Greater VictoriaHeat Pumps

My furnace needs replacing; what are my options now?

Furnace replacement in Victoria, BC: what it costs and what else to consider

Direct answer · reviewed 2026-09-28

A new gas furnace is published at $5,000–$9,000 installed by one Vancouver Island company, and an electric furnace at $3,500–$6,000. Replacing a gas furnace with another gas furnace gets no rebate. A central heat pump on the same ducts costs $12,000–$22,000our estimate, and that is the option the rebates are built for, so price both before the old furnace fails.

Conditions and exceptions

  • FortisBC's furnace rebate is $2,000 plus a $1,000 bonus, only when converting from oil or propane to natural gas. It does not apply to replacing an existing gas furnace.
  • Heat pump rebates depend on your current fuel and, for the larger amounts, on household income.
  • If the furnace has failed in winter you will be offered whatever is in stock. Getting quotes before it fails is what gives you a choice.
  • Removing a gas furnace needs a gas permit as well as the electrical permit for the heat pump.
Running-cost comparisonCost calculatorRebate estimator

Local evidence

Every figure below is quoted from the source shown or is our labelled estimate. Verified dates are the day we last checked the source; a figure whose check is overdue is withheld rather than shown.

Gas furnace replacement, installed (Sasquatch Heat Pumps)
$5,000–$9,000
Sasquatch Heat Pumps (installer) · quoted · verified 2026-09-28
Electric furnace, installed (Sasquatch Heat Pumps)
$3,500–$6,000
Sasquatch Heat Pumps (installer) · quoted · verified 2026-09-28
Gas furnace to gas furnace upgrade (FortisBC comparison)
$4,000–$7,000
Modelled on a Lower Mainland home with 2023 rates · FortisBC sells natural gas
FortisBC · quoted · verified 2026-09-28
Gas furnace to central heat pump (FortisBC comparison)
$7,000–$12,000
Modelled on a Lower Mainland home with 2023 rates · FortisBC sells natural gas
FortisBC · quoted · verified 2026-09-28
Furnace life in Victoria (Gaslight Heat Services)
15 to 18 years for gas and 20 to 25 for electric
Gaslight Heat Services (installer) · quoted · verified 2026-09-28
FortisBC rebate for a new gas furnace
$2,000 plus a $1,000 bonus, only when converting from oil or propane to natural gas
For new gas customers in existing homes · Replacing a gas furnace with another gas furnace gets no FortisBC rebate
FortisBC · quoted · verified 2026-09-28
Installed cost, Central ducted heat pump
$12,000–$22,000
Typical detached home · Existing electrical adequate unless stated
Heat Savers (installer) · our estimate · verified 2026-09-18
Installed cost, Dual-fuel (heat pump with a gas furnace as backup)
$9,000–$16,000
Typical detached home · Existing electrical adequate unless stated
Green Building Canada · our estimate · verified 2026-09-18
CleanBC Energy Savings Program — natural gas or propane to heat pump (income-qualified)
Level 1 / any-income examples — ductless-single: $5,500; ductless-multi: $11,000; central-ducted: $13,000
Ground-oriented home switching from natural gas or propane space heating · Existing fossil-fuel heating system and equipment removed (a gas fireplace may stay as secondary heat); dual-fuel ducted is the exception
Better Homes BC · quoted · verified 2026-09-18
CleanBC Home Renovation Rebate — heat pump for electrically heated homes
Level 1 / any-income examples — ductless-single: $1,500; ductless-multi: $4,000; central-ducted: $4,000
Home primarily heated by electricity (baseboards, radiant, electric furnace or boiler) · Whole-home rebate ($4,000): sized to 100% of load at −5 °C with no resistance backup, NEEP cold-climate listed, CSA F280-12 heat-load calculation
Better Homes BC (Province of B.C.) · quoted · verified 2026-09-18

What a new furnace costs

Sasquatch Heat Pumps, based in Sooke, publishes $5,000–$9,000 for a gas furnace replacement and $3,500–$6,000 for an electric furnace. FortisBC's own comparison gives $4,000–$7,000 for a gas furnace upgrade and $7,000–$12,000 to go from a gas furnace to a central heat pump. Those two FortisBC figures are modelled on a Lower Mainland home with older rates, and FortisBC sells gas, so they show the shape of the comparison rather than a local price.

