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Keeping your home comfortable should be a priority, regardless of the season. Hence, a fully-functional and efficient HVAC system is necessary as it can keep your home cool in the summer and warm in the winter. But what happens if your old furnace and air conditioner break down? Make sure you find out how much it costs to replace a furnace and air conditioner so that you know if and how you can afford it.

Read through this guide to learn the different factors that affect the replacement cost of your HVAC system in Canada.

Introduction to HVAC System Costs in Canada

An HVAC system refers to your home's heating, ventilation, and air conditioning systems. Since many components are involved, you can understand why it can cost a hefty amount to replace or install.

Several factors can influence the quoted price for the HVAC replacement. But first, let's look at the numbers so you can know how much you can expect to pay.

Cost
National Average $4,995
Low End $2,500
High End $6,700

Based on the table above, the national average HVAC replacement cost in Canada is $4,995. The price can go up or down depending on factors like your location (city or province), the HVAC unit's model, the unit's size, etc.

How Much Does it Cost to Replace a Furnace and Air Conditioner in Canada?

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The cost of replacing a furnace and air conditioner in Canada will depend mainly on the system you need to be installed. For example, the system replacement cost will vary if you were to install a furnace and central air conditioning unit instead of a boiler and a ductless heat pump.

It's essential to break down each of these factors to understand how HVAC specialists determine the cost.

HVAC Labor Costs

The labor cost is one of the primary factors that will impact how much you have to pay for a new furnace and air conditioner. Two factors have the highest influence on pricing: 1) size and placement of the system, and 2) cost of installation.

You need an HVAC specialist to replace and install your furnace and air conditioner. An HVAC system must be custom-fitted for your home. They will consider the size of your home and the weather conditions where you live. At the same time, they will also be responsible for sizing the ducts correctly to maximize air circulation within your home. If not sized properly, your HVAC could significantly increase your utility bills. A professional can properly fit your home with the correctly sized system, which helps you avoid unnecessary expenses in the long run.

Cost of Air Conditioner Replacement

An air conditioner is essential for homes in Canada, especially during the hot summer months. There are many types and models of air conditioners on the market. Here is a breakdown of the most common systems available and the expected costs for each.

  • Split System – This is one of Canada's most common types of air conditioners. It comprises two components: the house or evaporator coil and the metal case or the condenser coil. This air conditioning system is suitable for homes with a central furnace as they can use the same ductwork that is already built into the house.
  • Central AC – This type of air conditioner combines the evaporator, compressor, and condenser. It is installed on the home's roof or through a concrete slab.
  • Heat Pumps – This system is ideal for homes that experience hot summers and harsh winters. It works by delivering cool air inside your home during the summer and warm air in the winter. It is one of the most expensive types of air conditioning systems (up to 40% more expensive), but it is the most energy-efficient.
  • Ductless Mini-Split System – This system is recommended for homes without existing ductwork. It comprises an outdoor compressor and a condenser with one or several air handling units. A tube is used to connect the indoor and outdoor units. The ductless system is also 30% more expensive than air conditioning systems connected to a duct.
  • The cost of replacing your air conditioner in Canada will depend on which system you choose to install. Make sure you also consider the cost of repairs and maintenance for your chosen system.

Cost of Furnace Replacement

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A furnace is a type of heating system designed to maintain the temperature inside your home during the winter. It is available in various systems, like air conditioners, at varying costs.

Several factors come into play when HVAC specialists give you a quote on your furnace replacement. Here are some of these factors:

  • Annual Fuel Utilization Efficiency (AFUE) Rating – The AFUE Rating is assigned to a furnace to help consumers determine its overall efficiency. A higher AFUE rating is good because the unit is more efficient; however, it also means it will have a higher price tag. Don't let the higher initial cost deter you because it could translate to more savings in the long run.
  • Warranty – Always check the warranty when buying a furnace to replace your old one. You might have to spend more for a unit backed by a solid warranty, but it will give you peace of mind that the furnace will perform well. It’s best to pay more for a good quality furnace and not think about replacing it for another ten years.
  • Features – Plenty of furnace models and brands are available, and they vary in the range of features they offer. The more advanced the features are, the higher the cost of that furnace model. Make sure you know what features you need in order to choose the most suitable model and price point.

Location can also influence the cost of replacing and installing your furnace. For example, the average furnace replacement cost in Ontario is $2,500 to $6,300. The prices of furnace replacement within Ontario can also vary by city. The cost in Ottawa starts at $3,300, which is higher than in Toronto, which starts at $2,500.

If you need to replace your furnace and air conditioner, shop around. Ask various HVAC specialists for a quote. They will ask you for basic details such as the size of your home, location, and the type of HVAC system you want to be installed. Most specialists are willing to give you a quote before you agree to a contract, so use this opportunity to shop around and determine the best fit for your budget and needs.

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