Why it matters to the pipes
Water heater rentals are unusually common in Ontario. Many homeowners inherited a rental contract when they bought their house, and the monthly charge appears quietly on a utility bill or separate statement. Over the life of a tank, rental payments can add up to considerably more than the cost of buying one, but a rental also includes repairs and replacement. Neither option is wrong; the right answer depends on your contract, your plans and your appetite for managing equipment.
Have to hand
- A flashlight and a bucket
- Old towels and a pair of gloves
- The way to the main valve
Put the tools down if
- Water will not stop at the valve
- Sewage rises in a floor drain
- You smell gas near the heater
The steps, in order
- Find your contract. Look for the rental company's name on the tank sticker and on your bills.
- Check the age of the tank. The build date is normally hidden in the serial number; the manufacturer can decode it.
- Read the buyout terms. Many contracts include a declining buyout schedule based on the tank's age.
- Note the removal rules. Some contracts charge for removal or require the tank to be returned in a specific way.
- Compare the costs. Add up remaining rental payments against the price of buying out or installing a new tank you own, plus likely maintenance.
- Think about timing. If the tank is old, replacing it with an owned unit may make more sense than buying out an aging one.
Common missteps
- Agreeing to a doorstep rental pitch. Door-to-door water heater sales have been heavily restricted in Ontario; take time to compare.
- Throwing out or disconnecting a rented tank without following the contract's return procedure.
- Assuming the rental company must replace the tank immediately. Check the terms for service response.
- Ignoring the venting. A replacement may need different venting, whichever route you take.
- Forgetting the contract when selling the house. Rentals usually transfer to the buyer, which should be disclosed.
When to ring for help
If you decide to own, a plumber can supply and install the new tank and arrange for the rental unit to be returned to its owner. Our gas water heater replacement page sets out how a swap goes. Owning a tank also means looking after it; our guide to flushing a water heater covers the basic maintenance that extends its life.
Homeowners sometimes find that a heater question opens a wider look at the basement plumbing. A drain that backs up near the tank, for example, may point to a sewer line problem rather than anything to do with the heater.
Questions worth asking any provider
Whether renting or buying, ask how long the warranty runs on the tank and on labour, what happens if the unit fails on a weekend, and whether the price includes removal of the old tank, permits and any venting changes. Clear written answers to these questions make comparisons fair and protect you from surprises later.
Write down the answers and keep them with the contract.