Furnace Replacement Cost in Ontario — With the Rebate Truth
A furnace replacement is often an emergency purchase, which is exactly when overpaying happens. Here is the typical range, what must be in the quote — and the one fact most furnace quotes leave out.
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Rates last verified: August 16, 2026 · against homerenovationsavings.ca. Programs can change or close at any time — confirm before signing a contract.
Time left in the reported HRS funding window (November 30, 2026 — not an official application deadline; the program can close earlier or run longer). A full rebate cycle takes 3–6 months — starting now is the safe window.
High-efficiency gas furnace, installed
$3,000 – $8,500
Typical Ontario installed prices, verified against published market guides. Your quote depends on your home.
The rebate truth
There is no Ontario rebate for replacing a gas furnace with another gas furnace — none. Rebate dollars go to heat pumps: a cold-climate heat pump (with your furnace kept as backup) qualifies for HRS money and cuts your gas use. If your furnace still runs, price that path before an emergency decides for you.
What drives the price
Furnace size (BTU) and stage
Single-stage is cheapest; two-stage and modulating furnaces cost more and heat more evenly.
Efficiency rating
96%+ AFUE condensing furnaces cost more upfront and burn less gas every month.
Venting and code updates
Older homes may need new venting, gas-line work, or condensate drainage to meet current code.
Emergency vs planned replacement
A mid-January no-heat emergency limits your ability to compare quotes — the single most expensive factor of all.
What a complete quote must include
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Paste them into our free tool — we normalize price per ton, apply the rebate each setup actually earns, and flag the traps (unregistered contractor, missing scope, vague model).
Compare my quotes →Ranges reflect the ClaimRebate cost registry and published Ontario market guides, verified August 2026. As our quote database grows, this page will show real anonymized price benchmarks from Ontario homeowners — not just typical ranges.
Common questions
How much does a new furnace cost in Ontario?
Typically $3,000–$8,500 installed for a high-efficiency gas furnace, depending on size, stage, and how much venting/code work your home needs.
Is there a rebate for a new furnace in Ontario?
No. Current Ontario programs do not pay for gas-to-gas furnace replacement. Rebates apply to heat pumps — including hybrid setups where the furnace stays as backup.
Furnace or heat pump — which should I price?
Price both. A heat pump carries a rebate, cools in summer, and cuts gas use; a furnace is cheaper upfront. The right answer depends on your gas costs, home, and timeline — our guide walks the math.
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All rebate amounts on this page come from ClaimRebate's program registry, last verified August 16, 2026 against homerenovationsavings.ca. Rebate programs can be modified or discontinued at any time without notice — always confirm current amounts and eligibility with the official program before making financial decisions. This is an independent homeowner resource, not affiliated with any government or program administrator.