Energy-efficient upgrades for rental properties
Find federal and provincial rebates for rental upgrades, from insulation and heat pumps to smart thermostats, heating systems, windows, and eligibility checks..
Energy-efficient upgrades reduce operating costs, attract quality tenants, and improve the long-term value of a rental property. Here's where to focus and what to consider before making changes.
Why Energy Efficiency Matters for Landlords
Tenants increasingly factor energy costs into their rental decisions, especially as utility prices rise. A well-insulated, energy-efficient unit is easier to rent, commands stronger pricing, and has lower vacancy risk. For landlords who include utilities in the rent, efficiency upgrades directly reduce operating costs.
High-Impact Upgrades to Consider
Insulation and air sealing: Poor insulation is the single biggest driver of high heating and cooling costs in older rental properties. Upgrading attic insulation and sealing air leaks around windows, doors, and penetrations delivers measurable reductions in energy use and is one of the highest-return upgrades available.
Windows and doors: Replacing single-pane windows with double or triple-glazed units improves thermal performance significantly, particularly in provinces with cold winters. New exterior doors with proper weatherstripping also reduce drafts and heat loss.
Heating and cooling systems: Replacing an old furnace or boiler with a high-efficiency model reduces fuel consumption. Heat pumps are an increasingly popular option in moderate climates, providing both heating and cooling in one system and qualifying for rebates in several provinces.
LED lighting: Replacing incandescent or fluorescent lighting in common areas and units with LED fixtures is low-cost, long-lasting, and reduces electricity consumption immediately.
Low-flow fixtures: Installing low-flow showerheads and faucet aerators reduces hot water consumption, which lowers both water and energy costs where the landlord pays for utilities.
Smart thermostats: A programmable or smart thermostat allows better control of heating and cooling schedules, reducing energy waste in vacant or underused spaces.
Before You Start
Check what rebates and incentive programmes are available in your province before committing to any upgrade. Federal and provincial programmes can significantly offset the cost of eligible improvements. See the companion guide on rebates for energy-efficient rental upgrades by province for details.