If you have been researching a new heat pump or furnace lately, you have probably hit a wall of confusing, outdated information.
Here is the reality as we head into 2026: The federal Canada Greener Homes Loan (that 0% interest offer) officially closed its doors to new applicants in October 2025.
For many Ottawa homeowners, this feels like the door has slammed shut on affordable energy upgrades. But that isn’t true. The landscape hasn’t ended; it has just shifted.
As Ottawa’s local HVAC experts, AirZone HVAC Services is here to be your navigator. We have mapped out the new financial landscape for 2026, including the local loan alternative you might not know about and the new rebate structure from Enbridge.
The Federal Loan is Out. The “Better Homes Ottawa” Loan is In.
When the federal 0% loan ended, it left a gap. Fortunately, the City of Ottawa has a solution that is still very much active, though less advertised.
It is called the Better Homes Ottawa Loan Program (BHOL).
While it isn’t 0% interest, it is a fantastic, low-interest alternative designed specifically for local residents. Here is why it is the smart move for 2026 renovations:
- The Rate: As of late 2025, the fixed interest rate is 4.33%. While not zero, this is significantly lower than a standard bank line of credit or credit card.
- The Terms: You can amortize the loan over 20 years, keeping monthly payments incredibly low.
- The “Tie-to-Property” Advantage: Unlike a personal loan, this is a “PACE” (Property Assessed Clean Energy) model. The loan is tied to your property tax bill, not you personally. If you move, the loan (and the energy-efficient equipment) can stay with the house.
- What it Covers: High-efficiency heat pumps, furnace replacements, insulation, windows, and even EV chargers.
The New Player: Enbridge Home Renovation Savings Program (2025-2026)
With the confusion around the end of the HER+ program, Enbridge launched a new initiative in January 2025: the Enbridge Home Renovation Savings Program (HRSP).
This program is designed to pick up where previous rebates left off, but with a streamlined focus on verified energy savings.
How it differs from the old rebates:
- Performance-Based: The rebates are heavily weighted toward the actual energy you save. This makes the pre-retrofit audit more important than ever.
- Hybrid Focus: There are specific incentives for “Hybrid Heating” (pairing a gas furnace with a heat pump), which is often the best setup for Ottawa’s climate.
- Income Qualified Options: There are enhanced rebates available for specific income brackets, ensuring more Ottawa families can afford to upgrade from old, inefficient equipment.
The Ottawa HVAC Rebate Checklist: Your 2026 Rebate Strategy
✅ Chart 1: Better Homes Ottawa Loan (BHOL) Checklist
This loan program is distinct because it is tied to the property tax roll and requires audits to verify the value of the improvements.
| Step | Action Item | Why it Matters |
| 1. Check Eligibility | Must be an Ottawa property owner with property taxes in good standing. | The loan is repaid via your property tax bill; you must have an active tax account to qualify. |
| 2. Book Pre-Audit | MANDATORY: Complete a pre-retrofit EnerGuide evaluation. | You cannot apply for the loan without the File Reference Number from this audit. |
| 3. Apply & Wait | Submit application and wait for the Notice to Proceed (NTP). | Crucial: Any work started before receiving the NTP is ineligible for funding. |
| 4. Secure Financing | Sign the Property Owner Agreement to lock in the 4.33% fixed rate. | This legal agreement secures the funds (up to $125k) and authorizes the City to advance 50% upfront if needed. |
| 5. The Install | Use a licensed HVAC contractor like AirZone HVAC Services. | Work must be completed by qualified professionals to pass the final inspection. |
| 6. Final Audit | MANDATORY: Complete the post-retrofit evaluation. | The final loan balance is only released after this audit proves the upgrades were completed. |
✅ Chart 2: Enbridge Home Renovation Savings Program (HRSP)
This chart reflects the new 2025 rules where audits are no longer mandatory for specific heat pump upgrades.
| Step | Action Item | Why it Matters |
| 1. Check Eligibility | Must be an Ottawa resident connected to either Enbridge Gas, Hydro Ottawa, or Hydro One. | The HRSP is funded through rate-payer programs; you must be connected to the grid. |
| 2. Book the Audit | OPTIONAL: Book a pre-retrofit audit only if you want whole-home rebates (insulation, windows). | Heat Pumps Only: You can skip this step and proceed directly to installation to save time and money. |
| 3. Choose Equipment | Select a heat pump from the Eligible Product List. | Not every heat pump qualifies. We ensure your Moovair or Lennox system is on the verified list. |
| 4. Financing | N/A (This is a rebate program, not a loan). | If you need financing, refer to the Better Homes Ottawa Loan chart above. |
| 5. The Install | Use a licensed, participating HVAC contractor such as AirZone HVAC. | Strict Rule: DIY installs or non-participating contractors are disqualified from the no-audit rebate. |
| 6. Final Audit | NOT REQUIRED for Heat Pump-only rebates. | Your participating contractor submits the photos and paperwork directly to Enbridge to trigger your rebate. |
Why Your Installer Matters More Than Ever
In the “old days,” you could just buy a furnace and be done. Today, securing thousands of dollars in rebates and low-interest financing requires strict adherence to the rules.
One wrong model number, one missed audit, or one paperwork error can cost you $5,000+.
At AirZone HVAC Services, we don’t just install equipment; we manage the process. We know exactly which heat pumps qualify for the Enbridge HRSP. We know how to work with the Better Homes Ottawa auditors.
Don’t let the end of the federal loan stop you from saving money. The roadmap for 2026 is clear, and we are here to drive you through it.
Ready to start your rebate journey? Contact AirZone Today for a Free Quote & Rebate Consultation
