Rent or Buy a Water Heater? The Short Answer
Whether you should rent or buy a water heater depends on how much risk you are comfortable managing on your own. Buying costs less over a 14-to-16-year lifespan on paper, but the total cost may run higher depending on what goes wrong — and you’ll need to source and pay for your own repairs, parts and eventual replacement. A Reliance water heater rental costs more over time, but it replaces financial uncertainty with a predictable monthly payment and includes installation, all parts, all labour and full replacement if your unit fails. Neither option is wrong. The right choice depends on your budget and your comfort with risk.
Lower cost, more responsibility
Cheaper over the unit’s lifespan on paper — but you carry every repair, part and replacement yourself once the manufacturer warranty runs out.
Predictable cost, no surprises
One monthly payment that covers installation, all parts, all labour and full replacement if the unit fails — for the life of the equipment.
In short: buy if you have the funds and want to manage the equipment yourself; rent if you’d rather have a fixed monthly cost and never field a repair bill.
The Real Cost of Buying a Water Heater
Let’s start with the numbers people see when they search “buy a water heater” and walk into a retailer.
Typical Purchase and Installation Costs in Ontario (2026)
| Water Heater Type | Equipment Cost | Installation Cost | Total Upfront |
|---|---|---|---|
| Electric tank (40–50G) | $500 – $1,000 | $500 – $1,500 | $1,000 – $2,500 |
| Conventional gas tank (40–50G) | $700 – $1,400 | $500 – $1,500 | $1,200 – $2,900 |
| Power vent gas tank (40–50G) | $1,200 – $2,000 | $500 – $1,500 | $1,700 – $3,500 |
| Tankless gas | $1,700 – $2,500 | $1,000 – $3,000 | $2,700 – $5,500 |
Those upfront numbers look straightforward — but the purchase price is only the beginning of what you’ll actually spend. Installation costs based on data from Homestars.
The Costs That Do Not Show Up on the Price Tag
When you buy a water heater from a retailer, you’re also buying full responsibility for everything that happens after the installer leaves. Here’s what that looks like in practice.
Warranties are limited
Most big-box units come with a 6-to-12-year parts-only warranty. Labour is typically covered for just 1–2 years. After that, every service call is out of pocket.
Repair costs add up fast
A water heater repair can run $265–$1,180 for traditional tanks and $1,320–$3,700 for tankless. A single venter assembly repair can cost more than two full years of rental payments.
Finding a tech is on you
When your unit fails at 10pm on a Saturday in January, you have to find someone who can fix it — one of the most common frustrations homeowners report after buying from a retailer.
Replacement is entirely on you
Water heaters last 14–16 years. When yours reaches end of life, you’re back at the start: researching, purchasing, arranging installation and disposal, and paying the full cost again.
The cost of a single tankless repair you’d pay out of pocket as an owner — based on 2026 Homestars service data. With a Reliance rental, repairs like this are included.
What Homeowners Say After Buying From a Retailer
Online review platforms tell a consistent story about purchasing and installing a water heater through big-box retailers in Canada. Across Trustpilot, Reddit and Home Depot’s own review pages, common themes include:
Warranty claims that go nowhere
Homeowners report being bounced between the retailer, the manufacturer and third-party warranty providers when something fails. Many contractors say it’s “not covered” rather than follow the process.
Installation quality varies widely
Retailers subcontract installation to third parties, so the experience depends entirely on which contractor happens to show up at your door.
No ongoing relationship
After installation, there may be no one to call. The retailer points to the manufacturer, the manufacturer points to warranty terms, and you’re left hoping the installer can repair it.
“Lifetime” warranty fine print
Extended or “lifetime” warranties are often provided by third parties, aren’t transferable if you sell your home, and may only cover parts — not labour.
2026 Reliance Water Heater Rental Costs in Ontario
Reliance hot water tank rental prices in Ontario generally range from about $20/month for smaller electric tanks to just over $100/month for high-efficiency or tankless gas models. Your rate depends on size, fuel type, efficiency rating and your home’s hot water needs. Standard installation is included.
| Water Heater Type | Typical Purchase Cost (Installed) | Typical Rental Cost / Month |
|---|---|---|
| Electric tank (40–50G) | $1,000 – $2,500 | $20 – $37 / mo |
| Conventional gas tank (40–50G) | $1,200 – $2,900 | $25 – $57 / mo |
| Power vent gas tank (40–50G) | $1,700 – $3,500 | $39 – $57 / mo |
| Tankless gas | $2,700 – $5,500 | $58 – $98 / mo |
For a more detailed breakdown of costs by type and model, visit our 2026 Ontario Water Heater Pricing Guide.
