Buy vs Rent a Water Heater in Ontario: 15-Year Cost Comparison

Short answer: In Ontario, buying a gas water heater can cost considerably less over the long term than renting one. A power vent tank rented at an illustrative rate of about $38 a month costs more than $6,800 over 15 years before tax, assuming no increases. The same class of tank installed by Mr. Heating & Home starts at $2,195, and it's yours from day one.

The 15-year numbers

Popular large rental companies in Ontario commonly offer ongoing monthly contracts. Contract length, coverage, fees, and buyout terms vary. Here's an illustrative comparison using publicly advertised starting rental rates previously observed in Ontario, compared with buying outright.

Rental totals are monthly examples multiplied by 180 months, rounded to the nearest dollar and before HST. They assume unchanged rates and continuous payments; actual costs may be higher or lower depending on the provider, product and contract. Our prices are installed prices for standard installation, before tax. Product specifications and installation requirements may differ, so get a written quote for a like-for-like comparison.

What renting actually buys you

A rental fee typically bundles the tank, installation, and certain repair or service coverage during the rental term. That coverage can be valuable, especially after a breakdown. Buying lets you avoid ongoing rental charges but may leave you responsible for repairs that aren't covered by the manufacturer's or installer's warranty. Compare the coverage and exclusions before deciding.

When renting can make sense

• You're a landlord who values having one provider handle covered repairs.
• You'll sell the house within a year or two and prefer less spending upfront. Check contract transfer obligations first.
• You can't pay upfront and aren't eligible for a suitable financing option.

For many homeowners staying in their property long term, buying can offer substantial savings.

If you already rent

Read your contract before you do anything. Rental agreements may include a buyout schedule, cancellation charges, equipment ownership terms, and return procedures. We'll install your new heater, disconnect the rental unit safely where permitted, and coordinate the next steps with you. Contact your rental company directly to confirm the buyout, return process, and any outstanding obligations before scheduling removal.

What's included when you buy from us

• The tank, delivered and installed by qualified, insured gas technicians
• Removal and haul-away of eligible customer-owned old equipment (rental units remain subject to the rental company's return instructions)
• Water, gas and venting connections for a standard like-for-like swap, plus start-up and testing
• Manufacturer warranty registration, handled for you
• Our 10-day money-back guarantee, subject to its published terms and exclusions

If your home needs extra work, such as a venting change or new gas line, we quote it and get your approval before proceeding.

Frequently asked questions

How much does it cost to rent a water heater in Ontario?

Prices from popular large rental companies in Ontario vary by tank type, capacity, installation and contract. Illustrative advertised starting rates have ranged from about $19 a month for some electric tanks to about $70 a month for certain condensing models. A power vent gas tank might be around $38 a month, but request a current quote and review the complete contract before comparing.

Is it cheaper to buy or rent a hot water tank?

Buying can be cheaper over the life of a tank. For example, a power vent tank bought and installed from $2,195 equals about four years and ten months of rental payments at $38.01 per month, before tax, financing costs, maintenance or repairs. Actual break-even timing depends on the equipment, installation and service needs.

Can I get out of my water heater rental contract?

Often yes, but the amount owed and your options depend on your contract and applicable consumer protections. Ask your rental company for a written buyout or cancellation quote and confirm whether the unit must be returned.

Do you install in my area?

We install across the GTA and Southern Ontario, including Toronto, Mississauga, Oakville, Markham, Durham Region, Kitchener-Waterloo, Guelph, Peterborough and the Kawarthas. Check your postal code or call 905-418-2629.

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Illustrative rental rates based on publicly advertised Ontario starting prices observed in September 2026; these are examples, not a market average or a quote from every provider. Prices and contract terms can change. Confirm current terms with the provider.