Difference between Furnace Rental Companies
Furnace Rental Companies have different rental programs including term, cost and maintenance plans.
Furnace rental costs vary with furnace rental companies and depend on factors such as length of the contract and installed equipment. Rental rates can vary between $49.99 per month to $89.99 per month and contact terms can be 7 years, 10 years and even 15 years. Most furnace rental companies do not require down payments and installation costs are generally included and you only pay flat monthly fee. When you are selecting furnace rental plan make sure it is an Open Agreement which means you can buy out and pay off the equipment anytime without penalties. Also look for a furnace rental company that offer Transferrable rental programs so if you sell your home you can easily transfer equipment rental to the next homeowner.
BTU Output, AFUE Efficiency Rating and Furnace Manufacturer
Cost of furnace rental often depends on BTU sizing of the equipment, efficiency level and manufacturer you choose. Some brands like Amana or Carrier typically cost more comparing to some of the other brands like Goodman and Lennox. But keep in mind that most furnace rental companies offer full coverage protection on rental equipment so no matter what brand you get you will be fully protected by the rental company. So consider if it is worth paying more just for the brand name.
The energy efficient rating and BTU sizing of the equipment also add up to the monthly rental fee. Larger and higher efficient units are those with higher monthly rental fees as they are more expensive models. Lower efficiency equipment and smaller sized typically cost less on rental basis.
Electric and Oil to Natural Gas or Propane Conversion
If you require oil to natural gas or propane conversion then you are probably looking at a higher than standard monthly rental costs. Unless you wish to pay any extra installation costs upfront that result from the conversion work, you may have an option to include all extras with your monthly rental fees.
If you have electric baseboard heating, radiators and no ductwork in the house you also have to consider the cost of installing heating ducts throughout your home. Conversions are complex jobs and require time more parts and labour so it is common to incur higher monthly rental rates. You can alternatively consider a ductless heating system rental.
No Credit or Bad Credit
Many homeowners can afford to pay thousands of dollars upfront for a new heating system and opt out or rental programs. But securing a heating rental program can also be difficult with some HVAC providers. Some rental companies such as Enercare (formerly Direct Energy) and Reliance Home Comfort may only accept customers with high of good credit score. Some other furnace rental companies such as DeMark Home Ontario are more forgiving and will accept most customers as long as they are homeowners and are in the company’s servicing area for bad credit.
Purchasing Your Furnace vs. Renting
A common question is should you buy or rent your heating system? When comparing purchasing price to total rental cost over the term of the agreement it may seem quite expensive. You may want to compare the cost of renting furnace over 10 years period to purchasing cost, however you should consider few things before making the comparison:
- Heating equipment cost can vary between $3000 to $5000+ in upfront costs and furnace rental companies allow you to pay for the unit over the extended period of time with affordable monthly rental fee
- Many rental companies include annual maintenance with their rental plans which will extend the lifespan of the furnace and ensure smooth operations
- Furnace rentals come with full coverage on all parts and labour. You don’t have to worry about costly service calls again. With furnace worry free rental programs you can have peace of mind 24/7 knowing that your heating equipment has full coverage and even unit replacement in teh even it cannot be repaired. Some repair costs can be very expensive and range from few hundred over $1000 dollars.
- You no longer require Protection Plan. Some companies charge up to $50 per month for heating protection plans when you own your equipment. With rental program full Protection Plan is included in the rental rate.
Is furnace rental a right choice for you?
As a homeowner you have to make decision that is right for your home, budget and personal preference. If purchasing equipment upfront is in your budget and you are ok with worrying about any maintenance and repairs as they come then it might be the right option for you. However if you are interested in the convenience that worry free rent to own plan offers then read more about the benefits of the program. An increasing number of homeowners are opting out for the rent to own plans these days including senior citizens and people with disabilities who can benefit from the servicing and repairs that come with the rental programs.
Some property management companies as well homeowners who rent out their properties prefer furnace rental programs. The main advantage of the furnace rental programs for landlords is they provide hands-off solutions for their rental properly heating needs and are often tax deductible. If there ever any problem with the equipment, the service calls are all taken care and it is one less thing to worry about.
Benefits of Renting
- No upfront costs or down payments.
- 24/7 Protections. Never worry about a service call and unexpected repair costs again. Enjoy peace of mind with unlimited service calls.
- Save money on your energy bills with new high efficiency equipment.
- Some Furnace Rental Companies do not do credit check so approval is guaranteed whether your have bad credit or no credit history. This may a good option for you if you have a credit history issue and purchasing is not in the budget.
- Equipment replacement in the event it cannot be repaired.
- Program is transferable to the next homeowner should you sell your home and more.
With furnace rental programs you are entitled to government rebate of $250 (plus an additional $250 to $400 if you replace your central air conditioner together with the furnace to a new high efficiency model). Your furnace rental provider will generally apply for the rebate on your behalf after equipment is installed and you will receive a cheque by mail within 4 to 8 weeks from the installation date. Some provinces are also offering additional furnce and air conditioner rebates; however the availability of rebates will vary.
How does furnace rent to own program work?
Most furnace rental programs are very straightforward. Homeowner has to sign the agreement so if you rent your home you will need landlord’s permission to proceed with the installation. Once the agreement is signed installation will take on the scheduled date and many companies can book your installation as early as the next day. You may also receive few months free rent as an incentive from your heating provider. From there on you will be paying monthly furnace rental fee either through your local gas utility i.e. Enbridge or you can opt out for PAP pre authorized payment plan. If you ever need service on your equipment you simply call technical support and they will send out service tech in a timely manner.
If you are looking to learn more about furnace rental programs, get a free consultation on furnace replacement or to schedule In Home Assessment call Demark Home Ontario at 647-847-2998 or submit your request online. One of our friendly staff will be happy to assist you with any inquiries.
All our technicians are highly trained and fully licensed professionals.