Think of It as a Service, Not a Product
You’re not buying a tank. You’re buying hot water you can count on — for the life of the equipment.
Chances are you don’t think of your cell phone plan as “renting a phone.” You’re paying for the service of staying connected. A water heater rental works the same way: one predictable payment, and the equipment behind it is always someone else’s responsibility to keep running.
Just like the services you already rely on:
Cell Phone Plan
Streaming Service
Internet Service
Snow Removal
Every Reliance rental includes
- Professional installation Done right from day one
- All repairs Parts and labour included
- Full replacement If it can’t be repaired, we replace it
- As-soon-as same-day repairs Including weekends and holidays
Hot water when you need it. No surprise costs.
What Does Buying vs. Renting Involve?
| Feature | Buying | Renting with Reliance® |
|---|---|---|
| Upfront cost | $950 – $5,500 depending on type | $0 |
| Installation | Arranged and paid separately | Included* |
| Repairs (parts + labour) | You source and pay out of pocket after manufacturer warranty | Included for life of unit |
| Who owns the equipment? | You | Reliance |
| Extended warranty | Extra cost | Repairs included |
| Replacement if it can’t be repaired | Full cost to you | Included |
| Agreement length | N/A | 10 years, then month to month |
| Disposal of old unit | You arrange and pay | Included |
Should You Rent or Buy Your Water Heater?
| Buying may be right for you | Renting may be right for you | |
|---|---|---|
| Budget | You have funds for the upfront purchase and future repairs | You prefer a predictable monthly cost with no surprise bills |
| Maintenance comfort | You’re handy and comfortable sourcing parts and managing repairs yourself | You’d rather not research, source or manage maintenance |
| Emergency plan | You have a trusted licensed technician you can call on short notice | You want 24/7/365 live phone support and as-soon-as same-day service, including holidays |
| Risk tolerance | You’re comfortable absorbing unexpected repair costs | You want all repairs and full replacement covered at no extra cost |
Why Reliance Offers Rental (and Why We Think It’s the Better Model)
A water heater isn’t a purchase you make once and forget. It’s critical home infrastructure that runs every single day for a decade or more. When it fails, you don’t have days to figure it out — you need hot water now. The rental model lets us stay connected to your home for the life of the equipment.
We’re not selling you a product and walking away. We’re providing ongoing hot water reliability — the reason over a million Canadian households Call on Reliance™ for all their hot water needs.
Frequently Asked Questions
Is it cheaper to rent or buy a water heater?
Buying is typically cheaper over a 14-to-16-year period. Renting costs more over time, but includes all installation, repairs, parts, labour and replacement for the life of the unit. The real question is whether the savings from buying are worth the risk and responsibility of managing the equipment yourself.
How much does it cost to repair a water heater you own?
Based on 2026 Homestars service data, a water heater repair can cost between $265 and $1,180 for traditional tank water heaters and $1,320 to $3,700 for tankless. With a Reliance rental, repairs are included at no additional cost.
What happens if my purchased water heater breaks and I can’t find a technician?
You’re responsible for sourcing your own service provider to perform repairs. This is one of the most common challenges homeowners face after buying from a big-box retailer.
How long do water heaters last?
Most water heaters last between 14 and 16 years depending on the type, water quality, usage and maintenance. Tankless units may last longer with proper descaling and care.
Can I buy out my Reliance rental?
Yes. You can purchase your rented equipment at any time. The buyout amount is based on the age of the unit. Contact our Billing Department for a quote.
What is included in a Reliance Water Heater Rental?
Professional installation, 24/7/365 live phone support, parts and labour for repairs, full replacement if the unit cannot be repaired, and access to one of Canada’s largest networks of licensed water heater technicians. Service is available as soon as the same day, including weekends and holidays.
Do rental rates increase over time?
Rental rates may be adjusted periodically, similar to how your streaming service or cell phone plan may see small increases over time. Your rental agreement outlines the terms, and once your initial term is complete, you simply continue month to month with no obligation to commit to a new contract. You’re never locked into paying for equipment that has outlived its usefulness.
Ready for Hot Water You Don’t Have to Worry About?
Get a predictable monthly payment with installation, all parts, all labour and full replacement included — for the life of your unit.
*Includes Standard Installation: 10 feet of venting, 25 feet of gas line, 10 feet of water lines, and condensate pump if applicable. Contact us for details.