New Furnace Cost in Mississauga (Installed Prices)

A new gas furnace in Mississauga starts at $2,800 installed on the published price lists we read. That is the low end of EcoFrost Heating and Cooling's $2,800 to $4,500 range for a single-stage furnace at 95-96% AFUE. AFUE is the share of the fuel a furnace turns into usable heat, so a higher number means less waste. A two-stage furnace at 96-97% is $4,500 to $7,000 on the same list. At the top of EcoFrost's list sits $9,500 for a Carrier at 98.5% AFUE. Furnace King Home Comfort puts the typical GTA replacement at $3,000 to $8,500. On top of the furnace you owe the City of Mississauga a flat $244.00 permit fee. And in August 2026 there is no rebate for a gas furnace on its own: the programs that used to pay one have closed.

What a new furnace costs in Mississauga, installed

These are prices the companies publish themselves. Each one is named, so you can go and check it.

Three things fall out of that table.

Every AFUE rating in the table is 95% or better, and that is the law. Canada's Energy Efficiency Regulations, 2016 have required ≥95% AFUE for gas furnaces manufactured on or after July 3, 2019 (SOR/2016-311, s. 259, item 2.1). The only carve-out is a "replacement non-condensing gas furnace". Section 257 defines that as one "marked for use as a replacement for a non-condensing gas furnace in a manufactured home". So for a detached, semi or townhouse in Mississauga an 80% unit is not on the menu. EcoFrost's own guide says the same thing: "municipal code in most GTA cities requires 95% AFUE or higher for new furnace installations". Its cheapest tier, $2,800 to $4,500, is a single-stage 95-96% furnace, so the floor on its list is a legal one. The step up to its two-stage tier at $4,500 to $7,000 is a choice, not a legal requirement.

Brand tier costs as much as efficiency. EcoFrost's Mississauga page prices four 96%-and-up furnaces from $3,200 to $9,500, and the cheapest and the dearest do the same job in the same basement.

And the mid-market is tight. EcoFrost's two-stage tier is $4,500 to $7,000, and Reliance Home Comfort puts most Canadian gas furnace buyers in the $5,000 to $7,500 range.

Watch what the number includes. EcoFrost's Mississauga prices cover equipment, all labour, gas line connection, venting, electrical, the permit and old furnace disposal. Hold every other quote against that list.

What Mississauga's housing stock does to the price

Mississauga had 244,575 occupied private dwellings at the 2021 Census. The City's own housing inventory, published with its growth forecasts, splits a near-identical 243,515 total three ways. It counts 127,562 detached and semi-detached homes, 36,779 townhouses and 79,174 apartments. So 79,174 of 243,515, near enough one in three, are apartments where this question never arises. The furnace market is the other 164,341 homes (127,562 + 36,779 = 164,341), fed by Enbridge Gas. Two features of that stock drive real money.

The ducts were sized for a bigger, dumber furnace. Drop a correctly sized modern unit into an older Mississauga subdivision house, and the ducts, grilles and trunk sizes all have to be checked. The City's own Data Sheet for Residential Furnace Replacements makes the installer write several numbers down. They are Total Building Heat Loss and Total Building Heat Gain. Then the existing and new unit input and output in BTUH. Then trunk sizes at the plenum, and return grille free area. The last box is a design temperature rise that "shall not exceed manufacturer's maximum or 90°F, whichever is less".

The chimney is the hidden line item. In an older house the furnace and the gas water heater share one masonry chimney. Move the furnace to a 96%+ condensing unit and it vents in plastic out a side wall. The water heater is then left alone on a flue far too big for it. The City's data sheet is explicit. Where an existing masonry chimney is used, "its condition must be verified for safety and an approved liner or vent shall be installed to comply with the Energy Act, as appropriate". RenoHouse does this work across Toronto and the GTA. It publishes $1,800 to $2,400 for a single 6-inch stainless flexible liner on a 30-foot run for a gas appliance. That line belongs on the quote before installation day.

The permit: $244, and when Mississauga makes you get one

Mississauga's list of projects that need a permit has three lines that catch this work. They are "furnace replacement that's of a higher efficiency than existing", "furnace ducts being altered" and any HVAC system. That first line catches nearly every real swap. An old 80% furnace replaced by a 96% one is, by definition, higher efficiency than existing.

The fee is in Schedule B of the Building By-law, 2026 edition, under Miscellaneous Work.

• Furnace replacement: $244.00 flat fee per unit.
• Full heating system replacement (for a house): $244.00 ($428.00 for other than a house). Duct work only: $244.00. Alterations to mechanical systems, such as a space heater or exhaust fan, are $428.00 per unit.
• Residential permits have a floor of $244.00 either way. Non-residential ones have a floor of $386.00.

