What Home Renovation Savings pays for a heat pump water heater in Markham
We re-read the program's page and its eligibility requirements on October 3, 2026. There is no stand-alone water heater rebate in Ontario's program. The $500 comes with an assessment and at least one other upgrade.
Heat pump water heater
Paid for replacing a gas, oil, propane or electric water heater with an ENERGY STAR certified heat pump water heater on NRCan's list, installed by a licensed professional.
Not a stand-alone rebate
The $500 is only paid inside the assessment stream, which requires at least two qualified measures. A water heater counts as one.
Home energy assessment
$600 comes back when the program is completed. The first and follow-up assessments cost money up front, and $600 comes back when the program is completed.
Three or more upgrades
A third qualified upgrade, such as insulation, windows or air sealing, earns another $500.
Program cap
$10,000 for homes heated by electricity, oil, propane or wood and $5,000 for Enbridge gas homes, across all measures.
Canada’s new heat pump rebate is worth up to $10,000. Get an email the day it opens
Planning a heat pump too? This one is on top of the rebates above, and we’ll email you the day it opens.
- Up to $10,000
- if your household earns below the median income
- $2,000
- for other homeowners who qualify
Stack it with the Ontario rebate open today
Ottawa says you can combine them. Each program has its own rules. Amounts are the most you can get.
Applications open early 2027
Join the launch alert
- Launch-day email, with what to do first
- Who qualifies for the $10,000, once Ottawa says
- A short hello now, so you know it worked
Know someone with old heating? Send them this.
Only emails about this rebate. No spam, no sales calls. Unsubscribe anytime.
Read everything we know so far Official page: canada.ca
The post-audit must be scheduled by November 30, 2026 and completed by December 31, 2026, or within 180 days of your first assessment, whichever comes first.
Newer homes and the partner upgrade
With 12,100 owner-occupied detached houses built before 1981 and about 21% of households in homes built since 2011, many Markham homes may have attics above the insulation tables and ENERGY STAR windows already. Air sealing, basement insulation or older windows may be the better second measure. Ask the advisor what the report supports.
Eligible house types
77% of Markham households live in an eligible house type, with 16,100 row and 7,095 semi-detached households. Stacked townhomes are not eligible, and condos and apartments (16% of households in tall buildings) are excluded.
Gas or electric tank
A gas-heated Markham home can swap a natural gas water heater for a heat pump model and receive $500. A home heated by electricity, oil, propane or wood can swap an oil, propane or electric tank. Say which you have when you book the assessment.
Choosing the second upgrade by the numbers
The partner measures pay different amounts. An attic can pay up to $1,500 in the assessment stream, exterior walls up to $3,600, windows and doors $100 per rough opening with a minimum of three windows or one door-type opening, and air sealing $200 or $250 if the home reaches a target in your report. Because the water heater is the smallest of these, many owners treat it as the add-on that completes a bundle.
Paperwork and payment
At the follow-up assessment the advisor needs the invoices for both assessments and for each upgrade, plus a copy of your property tax bill. Once the advisor has submitted everything, the rebate arrives within 60 days by cheque or within 30 days by Interac e-Transfer. A Markham owner should choose the payment method early and keep copies of every document.
Space heating is a separate stream
If you also want a heat pump to heat the home, that is a different stream with no assessment, its own contractor list and its own pre-approval, with rebates of $500 or $1,250 per ton depending on your current fuel. The water heater rebate here is separate from it, so plan the two projects on their own timelines.
How to claim in Markham
- Confirm the tank you will replace and the age of your windows and attic.
- Book the first home energy assessment with a registered energy advisor before any work starts.
- Choose at least one more upgrade to pair with the water heater, such as insulation, windows or air sealing.
- Choose an ENERGY STAR certified heat pump water heater from NRCan's list and have a licensed, trained professional install it.
- Keep invoices and your property tax bill, and book the follow-up assessment before the December 31, 2026 deadline.
Common questions
Do newer Markham homes qualify?
Yes, after six months of occupancy.
What partner upgrades work for a newer home?
Air sealing, basement insulation or windows, depending on the report.
Are condos covered?
No.
How much is the rebate?
$500.
What to do next
See Markham insulation rebates, heat pump rebates and the Ontario rebate calculator.
By Sam Menard. Sources, last read October 3, 2026: Home Renovation Savings: assessment upgrades, Home Renovation Savings eligibility requirements (PDF), Save on Energy: Home Renovation Savings, Statistics Canada 2021 Census, table 98-10-0233-01. All Markham rebates → Every Home Renovation Savings rebate →
