Primer: renting versus owning
Owning vs Renting a Water Heater
Renting a water heater is common across Ontario, but it is not always the best deal. Here is how to look at your own situation with clear eyes before you decide.
- Plain steps you can do yourself, safely
- Clear signs for when to stop and call
- Written for Newmarket houses and water
- A plumber on the phone if it goes sideways
What goes wrong in the pipes
A rented tank feels painless because the cost arrives in small monthly pieces. Over the long life of a heater, though, those pieces can add up to well more than the price of buying and installing a similar unit. Renting does bring convenience, including repairs that the provider may cover. The right choice depends on your contract, the age of your heater, and how long you plan to stay in the house.
Have these on hand
- Bucket and garden hose
- Flat screwdriver
- Flashlight
- Phone camera for the rating plate
Hands-on steps
- Find your contract terms. Look up your provider's name on the tank sticker or your bill, then call and ask for your monthly rate, what repairs are included, and any buy-out or removal charges.
- Work out your yearly cost. Multiply the monthly rental by twelve. Compare that number against the price of an owned unit spread over its expected life.
- Check the tank's age. The manufacture date is coded on the rating plate. An older rental could be near the end of its run regardless, so the timing lines up.
- Think about your plans. If you are moving in a year or two, switching may not pay off. If you are staying long term, owning often comes out ahead.
- Get an installation quote. Ask a licensed plumber for a written price on the unit you would actually buy, including any venting or gas work.
Mistakes that turn a small repair big
- Removing the tank before calling the provider. Unreturned equipment can be expensive. Follow their return process.
- Comparing only the purchase price. Include installation, permits where needed, and the cost of maintenance you will now handle.
- Ignoring door-to-door offers. Be cautious with anyone who knocks unannounced offering a new rental or a free upgrade. Ontario rules give consumers protections, but read every contract carefully and never sign on the doorstep.
- Skipping maintenance once you own. An owned tank needs occasional flushing and a relief valve check.
When to put the tools down and call
Call when you have your contract details and want a quote to own, or when your rented tank is leaking and the provider cannot come quickly. We can install a new tank or a different type of system; our page on electric water heater replacement covers one option. If the tank sits near your sump, it is also a good time to check the pump, as described under sump pump installation. For basement odours you notice while you are down there, see drain flies and smells. Phone (365) 517-0623 with any questions.
We cannot tell you your buy-out figure or interpret your contract; only the provider can. What we can do is give you a clear, written price for the other side of the comparison.
Asked on site
Is renting a water heater a bad deal?
Not always. It suits some households, especially short-term owners who value covered repairs. For long-term owners, buying often costs less over time.
Can I buy my existing rental tank?
Some providers offer a buy-out. Ask them directly about the price and terms.