Read this before you sign a contract!


In Ontario, rental HVAC products have become a highly marketed and lucrative business for home service companies. With years in the industry, I have first-hand experience in what these services and products are, and I can assure you they do not benefit the end consumer.


You should know that you have a 10 day cooling-off period for contract cancellation at no cost to you, according to Consumer Protection Ontario.  If you have already signed these contracts and are within 10 days of signing, send an email to the company you signed the agreement with stating; contract termination so you have proof of it. Also, if you have a rental water heater, use this guide to get out of your services contracts.


You will also agree to a lien or security interest against your property for these rental products, which can hinder your ability to remortgage or refinance your home. Simply placing a stop payment on your monthly charges will not help and would be considered a breach of contract. So, the company can still collect the amount owed and affect your credit.


We have heard from clients that sales representatives from other companies have mentioned rental properties can receive a tax credit for these products, but we can not find any evidence of that.


Many homeowners looking for high-efficiency furnaces, air conditioning, water heating systems or other products choose rental/lease agreements. These may seem like an excellent low-cost option upfront but tend to be very expensive in the long run.


Here is an example of a variable-speed gas furnace and air conditioner rental agreement from a company that claims to “care” about your “energy” in their name:


8 clear signs you should replace your furnace

Read the terms before you sign a rental agreement

As you can see, the retail price of these products is $9228 + HST (which is already a high price for these models offered). The products sold in the rental agreement are usually mid-range and allow more significant profits for the companies providing them.

At these prices, you can purchase the highest-rated energy efficiency products on the market.  The most astounding fact, you get no warranty if you buy out the contract.

And the total payable amount for the agreement is $29,907.06! It seems like a very unfair option for those who are not expecting to spend such a high amount of money.

At City Home Comfort, we always start our sales process by informing our clients. We want you to be knowledgeable before purchasing any products. Contact us for a no-obligation virtual estimate to ensure you have seen all the options.


We want to break down the difference between paying for a new system in your home.


Paid in full (Optimal): Pay for the entire HVAC upgrade in one lump sum using a Visa, Mastercard, E Transfer, or Cheque. An outright buyout with a warranty provides the highest overall value.

Finance (Fair): Financing your furnace/air conditioner means taking out a loan you repay over time. You can expect to pay from 8-9% APR on your loan.

When you take out a loan, you agree to pay back the amount you borrowed, plus interest and any fees, within a set time. However, you can opt to pay the principal amount off at any time with no penalty.


Rental (Last Resort): Pay for your new equipment on a monthly plan for a fixed term. When entering a rental contract, you will be paying a set fee for a specific period.

For Example, let’s assume you have paid two years of payments; your buyout cost would be 96%  retail value and 88% after three years of payments.

Means, the buyout cost only reduced by 4-7% per year. That means its over 90% APR.

In summary, it is not recommended to choose a rental option. Instead, we offer a full coverage warranty on a finance option that has much lower costs. Get qualified now for 6 months at 0%.


Bosch IDS City Home Comfort