Furnace Installation Cost Calculator

Use this furnace installation cost calculator to estimate equipment and labour costs for
a new furnace in Ontario, based on home size, efficiency rating, and province.
🇨🇦 Canada-Specific Pricing
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Furnace Cost Calculator
How much will upgrading your furnace cost? Get a new gas furnace price estimate instantly with this short quiz.
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This helps estimate the right furnace capacity for your home.
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How Much Does a New Furnace Cost in Canada?

Furnace installation costs in Canada typically range from $3,000 to $10,000+ (see our full furnace replacement cost guide for a province-by-province breakdown), depending on the furnace type, AFUE efficiency rating, home size, and province. On average, most Canadian homeowners spend between $4,500 and $7,000 for a complete furnace replacement including all labour and materials. explore furnace financing options if you’re budgeting for the upgrade.
Furnace TypeAFUEInstalled Cost (CAD)
Entry-Level Single Stage80%$3,000 – $4,500
Mid-Range Two Stage92–95%$4,500 – $6,500
High-Efficiency Variable Speed96–98%$6,500 – $10,000+
Natural Gas Furnace (average)
Compare fuel types in our furnace fuel type cost comparison.		92%$4,800 – $7,200
Propane Furnace92–96%$5,000 – $8,500

What Affects Furnace Installation Cost?

🏠 Home Size & BTU Load
Larger homes require higher-capacity units. A 1,000 sq ft condo may need a 40,000 BTU furnace, while a 3,000 sq ft home may need 120,000 BTU. For a manual walkthrough, see our furnace sizing guide.
⚡ AFUE Efficiency Rating
Higher AFUE (96–98%) furnaces cost more upfront but significantly reduce monthly gas bills. Minimum AFUE in Canada is 92%, per current ENERGY STAR HVAC efficiency standards.
🔄 Single vs. Two Stage
Variable-speed and two-stage furnaces provide better comfort and efficiency but add $1,000–$2,000 to the installed cost versus single-stage models.
📍 Province & Labour Rates
HVAC labour varies significantly. Toronto and Vancouver installations typically cost $500–$1,500 more than smaller cities or rural areas.
🔧 Ductwork & Venting
Replacing old ductwork, adding new venting for high-efficiency units, or upgrading the gas line can add $500–$2,500 to your total cost. see our ductwork and duct cleaning guide.
If you’re also due for a cooling upgrade, see central air conditioner cost in Canada for combined project budgeting
🏷️ Brand & Warranty
Premium brands command higher prices than value brands compare all options in our best furnace brands in Canada guide. but often include better warranties and longer lifespans.

Furnace Cost by Province (Estimates)

$4,500 – $8,500
British Columbia
$4,800 – $9,000
Alberta
$4,000 – $7,500
Quebec
$3,800 – $7,000
Manitoba / Saskatchewan
$3,500 – $6,500
Atlantic Canada
$3,500 – $6,500

💡 Available Rebates & Incentives

Enbridge Gas & Save on Energy: Rebates for heat pumps, insulation, and smart thermostats. Standard gas furnace replacement is not currently rebated under this program.
Up to $3,800 when switching from oil or propane to a high-efficiency ENERGY STAR natural gas furnace (95%+ AFUE). Heat pump and dual-fuel rebates also available for qualifying homes.
Rebate availability varies by utility and season confirm current offers directly with your provider.
Natural gas heating upgrade rebates continue confirm current amounts on Énergir’s efficiency program page.

Frequently Asked Questions

How long does furnace installation take?

Most professional furnace installations take 4–8 hours, or a full day if ductwork or venting needs modification.

Yes most municipalities require a mechanical permit ($50–$250), which your TSSA-licensed HVAC contractor typically arranges. Review our complete furnace buying guide for the full process.

A well-maintained furnace lasts 15–25 years, with high-efficiency models reaching the upper end when tuned up annually. See regular furnace maintenance

Use the 5,000 Rule: if furnace age × repair cost exceeds $5,000, replacement is usually the better financial choice. see signs it’s time to replace your furnace.

Rebates Available
Canadian homeowners may qualify for up to
$5,000
in federal and provincial rebates on qualifying systems.
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