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Is renting a furnace from Reliance a good idea?

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  • Oct 13th, 2014 12:51 pm
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[OP]
Sr. Member
Mar 15, 2008
572 posts
38 upvotes

Is renting a furnace from Reliance a good idea?

Our furnace is really old and in need of replacement.. But unfortunately we cannot afford it.. So i was looking at renting one of the units for 80 dollars, which comes with a 7 year contract..

Is this a good idea? I always hear of scams when it comes to water heater and furnace replacements
28 replies
Deal Addict
User avatar
Mar 8, 2002
3797 posts
591 upvotes
Ottawa
Do the math, $80/month plus HST is $90.40, over 7 years amounts to $7593. After 7 years, do you own the furnace, or do you still have to rent it?

At today's interest rates, you're better off getting a loan and buying a furnace outright for $4k or so.
Sr. Member
Mar 27, 2009
523 posts
60 upvotes
If its rent-to-own than possibly not the worst idea.

If it's 80/month indefinitely than its the worst idea EVER.
Deal Addict
Mar 5, 2011
1154 posts
103 upvotes
Kitchener
Bad idea . Unlike water heaters Furnaces are very reliable and should last any years without any major expenses . If money is a little tight look for a dealer that wil give you terms . If you were near Kitchener I would give you a good contact .
Sr. Member
May 24, 2003
931 posts
42 upvotes
1bagger wrote:
Aug 21st, 2012 2:38 am
Bad idea . Unlike water heaters Furnaces are very reliable and should last any years without any major expenses . If money is a little tight look for a dealer that wil give you terms . If you were near Kitchener I would give you a good contact .
Really? I would say just the opposite.

Renting anything is a waste of money but some people have to do what they have to do to survive.
Deal Fanatic
Apr 20, 2011
6052 posts
1515 upvotes
Munchos wrote:
Aug 21st, 2012 2:51 am
Renting anything is a waste of money but some people have to do what they have to do to survive.
Yes, and further:
OP, if you can't afford/don't have available credit to maintain your house, you're in over your head.
In that case, you should probably be renting a different place after selling the one you've got, not renting a furnace.
What happens if the roof has a catastrophic leak? There's another 5k.

Owning a house is great, but you need to know when you're overstretched and get out before it's too late.
If it's just temporary (e.g. off work on 6 month disability), then fine. But if you have no special circumstances as to why you can't afford the furnace or don't have the credit, you should probably consider what I said above.
Deal Addict
Mar 5, 2011
1154 posts
103 upvotes
Kitchener
aqnd wrote:
Aug 21st, 2012 3:43 am
Yes, and further:
OP, if you can't afford/don't have available credit to maintain your house, you're in over your head.
In that case, you should probably be renting a different place after selling the one you've got, not renting a furnace.
What happens if the roof has a catastrophic leak? There's another 5k.

Owning a house is great, but you need to know when you're overstretched and get out before it's too late.
If it's just temporary (e.g. off work on 6 month disability), then fine. But if you have no special circumstances as to why you can't afford the furnace or don't have the credit, you should probably consider what I said above.
So . What your saying is if you can't afford to pay cash for a home you're "over your head , overstretched ".
Get real . I'm in business , somethings you pay for , other things you rent . Good business decisions .
Why do most succesfull busines people lease their cars ? Not because their over their heads .
Dumbass replies of the day .
Banned
Sep 28, 2008
134 posts
8 upvotes
Surrey
My wife & I got a carrier furnace & heat pump from Sears two and a half years ago & they had a no interest financing option on the Sears credit card. We could have spread the principal out over 2 or 3 years & we opted for 2 years to pay it off quick. In hind site, I might have done three years...

It was nice, since it wasn't one of those "Pay admin fee of $50, $75 or $100 for interest free"...rather it was just signing up for a Sears Mastercard. With the purchase, we got Sears points, as well as a no fee MC that we could have used for other purchases. Each month, the balance would show that an installment payment was due, and if we happened to be late with the payment, they charge you interest only on that that installment.
Deal Addict
Jan 19, 2011
2189 posts
426 upvotes
1bagger wrote:
Aug 21st, 2012 4:00 am
So . What your saying is if you can't afford to pay cash for a home you're "over your head , overstretched ".
Get real . I'm in business , somethings you pay for , other things you rent . Good business decisions .
Why do most succesfull busines people lease their cars ? Not because their over their heads .
Dumbass replies of the day .
Actually, aqnd is not saying that whatsoever. He is saying that if you can't afford (or don't have credit available) to pay for small reasonable repairs and upgrades (don't tell me a furnace is a major expense, it is about 1% or less of a homes value, about 1/10 the value of a new car.) that you are overstretched

Total cost of ownership of a rented furnace (or water heater) is typically three to four times that of purchasing one directly and having it installed. There is no comparison to leasing of a vehicle, which typically costs marginally more that owning one. Astute business persons would not lease vehicles if the cost of doing so was in the order of four times purchasing outright.

Dumbass interpretation of a reasonable reply of the day
"The truth is incontrovertible, malice may attack it, ignorance may deride it, but in the end; there it is."
Just a guy who dabbles in lots of stuff learning along the way. I do have opinions, and readily share them!
Deal Addict
User avatar
Nov 9, 2003
1090 posts
63 upvotes
Grimsby
You should take a long hard look at the 'old' furnace and see if it can be serviced, what make and model is it? Some of those 25 year old furnaces will last another 25 years. Today's furnaces might be efficient but they are not built to last like the old ones.
Deal Fanatic
User avatar
Jun 2, 2010
5883 posts
2726 upvotes
Markham
On my street a senior got con by DE 2 years ago. she got a HE furnace for $65 a month for 15 years contract :facepalm:
Deal Expert
Oct 6, 2005
15148 posts
1581 upvotes
Munchos wrote:
Aug 21st, 2012 2:51 am
Renting anything is a waste of money but some people have to do what they have to do to survive.
And that's why some people are in perpetual debt.
Deal Addict
User avatar
Feb 25, 2007
1726 posts
20 upvotes
Toronto
Take out a loan from the bank to get a new furnace.
Lennox also has a finance option "SNAP Financial" thru their dealer network, i'm sure most name branded dealers have similar....start shopping around.
Great minds discuss ideas. Average minds discuss events. Small minds discuss people. :idea:
Deal Fanatic
User avatar
Jun 7, 2001
6581 posts
623 upvotes
Alberta
Get a furnace that meets the minimum efficiency required in your province. In BC, it was 80% several years go....now it's higher. 5 years ago, a 80% efficient basic furnace was around $1500 or so. I would assume that a basic furnace would be in the $2xxx range. If you can get one at Sears with equal payments over 2-3 years with little or no interest....that would be ideal.

Dave
Deal Guru
User avatar
Dec 12, 2009
11408 posts
2097 upvotes
Toronto
OP, if you can't afford to buy, then certainly you can't afford to rent from these scammer companies.
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