Rental Furnace

[IanGTCS]

Anyone done it? Ours is on its last legs, doesn't do a great job of pushing the air upstairs, and is 15 year old builder grade so you know it isn't exactly quality. Choice is either ~8000 for a new furnace and AC installed vs 130 a month. Rebate of 650 on a purchase, one year free rental. Only plan to stay in this place of another 2-3 years so from that perspective it is cheaper to rent. All maintenance and repairs included in rental which is nice. Never had to get a new furnace before, didn't realize that renting was so common until both places I've talked to have mentioned it. Water heaters yeah, grew up with rental ones, but not HVAC stuff.

Anyone done it? I'm pretty tempted.

[ZR]

I would wonder how much it being a rental might affect your re-sale down the road.

[USAWIT2]

Whats wrong with you AC or dont you have one?
Anyone buying your house will probably want the rental paid out as part of the house sale.
Also shop around you should be able to get a furnace installed for under $3500 taxes in.

[Screw]

The big companies love rentals , $75-90 buks a month big$ over the term , our salesman get shiat for not signing rentals
Like said above , re-sale buyout check out your terms cuz at 8yrs in you could still owe 5k

[7up-5.0]

I work at a wholesale place we sell Armstrong if you could find somebody to install I could help with the units. Let me know if I could help.

[Mrods]

I managed Sales for both Direct Energy and Reliance Home Comfort in past careers. We rented AC, Furnaces and Water Heaters. All of the rental programs are insanely expensive.

Here's some math to consider. The $130 a month buys you a very low end AC and Furnace. Most contracts are 7 year, with a 3.5% annual increase built in and a buy out at the end of the 7 year term.

Cost to rent over 7 years with the increase allowance at $130 is approx. $12,000. Some have additional interest built in and end up costing $15,000 over the 7 years. After the term is over, you now get to buy out the units at approx $4000.

So you are looking at $16,000 to $19,000 for the units. The challenge with moving is they have a lien on your home for the full amount. We used to receieve thousands of calls per year from renters that could not sell their homes until the units were either paid in full or the new owner agreed to assume the retal agreement. Makes it a pain to sell your place.

Direct Energy and Reliance pay approx. $450-600 for a furnace or ac. Their after sales service is outstanding. However a new furnace and ac will run for 10-12 years prior to needing repairs.

Just thought I would share the facts about rental. Given you are planning to leave in A few years, you need to be prepared to pay the exit fees to settle the lein.

Another option is to buy a protection plan from DE or Reliance. Around $15 a month to cover both. You will get 7/24 service. Except if your ac compressor goes or heat exchanger on your furnace. A 15 year old unit is not all that old.

Just thought I'd share what I had seen as a previous Sr exec the industry. I think rental is a major rip off. Ontario is one of the only place s on earth that rents water heaters. They are also a major burn. Let me know if you want a protection plan and i will connect you with a former member of my team who can set you up for around $15 a month with no long term contract. If your unit dies before you move, buy or rent one then. Cheers.

[mavrrrick]

My home is 2700 Square feet...$4000 taxes in ...$250 rebate

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[Screw]

Team .....Reliance term lol
Don't rent , like he said if you try to sell there's a lien on your home for an overpriced box !
Put a PROTECTION PLAN on it & when ur 15yr old furnace goes down , the techs will be looking long and hard to find a reason to get the TEAM in to rent you a $18k furnace anyways ...instead of fixing it under a plan

[OneQwkStang]

I managed Sales for both Direct Energy and Reliance Home Comfort in past careers. We rented AC, Furnaces and Water Heaters. All of the rental programs are insanely expensive.

Here's some math to consider. The $130 a month buys you a very low end AC and Furnace. Most contracts are 7 year, with a 3.5% annual increase built in and a buy out at the end of the 7 year term.

Cost to rent over 7 years with the increase allowance at $130 is approx. $12,000. Some have additional interest built in and end up costing $15,000 over the 7 years. After the term is over, you now get to buy out the units at approx $4000.

