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OpenMunicipalFree upgradeToronto, Ontario

BetterHomesTO Furnace Upgrade Program

Run by City of Toronto, with Toronto Hydro · Also called Furnace Upgrade Program

The BetterHomesTO Furnace Upgrade Program provides free energy assessments and heat pumps for homeowners and renters in Toronto, Ontario.

Cost to you

$0

Verified

At a glance

Key facts about BetterHomesTO Furnace Upgrade Program
Maximum amountFree energy coaching
Funding typeFree upgrade
StatusOpen
Who can applyHomeowners, Renters
Energy assessment requiredNo
Income-testedNo
DeadlineNo end date published
WhereToronto, Ontario
LevelMunicipal
Run byCity of Toronto, with Toronto Hydro
Official pagetoronto.ca/services-payments/water-environment/environmental-grants-incentives/and-rebates-to-green-your-home/furnace-upgrade-program
Last verified
Verified bySajjad P.
ConfidenceMediumOfficial pages are incomplete or inconsistent on some details.

BetterHomesTO Furnace Upgrade Program. RebateHub.ca, https://rebatehub.ca/rebates/on-toronto-furnace-upgrade-program#key-facts. Last verified October 17, 2026. Official source: https://www.toronto.ca/services-payments/water-environment/environmental-grants-incentives/and-rebates-to-green-your-home/furnace-upgrade-program/

What you can get

What BetterHomesTO Furnace Upgrade Program pays for each upgrade
UpgradeUp to
Heat pump and furnace replacement energy coachingFreeDelivered virtually by Toronto Hydro energy coaches.Varies

How it works

The City of Toronto and Toronto Hydro launched the Furnace Upgrade Program in September 2025 as part of BetterHomesTO. A Toronto Hydro energy coach gives free, personalized virtual advice on your home's heating and cooling options, explains which rebates and offers you may qualify for, and points you to contractors through Toronto Hydro's Cleantech Services Directory.

The program does not pay a rebate itself. For money toward the work, look at the Home Renovation Savings Program (heat pump rebates) and the City's Home Energy Loan Program (low-interest financing repaid on your property tax bill). The City has said the program will expand in 2026 to include heat pump installation services and targeted incentives for low- to moderate-income households; those details have not been posted yet.

Who qualifies

  • Toronto resident, homeowner or tenant.
  • Low-rise home: detached, semi-detached, townhouse, row house or multiplex, including homes with basement or laneway suites.

How to apply

  1. Step 1: Book a free appointment through Toronto Hydro Energy Coaching.

  2. Step 2: Use the coach's advice to compare heat pump options and quotes, then apply to the rebate and loan programs that fit before you sign a contract.

Apply on the official site

Stacks with Furnace Upgrade Program

The program says these can be combined with it for the same home. Check each one’s rules for the same upgrade before you count on both.

  • OpenProvincialOntario

    Home Renovation Savings Program

    Ontario's main home-retrofit rebate program. You can claim single upgrades such as a heat pump, attic insulation, solar with a battery, a smart thermostat or ENERGY STAR appliances without an energy assessment, or do an assessment and two or more upgrades for envelope rebates.

    $12,000

    max rebate

    Rebate
    Last verified October 12, 2026
  • OpenMunicipalToronto

    Home Energy Loan Program

    Toronto homeowners can borrow up to $125,000 at a fixed low rate for energy upgrades and repay it on the property tax bill over up to 20 years. Heat pump-only and solar-only projects no longer need an EnerGuide assessment.

    $125,000

    max loan

    Loan
    Last verified October 12, 2026

Also worth checking

  • OpenFederalCanada-wide

    Canada Greener Homes Affordability Program

    Federally funded, no-cost home energy upgrades for low- and median-income homeowners and tenants. You apply through your province's or utility's partner program, not through Ottawa.

    Free

    Free upgrade
    Last verified October 12, 2026
  • OpenProvincialOntario

    Energy Affordability Program

    Income-qualified Ontario electricity customers can get free energy upgrades. These range from free saving kits to a full home visit that can include new appliances, insulation, draft-proofing and, for electric or oil-heated homes, a cold-climate heat pump.

    Free

    Free upgrade
    Last verified October 12, 2026
  • OpenUtilityOntario

    Home Winterproofing Program

    Income-qualified households heated by Enbridge natural gas can get a free home energy assessment, plus free insulation, draft-proofing and a smart thermostat where needed.

    Free

    Free upgrade
    Last verified October 12, 2026
  • OpenMunicipalOttawa

    Better Homes Ottawa Loan Program

    Ottawa homeowners can borrow $10,000 to $125,000 at a fixed 4.33% over 20 years for energy retrofits, repaid on the property tax bill. The program also offers per-ton heat pump incentives and a limited-time $600 loan reduction for EnerGuide assessments.

    $125,000

    max loan

    Loan
    Last verified October 12, 2026

Sources