6 Things You Should Know Before Buying a Used Furnace

Let’s look at six reasons it’s best to avoid the temptation of saving a few bucks by buying a used furnace.

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Buying a used furnace might seem like a good way to save money, but there are lots of reasons it’s not a good idea. Mainly, you have no idea what you’re buying. The furnace might not actually be safe, and that could be dangerous for your family and home.

What’s more, while you might be able to save some money, you won’t get the benefits of a new furnace, including a warranty, optimal performance, correct sizing, high-efficiency performance, new features, and more.

So, in short, should you buy a used furnace? In short, no. Let’s look at all the reasons why.

Is Buying a Used Furnace a Good Idea?

Buying a used furnace is generally a bad idea. Here’s a quick overview of the top reasons:

• Older generally equals less efficient, so you’ll have higher heating bills
• Shorter lifespan
• Possible wear and tear on critical components
• Higher maintenance requirements and bills
• Lack of warranty and no support from the manufacturer
• Safety issues, such as carbon monoxide leaks
• Can’t customize size and features for your needs
• Installation can be complicated and pricier than with a new furnace

If you’re thinking about buying a used furnace, consider its age. A unit that’s older than 10 to 15 years likely isn’t worth the investment, especially because of the lower efficiency rating.

What’s more, don’t invest unless the furnace comes with a complete service record demonstrating it has been properly maintained. Consider having the unit inspected by a licensed HVAC professional before committing.

Can You Buy a Used Furnace Legally?

Yes, it is legal to buy a used furnace in Canada. However, there are regulations you have to consider before buying a used furnace. And even though it’s legal in Canada, you should still check with municipal and provincial regulations.

Furnaces—even used ones—must meet:

• Canadian Standards Association (CSA) safety standards
• Energy efficiency regulations
• Building codes
• Provincial regulations
• Installation standards

For example, in most provinces, furnaces must be installed by a licensed HVAC professional. At the same time, you could be hard-pressed to find a reputable HVAC technician who will install a used furnace (more on that later).

Is It Safe to Buy a Used Furnace?

There is risk involved with buying a used furnace, especially if you don’t know much about its history, maintenance, and past failures, and don’t have it inspected.

The main danger is a problem with a major component, like the blower motor or heat exchanger, which could cause a carbon monoxide leak.

Beyond that, there’s also a risk that you’ll lose out on your investment because of parts failures, additional maintenance requirements, lack of warranty, etc.

Pros of Buying a Used Furnace

Although we don’t recommend it, there are some pros to buying a used furnace. The main one is money: You can definitely save some cash buying a used heating system.

Moreover, getting new life out of an old furnace is better for the environment.

Finally, a used furnace is probably immediately available, which might be the top selling feature if you find yourself without heat in winter and can’t get an appointment with a local HVAC company. 

Potential Problems with Buying a Used Furnace

1. Contractors won’t touch them

We regularly get emails from people asking us if we can recommend a contractor who will install a furnace (or central air conditioner) that the homeowner was “able to acquire” somewhere.

Often they purchased a second hand or refurbished furnace from an online classified website or from someone they know who happens to be a general contractor. Perhaps the unit was pulled out of another home that was under renovation, and the unit allegedly still works.

Invariably, we must be the bearer of bad news, explaining that it is unlikely any established HVAC company will be willing to touch a furnace or A/C of unknown origin.

Imagine you were a surgeon at a hospital and someone approached you to perform a liver transplant on them with a liver that they had “acquired” somewhere undisclosed… ok, maybe it’s not exactly like that.

But the point is that contractors are generally wary of installing equipment that they didn’t get from regular distribution channels.

Usually heating & cooling companies will get their equipment either directly from the manufacturer or from regional distributors that handle the wholesaling of equipment for the manufacturers.

So when a contractor gets a furnace or A/C from these distributors or the manufacturer, it is tracked with a serial number, invoices, and appropriate paperwork, and the unit can be returned – or replacement parts can easily be ordered in the event there is anything wrong during or after the installation.

In the case of a used furnace, there are no such recourses. And if the customer’s second-hand unit doesn’t quite work right after installation, the contractor is potentially exposing themselves and could be liable for covering the costs of fixing or replacing it. Or at the very least, it’s a potential headache that they probably would prefer to avoid.

2. It’s unlikely to be covered under warranty

When you purchase a new furnace or air conditioner from a respectable company, the unit will be registered after installation, which means it will be fully covered by the manufacturer’s warranty.

This obviously isn’t an option when buying a used furnace. Most warranties also specifically state that they only apply to the original owner, and in the original home and installation location.

Furthermore, even if you do find a contractor to install the unit, it’s unlikely they will want to offer any labour warranty on the installation.

Therefore if anything goes wrong with your unit – like it breaks down in the middle of January – you’re on your own.

3. And it is more likely to break down – probably at an inopportune time

Unsurprisingly, a second-hand furnace is also more likely to give you problems.

Like IKEA furniture, furnaces are elaborate, carefully-assembled contraptions that aren’t built to be moved. When a heating system is installed, various pipes and fittings must be connected and sealed… in short, moving and reinstalling a furnace is not ideal.

4. Your homeowners’ insurance company may have mixed feelings about you installing a second-hand furnace.

This is especially true given that, once again, established contractors probably won’t want to install it, meaning you have to find someone perhaps less established or uncertified.

Consider the fact that a furnace is essentially an appliance that draws flammable natural gas (or propane) into your home and combusts it in a controlled fashion to generate heat. Is this really something you want to entrust to some used furnace that was pulled out of another home, possibly damaged in the process, just to save a few bucks?

