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Gas vs Electric Furnace: Which Should You Get?

Our take

Gas furnace if you have natural gas service. Electric only if no gas line and a heat pump isn't viable.

Side by side

Factor Gas Furnace Electric Furnace
Upfront install (mid-tier) $5,000–$7,500 $3,000–$4,500
Annual operating cost (2,000 sq ft GTA home) $1,200–$1,700 $2,400–$3,000
Lifespan 15–20 years 18–25 years
Carbon footprint Higher (combustion) Lower (Ontario grid is mostly clean)
Heat output speed Fast (3–5 min to full) Slower (resistance heating ramps gradually)

Gas Furnace wins when:

  • Natural gas line at the property
  • Heating-dominant climate (most of Ontario)

Electric Furnace wins when:

  • No gas service and gas extension isn't economical
  • Mild-climate home with low total heating demand
  • Hybrid with a heat pump (electric backup mode)

The full take

For an Ontario home with existing natural gas service, gas wins on operating cost — about half the annual heating bill of electric resistance.

Electric furnaces make sense in three specific cases: 1. No gas service and bringing it in costs $5,000+ (uneconomical) 2. Tiny home or condo with very low total heat demand 3. As the backup element in a heat-pump system — electric strips kick in below -25°C when the heat pump can't keep up

For any other case, a heat pump beats both — uses less electricity than electric resistance because it MOVES heat instead of generating it. We typically only recommend pure electric furnaces in case (3) above.

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Mississauga, ON · Greater Toronto Area and up to 2 hours out — London, Kitchener, Barrie, Kingston, Niagara.

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