Read this before you sign a contract!


In Ontario rental HVAC products have become a highly marketed and lucrative business for companies providing home services. With years in the industry I have first hand experience in what these services and products are. With family that is currently in law school and practicing law we have verified these agreements are very strong once entered into.


You should know that you have a 10 day cooling off period for contract cancellation at no cost to you if you have already signed these types of contracts. If 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. 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 put against your property for these rental products. This can hinder your ability to take out a loan or refinance your home. Simply putting 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, are being presented with rental/lease agreements. These may seem like a good 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 who claims to “care” about your “energy” in their name:


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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 being sold in the rental agreement are usually mid-range and allow larger profits for the companies providing them.

With these prices, you can purchase the highest-rated energy efficiency products on the market. Always ensure you are getting an energy-star-rated air conditioning system. To add to the high cost this price does not include a warranty on the equipment at the retail price.

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

These presentations claim to include annual maintenance and protection. Since the products include 10-year warranties for parts and labour it doesn’t need a protection plan.

At City Home Comfort we always start our sales process by informing our clients. We want you to be knowledgeable before purchasing any products.


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.

Finance (Fair): Financing your furnace/air conditioner means taking out a loan that you repay over time. When you take out a loan, you agree to pay back the amount you borrowed, plus interest and any fees, within a set period of 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 term. There are buyout penalties that will be applied, and you will pay a 3.5% annual increase in price on some agreements. Rental agreements often have a total payable amount well over 160% over the retail value!


With honesty, transparency, and goodwill at the core of our business model. You can rely on us to be sure you are getting the highest quality service, top-rated products, and the fairest options available.

With this information, 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 9 months at 0%.

Amana furnace 0% for 9 months