall price of your furnace.

A quality installation may also cost you more. However, you don’t want to take chances with sub-standard furnace installation. It is worth the money to make sure that you are hiring an HVAC technician that is properly trained and certified to install your furnace correctly.

You’ve made a large investment in your new furnace, so make sure you protect that investment by having it installed by someone who knows what they are doing. Don’t cut corners by hiring an inexperienced or untrained person to put in your furnace.

Does Where You Live Affect the Cost?

Prices are usually quite consistent across Ontario. You may pay a bit more in a rural area where there is less competition and where longer driving distances may affect your labour warranty. Larger urban centres like Toronto may have slightly lower prices due to increased competition and where there are less-established companies who cut their prices to be competitive. Be cautious about lower prices, as this might indicate less experience and limited warranties.

You Can Trust Draft Control to Install Your Furnace Right

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

“Draft control heating & Cooling was out today to replace the motor on my furnace in the middle of heat wave (35 degrees).  He was out to my place in 10 minutes (on a holiday no less!) and had it fixed and running in less then an hour.  Pricing was very reasonable.  Definitely recommend!” – Ottawa Refacing

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 on select services and sales to our military personnel. Contact us today to learn more.