So you are looking at $16,000 to $19,000 for the units. The challenge with moving is they have a lien on your home for the full amount. We used to receieve thousands of calls per year from renters that could not sell their homes until the units were either paid in full or the new owner agreed to assume the retal agreement. Makes it a pain to sell your place.

Direct Energy and Reliance pay approx. $450-600 for a furnace or ac. Their after sales service is outstanding. However a new furnace and ac will run for 10-12 years prior to needing repairs.

Just thought I would share the facts about rental. Given you are planning to leave in A few years, you need to be prepared to pay the exit fees to settle the lein.

Another option is to buy a protection plan from DE or Reliance. Around $15 a month to cover both. You will get 7/24 service. Except if your ac compressor goes or heat exchanger on your furnace. A 15 year old unit is not all that old.

Just thought I'd share what I had seen as a previous Sr exec the industry. I think rental is a major rip off. Ontario is one of the only place s on earth that rents water heaters. They are also a major burn. Let me know if you want a protection plan and i will connect you with a former member of my team who can set you up for around $15 a month with no long term contract. If your unit dies before you move, buy or rent one then. Cheers.

listen to this guy

[IanGTCS]

Yep, going with a buy. Wife was talking to her parents today and they mentioned when they went to redo their mortgage they found out their was a lien on the house. Now the debate is do we actually pull the trigger and buy. Probably about half the units in this townhouse have had a furnace replaced. Same with the washers that came with the place.

Rental water heater is good in some places. Everyone I knew in Timmins went through a heater every couple of years it seemed.

[Mrods]

Good call Ian. I left that industry because rental was a burn for customers.

You may consider buying a new furnace only and putting a $9 a month protection plan on the AC only. Just a recommendation that can keep costs deferred for you and keep your AC running till it really dies.

[Screw]

Ian you def have economical options & still trump your existing efficiency, if ur gonna move in a few yrs wouldn't blow myself out , still catch 96% eff . Good luck

[USAWIT2]

Just dont replace your AC till it dies.
When I checked my hydro usage my 25+ year old keeprite AC maybe cost me $35 a month extra last summer.
No way an new AC would last long enough to pay itself back with what it would save me.

[Screw]

Lol ^^amps is amps I guesse , you'd hope be significant from 6-8seer to 13seer , still think ur green box Keeprights a hog l:D

[USAWIT2]

Lol ^^amps is amps I guesse , you'd hope be significant from 6-8seer to 13seer , still think ur green box Keeprights a hog l:D
Never said it was efficient, it just hasnt cost me enough to warrant its replacement.
I havent done or spent anything on it since I moved into my house in 96.
Thought for sure it was going to die last summer as it ran for 3 months straight.

[IanGTCS]

One of the reasons I'm leaning towards doing the AC at the same time is that ours is LOUD compared to our neighbours that have replaced theirs. As in don't really want to be in the backyard when it is running loud, annoying to hear through the sliding door etc.

[Quicksilver]

My home is 2700 Square feet...$4000 taxes in ...$250 rebate

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I have had 10 quotes. The LOWEST price I had for a furnace and A/c was $10,000.00 (I need an oil or propane furnace: no gas on my street!)I'm a contractor myself (fences and decks), so I know that 10 quotes ridiculous,, but the amount of disinformation and outright lies boggled my mind. Not ONE of the sales people who came really knew their stuff, and all of them were the type to pound their fist on the table and demand that I make a decision on the spot. I have to admit, a rental for $130/month was tempting, but I didn't like the ramifications. In the end I replaced the furnace motor and fan for $500 and will leave it till next year.

[IanGTCS]

One of the guys I got a quote from has called back twice to "remind" us that the quote is only good until the end of this week. I'm not a big fan of high pressure sales techniques. Getting a quote tomorrow from a guy around the corner from work who also knows the owners where I work. Everything is running fine now and like everyone we would rather not spend the money if we don't have to.