Furnace/HVAC Replacement Cost in Ottawa (2026)

The primary incentive is the Home Renovation Savings Program, offering up to $7,500 for high-efficiency heat pumps and $3,500 for furnaces. The Enbridge HER+ program closed in late 2025, but the new provincial stack allows for significant offsets if combined with a $40,000 interest-free Greener Homes Loan.

A standalone high-efficiency gas furnace replacement typically ranges from $3,500 to $7,500 CAD. Budget models (95% AFUE) start near $3,500, while premium modulating units (98%+ AFUE) often exceed $7,000 including installation.

Costs generally scale at $3.00 to $6.00 per square foot. For a typical 1,800 sq ft Ottawa home, a full system replacement averages between $5,400 and $10,800, whereas a 2,500 sq ft home often reaches $13,500 to $15,000 due to higher BTU requirements.

Prices rose approximately 9% year-over-year due to the full implementation of SEER2 efficiency standards, which added 8-12% to equipment costs. Additionally, 2026 steel and aluminum tariffs have added a 'trade war tax' of several hundred dollars per unit.

A straightforward furnace and AC swap typically takes 4 to 8 hours. However, complex fuel conversions (e.g., oil-to-gas or oil-to-heat pump) can take 12 to 16 hours and may require additional electrical panel upgrades.