For a central ducted heat pump in Greater Victoria our figure is $12,000–$22,000our estimate, which is higher than FortisBC's. A dual-fuel system, a heat pump with a gas furnace behind it, is $9,000–$16,000our estimate, at low confidence because no local installer publishes one.

Furnace and heat pump installed cost, as publishedElectric furnace: $3,500 to $6,000. Gas furnace (FortisBC): $4,000 to $7,000. Gas furnace (local): $5,000 to $9,000. Heat pump (FortisBC): $7,000 to $12,000. Dual-fuel, our estimate: $9,000 to $16,000. Central heat pump, our estimate: $12,000 to $22,000.$0$5,000$10,000$15,000$20,000$25,000Electric furnace$3,500–$6,000Gas furnace (FortisBC)$4,000–$7,000Gas furnace (local)$5,000–$9,000Heat pump (FortisBC)$7,000–$12,000Dual-fuel, our estimate$9,000–$16,000Central heat pump, our estimate$12,000–$22,000
Each bar is one publisher's range or our own estimate; before tax and before any rebate.

How long a furnace lasts here

A Victoria heating company puts furnace life at 15 to 18 years for gas and 20 to 25 for electric. No government or utility source we found publishes a figure, so this is a contractor's view. Age alone is not a reason to replace a furnace that runs well; a cracked heat exchanger, repeated repairs or a part that is no longer made are.

Which rebates exist, and which do not

For a furnace: $2,000 plus a $1,000 bonus, only when converting from oil or propane to natural gas. That is a rebate for moving on to gas, not for replacing a gas furnace you already have.

For a heat pump: an electrically heated home, including one with an electric furnace, can get the Home Renovation Rebate, $1,500 to $4,000 depending on the system. A home heated with gas or propane can get $5,500 to $13,000 depending on the system at income Level 1 under the Energy Savings Program, which is income-tested. A household over the income limits that heats with gas has no provincial heat pump rebate in Greater Victoria.

How to decide

If you heat with an electric furnace, a heat pump on the same ducts is the clear comparison: it uses the ductwork you have, qualifies for a rebate at any income, and lowers the heating bill.

If you heat with gas, it depends on three things: whether you qualify on income for the larger rebate, whether you want cooling, and how old your electrical service is. Our comparison of a heat pump with a gas furnace runs the operating cost with current local rates, and the dual-fuel page covers keeping a gas furnace as backup.

Questions homeowners ask

How much does it cost to replace a furnace in Victoria, BC?
One Vancouver Island company publishes $5,000–$9,000 for a gas furnace and $3,500–$6,000 for an electric furnace, installed.
Is there a rebate for a new furnace in BC?
Only in one case: $2,000 plus a $1,000 bonus, only when converting from oil or propane to natural gas. Replacing a gas furnace with another gas furnace gets no FortisBC rebate.
Should I replace my furnace with a heat pump?
Price both. A central heat pump on existing ducts is $12,000–$22,000our estimate before rebates. With an electric furnace the heat pump usually wins; with gas it depends on income, cooling and your electrical service.
How long does a furnace last?
A Victoria heating company gives 15 to 18 years for gas and 20 to 25 for electric. Replace on condition, not on age alone.

Your next step

When you are ready for quotes, one request goes to one vetted installer, only with your yes; nothing is sold or passed to a call list.

Request a free home assessment
📞 Call 24/7💬 Text

Related decisions

Sources

Prices are the site's estimates calibrated to published local figures; rebate, rate and bylaw figures are quoted from the sources above. Not legal, financial or energy-advisor advice; programs decide eligibility. Report a correction.