You pay a $50 administrative fee online and you do not get it back. The City credits it toward the total, so a straight swap costs $244.00 all in, not $244.00 plus $50. The City wants a Residential Furnace Replacement form. Add Heat Loss Calculations and an HVAC sample drawing if you are altering ducts.

Time frames are the part contractors skate over. The City publishes a prescreen review of 7 to 10 business days and a first residential review of 10 business days. It also publishes an average of 7 weeks to issue a residential alteration permit on a detached or semi. Each resubmission cycle "could add two or more weeks". EcoFrost's Mississauga page claims turnaround is usually 1 to 3 business days for standard replacements. Plan around the City's numbers. In a January no-heat emergency the paperwork trails the installation.

The gas work itself must be done by a technician who holds a TSSA fuels certificate. That is a G.1, G.2 or G.3.

Rent or buy: the arithmetic

Renting removes the up-front number. Both of the big providers publish enough to do the sums.

Enercare advertises a furnace "starting from $3,995 including standard installation and 1-year warranty" against a rental "starting from $67 per month". Its own FAQ says a furnace lasts usually 15 years. Fifteen years is 180 months, so $67 × 180 months = $12,060. Set that against $3,995 to own the same tier of equipment, and the gap is $12,060 less $3,995 = $8,065.

Reliance Home Comfort publishes both columns side by side. A single-stage gas furnace is $4,500 to $6,000 installed or $75 to $90 a month to rent. A two-stage is $6,000 to $8,000 or $90 to $130 a month. A modulating unit is $8,400+ or $115 to $140 a month. Take the cheapest rental line: $75 × 180 months = $13,500, less the $4,500 purchase price of the same furnace, is $9,000.

Rental is not pure loss. It covers repairs and maintenance for the life of the agreement, and there is no up-front cost. But price the maintenance honestly. EcoFrost publishes a furnace tune-up at $149, and fifteen of those is 15 × $149 = $2,235. That is roughly a quarter of the $9,000 gap above.

Two cautions. Rental rates are usually quoted before HST. And neither company publishes a buyout schedule. Enercare's FAQ confirms you can buy the furnace later but refers you to "the terms in your rental agreement related to equipment buyout". Get that number in writing, in dollars, before you sign.

The rebates that exist in August 2026

There is no rebate for replacing a gas furnace with a better gas furnace. Home Renovation Savings is the program Enbridge Gas and Save on Energy run with Ontario government support. Its upgrade list has no furnace line on it at all. What it does list: heat pumps up to $12,000, insulation up to $7,700, solar and battery storage up to $10,000, attic insulation $1,000 or $1,250, heat pump water heaters $500, air sealing up to $250, windows and doors $100 per rough opening, smart thermostats $125, appliances up to $200, and $600 back on a home energy assessment. The program's help pages close the door explicitly. Where a heat pump is paired with a gas furnace, "the backup heating system is not eligible for the rebate; only the heat pump system qualifies".

The programs that did pay for high-efficiency furnaces are finished. Enbridge Gas's Home Efficiency Rebate ended intake on January 27, 2025. Home Efficiency Rebate Plus closed to new applicants on February 5, 2024, required post-retrofit assessments by December 1, 2025, and would not process anything submitted after December 31, 2025.

Here is what a gas-heated Mississauga household can still claim.

• A heat pump, if you add one. For an Enbridge Gas customer heating with natural gas, a cold climate air source heat pump pays $500 per ton up to $2,000, and a ground source heat pump $3,000. The bigger amounts are only for homes heated with electricity, oil, propane or wood: $1,250 per ton up to $7,500 and $2,000 per ton up to $12,000.
• A smart thermostat. Home Renovation Savings' smart thermostat page offers $125. Enbridge Gas's own thermostat rebate moved into that program when it launched on January 28, 2025.

How to spot a padded quote

Five other things to check.

1. No heat loss number. The City's data sheet has a box for Total Building Heat Loss. Ask what went in it. A reply of "we always put in a 100,000 BTU unit for a house this size" is a guess. An oversized furnace then short-cycles, switching on and off all day, for fifteen years.
2. A permit line well above $244.00. That is the City's whole fee for a furnace replacement. Anything much higher is the contractor's paperwork charge, and it should say so.
3. Charging separately for what others include. Gas line connection, venting, electrical, permit and disposal sit inside EcoFrost's published Mississauga price. Billed as extras, they make the headline number look smaller than it is.
4. An after-hours premium presented as fixed. EcoFrost publishes a $0 overtime surcharge on evening and weekend calls, so it is negotiable.
5. No chimney answer. If the water heater stays on the old chimney, ask now what the liner costs.

If you are just over the border

Fees are municipal. Brampton charges $326.21 for its standard 10-day permit application service on changes to heating and ventilation systems. It also wants heat loss and gain calculations and a ventilation design summary up front. Check your own city's schedule before you accept a permit line on a quote.