Not to say installing or buying a used furnace is extremely dangerous, but it’s not what was intended by the manufacturer.

5. Your furnace could get red-tagged

When the gas company or any other licensed technician comes to inspect your furnace, whether for routine maintenance or because it’s not working, they are required by law to red-tag your furnace if it is deemed to be unsafe. This means that they must alert the gas company, who will then shut off your gas if the unit is not repaired or replaced in short order.

And no amount of protesting and assuring them that the guy on Craigslist you bought it off of, seemed like “a real straight shooter”, will change their mind.

6. Buying a used furnace is not like buying a used car or a microwave

Cars are built to move by design; it’s their raison d’être. Furnaces are not.

Cars are commonly sold on the second-hand market, and there is a vast amount of supporting infrastructure to enable this.

Everything from the car’s odometer which tracks total mileage, to resources like Kelley Bluebook, and CarFax, help make the process of buying and selling a used car as easy as possible.

And really with any other simple appliance or consumer product, buying a used model is no big deal. The ease with which you can buy any other home appliance second hand is probably why people consider attempting to buy a used furnace in the first place.

But due to the nature of heating & cooling equipment, and the fact that they require installation by a licensed and experienced professional for obvious safety reasons means that you’re generally better off buying your heating & cooling system new.

So when you’re on the lookout for second hand bargains, stick to uh… mattresses, or underwear… or dentures? I dunno, whatever it is people usually buy used.

Not to worry though, it’s still possible to get a good deal on a brand new heating and cooling system!

Costs of Buying a Used Furnace vs. New

Depending on the make, model, and age, you might pay under $3,000 for a used furnace. But then you have to pay for installation on top of that.

By comparison, the average price of a new furnace in Canada is between $4,000 and $6,500, but that includes installation.

And here’s where the cost of a used furnace could get you in the long run:

• Installation starts around $1,500
• Maintenance bills could be higher
• Energy bills will likely be higher
• Any repairs will be paid out of pocket because of the lack of warranty
• There’s no guaranteed lifespan: if the furnace fails, you have no recourse

In other words, while you may pay more up front for a new furnace, you’re likely going to save in the long run.

If you’re on a tight budget and need other options, you might instead consider a professionally refurbished furnace or furnace rental (though that comes with its own set of issues).

Your best bet is likely furnace financing through a reliable local HVAC company.

Get a free quote!

Used Furnace Warranties: What You Need to Know

All modern furnaces sold in Canada come with at least a 10-year warranty, and many have warranties lasting longer. However, most warranties have caveats saying that the warranty only applies to the original owner.

Even if a warranty is transferrable to a new owner, the expectation is that the furnace stays in the same place.

Uninstalling a furnace and installing it in a new location will likely void any warranty that was left. In other words, you won’t get any sort of warranty buying a used furnace.  

Benefits of Investing in a New Furnace

• You’ll get a warranty to protect your investment
• Installation will likely be included in the cost of the furnace
• Higher efficiency
• Better performance and comfort
• Lower energy bills
• Correct sizing for your home
• Long lifespan
• Pick and choose the features you want
• Updated technologies like Wi-Fi connectivity
• Customize the furnace type (single-stage, two-stage, modulating) for your needs
• Potential for an additional labour/parts warranty from the installer
• More even and consistent heating
• Improved air quality
• Lower maintenance costs
• Fewer safety concerns
• Quieter operation
• Easier access to comfort controls through smart thermostats and apps
• Lower environmental impact
• Greater reliability
• Potential for rebates

Balancing Cost and Safety

If you’re dead set on buying a used furnace, here are some considerations that will help you balance cost and safety:

Look for the newest model possible in your budget. Modern furnaces have lots of safety features, there’s less of a chance of a catastrophic failure, and you’ll get a longer life from it.

Have it inspected. A trained and licensed HVAC professional can tell you what shape the furnace is in and whether it’s safe to operate.

Find a furnace with a reliable maintenance and repair history. Proper maintenance and regular tune-ups are crucial for the health, safety, and longevity of a furnace.  

Opt for a high-efficiency furnace. A high-efficiency furnace will likely be newer, and hopefully safer, but it will also cost less to operate.

Have the furnace installed professionally. A lot can go wrong when installing a furnace, including mistakes that could put your home and family at risk. If you’re going to buy a used furnace, invest in professional installation for safety reasons.  

FAQ

How Long Can a Used Furnace Last?

The lifespan of a used furnace will depend partially on how old it was when you bought it. Furnaces last an average of 15 to 20 years. However, it also depends on how well the previous owner maintained the furnace.

The older the furnace is and the less maintenance it had, the less time you’ll get out of it.

Can You Install a Used Furnace Yourself?

Installing any furnace by yourself is always a bad idea, but it’s especially dangerous with a used furnace. Unless you’re a trained and licensed HVAC professional, you likely won’t have the experience and knowledge to inspect the furnace for potential problems and safety hazards.

What’s more, any DIY furnace installation comes with the risk of damaging the unit, improper installation, unsafe venting, and more.

Finally, in Canada, only qualified gas fitters can connect gas lines.

Should You Buy a Used Furnace or Repair Your Current One?

Buying a used furnace isn’t advisable and probably isn’t a good investment. After all, you could end up in the same boat you’re already in with your current furnace.

But that doesn’t mean it’s worthwhile to repair your current one. Here’s an easy general rule: If repairs will cost more than 50% of the price of a new furnace, then replace your furnace.

Again, there are alternatives to buying used, including financing, rentals, and professionally refurbished units. Always look for rebates that can help offset the cost of a new furnace, and remember that you might actually save money long-term by investing in a new, high-efficiency system.

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