Just like you asked! The cost to install a furnace in Toronto ranges from around $2,300 – $9,000, with the average cost coming in at around $4,400.
Of course this is the average installation cost, and a furnace technician will need to examine your home and heating needs to determine the actual cost to install a furnace in your house.
Alternatively you can call us at (647) 479-HEAT (4328) to start saving today!
A number of factors will affect the cost:
- Size of the furnace
- The furnace’s fuel type (electric, natural gas, propane, fuel oil)
- The efficiency level of the new system
- The contractor that you hire
Furnace Cost #1: Size
In general the larger the “size” of the furnace, the more expensive it will be.
The size of a furnace is measured in British Thermal Units (BTUs). A furnace’s BTU output equates to the amount of heat a furnace can produce in 1 hour.
Furnaces can range anywhere from 40,000 BTUs to 150,000 BTUs; the larger the BTU output (or the “larger” the furnace) the more expensive it generally will be.
How do you know what size of furnace to buy?
The best way to determine what size furnace you need is to have a professional do a heating and cooling calculation. Nearly all homes have had this assessment but you may need to do some digging to find it. A technician will assess a variety of factors, including:
- Size and layout of your home
- Number, size, and type of windows
- Climate
- Type and quality of insulation
- Number of people living in your home
- And more
A load calculation takes all of the above into consideration to ensure you are getting the right size furnace for your home. Through a number of calculations a technician can determine how much heat your home loses and ensure the furnace is able to generate more heat than is lost.
Why does it matter what size furnace I buy?
Another great question! Contrary to what you may think, a larger furnace does not mean better or faster heat. In fact, an oversized furnace will heat your home quickly and then shut off…this is called short cycling. Short cycling causes problems, like:
- Shortened furnace lifespan
- High heating bills
- Uneven heating throughout your home
On the other hand, an undersized furnace can also cause issues. If your furnace is undersized, it will run constantly to try and keep up with demand, resulting in:
- Shortened furnace lifespan
- High heating bills
- A home that is never fully heated
Furnace Cost #2: Fuel type
There are a few common fuel types for furnaces:
- Natural gas
- Propane
- Fuel Oil
- Electric
Gas/Propane price factors
While gas and propane furnaces are usually more cost-effective when it comes to monthly utility bills, they are more expensive to install than an electric furnace. This mostly has to do with the additional work associated with piping and venting:
- Venting– Because gas/propane/fuel oil furnaces actually produce exhaust gases, they have certain Ontario venting code requirements that need to be met. If you don’t already have a gas furnace or if you have an outdated venting system, a technician will need to install or upgrade your venting.
- Gas line installation or extension– If you don’t already have a natural gas line, or are upgrading to one you can expect some additional costs. Also any new gas line codes will require your home to be brought up to date.
Electric price factors
As mentioned, electric furnaces are less expensive to install since no venting is required. On the other hand they are much more costly to operate here in Toronto and Ontario. Important to note that electric furnaces can come with additional installation costs, like:
- Electric panel updates– You may need to update your electric panel to support the load of your new furnace… this will increase your installation cost.
- Cosmetic repairs– If wiring needs to be updated or replaced, you may have to pay for some cosmetic fixes, like drywall repairs.
Furnace Cost #3: Efficiency level
Furnace efficiency is measured in AFUE or Annual Fuel Utilization Efficiency. The higher the AFUE, the more efficient your furnace is.
The more efficient your furnace is, the more expensive the unit is on the front end, but you’ll likely see higher monthly savings on your utility bill.
For example, if you have a furnace with an efficiency level of 95%, that means 95% of the fuel used will be turned into heat and 5% of it will be expelled to the outside of the home through the venting system.
Furnace Cost #4: Hired Contractor
The contractor you hire can affect the price of your overall installation cost. Have you found a great deal off from some company on Kijiji or Facebook? There is probably a reason the price is so cheap.
The best we can suggest is to try to find a qualified contractor:
1. Are they licensed and insured?
- Check for a license number and insurance information.
- Ask for proof of license and insurance.
2. Will they provide a written estimate? You should be wary of any company or contractor that will not provide a written estimate prior to your installation. Written estimates protect you from any surprise fees or costs outside of what you originally agreed upon.
We offer free in-home, no-obligation estimates to help you determine which furnace is best for you home.
Alternatively you can call us at (647) 479-HEAT (4328) to start saving today!
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