There’s misinformation about electric air-source heat pumps out there that could separate you from your money.

We’ll do our best to debunk them.

Urban myth #1
Natural gas furnaces are cheaper than heat pumps.

Heat pumps are the lowest-cost option for heating and cooling most homes in Canada. This finding is based on two recent reports:

These findings are the result of low heat pump operating costs. Heat pumps are unbelievably efficient, typically producing 300%-400% as much energy as the electricity that powers them. In comparison, high-efficiency natural gas furnaces are just 90-99% efficient.

It’s difficult to compare the cost of a heat pump to just a natural gas furnace as the heat pump replaces two systems in your home – the furnace and also the air conditioner.

Using the FlexPlex® an example, the cold climate heat pump wins out over the air conditioner/high-efficiency natural gas furnace, according to the Canadian Climate Institute’s calculator:

Cold Climate Heat Pump Heating and Cooling:                         $1516

Air Conditioner & Gas Furnace:                                                  $1730

Visit www.heatpumpcalculator.ca to try it for yourself.[2]

Urban myth #2
It’s too cold for heat pumps in Ontario

Cold-climate air-source heat pumps work well in Southern Ontario. They work to at least -30 degrees C. The coldest Toronto temperature recorded since 1960 was -25 degrees C.  

Heat pumps provide high levels of indoor comfort and warmth.

Heat pump technology is improving by leaps and bounds so by the time you shop for a heat pump, they may very well work below -30 degrees C.  

If your house is highly insulated and air-tight, you won’t notice the difference in heat pump performance on cold days. In fact, the FlexPlex® heat pump system works so well that if the temperature is set above 18 C it can feel a tad too toasty.

Urban myth #3
You need natural gas backup if you have a heat pump
Air source heat pumps work well in Toronto's climatic conditions to provide high levels of indoor comfort in cold weather

Some heating and cooling companies push the idea you need natural gas as a backup for a heat pump (probably based on information from the gas company).  What they’re suggesting is effectively adding a heat pump to a natural gas furnace.

Instead, some back-up electric heat – like an electric coil in the ductwork, or a heat-throwing electric fireplace – can do the trick if you home is well-insulated.

It’s only in very cold climates like Edmonton or Saskatoon that a more substantial back-up heating system is advised. 

Urban myth #4
You’re worse off with heat pumps than natural gas during a blackout
We compare the performance of heat pumps and natural gas furnaces during a power blackout

In an electricity failure, neither natural gas furnaces nor heat pumps will work.

All gas furnaces rely on electrically driven components to work. They also have safety systems that also prevent them from operating in a blackout.

In the case of the Flexplex, this highly insulated building will retain heat for a very long time. We expect that the electricity will be back on long before the building is cold.   

*The information in this article is based on Greenbilt’s research and our operating experience with heat pumps in our Flexplex® showcase home.


References

[1] “Cold-Climate Air Source Heat Pumps: Assessing Cost Effectiveness, Energy Savings and Greenhouse Gas Emission Reductions in Canadian Homes

[2] We made some adjustments to the calculator to make the assumptions realistic for the FlexPlex.

Many Canadian housing markets look like they’re Climbing the Wall of Worry. Does this mean you should be worried?

Toward the end of long bull markets, stock prices follow a pattern called “Climbing the Wall of Worry”. The worry shows up as periods of falling prices following negative events like the pandemic. But it ends up as a blip in a long up-market, and the bull run eventually returns.

This stage of a bull market isn’t peaceful for an investor.

You may agonize over whether to lock in your profits during market gyrations. Nothing lasts forever, including bull markets. 

Housing prices are climbing a wall of worry after a long bull market in Toronto

However, there’s a difference between your real estate and your stock portfolio. Your property is probably your biggest asset, but it’s also the roof over your head. You don’t sell it in one mouse click.

Toronto market outlook

So, you probably would like a crystal ball into the future. Let’s focus on Toronto because we have the most data about that market.

There is a lot of debate about what caused this long bull market in Toronto real estate. In our opinion, there are three key reasons. Toronto is:

To end the housing crisis, Toronto’s finally on a path to allow a lot more apartments in the housing mix.

But, to build enough apartments to ease the housing crisis, more things have to change. There is no short-term fix.

Until then, we expect continued tight Toronto housing markets will cause:

For the real estate junkies in the crowd, we are presenting 2023 Canadian property returns. It shows that residential was the top-performing property type in Toronto in the last year.

The top-performing property type in Toronto in 2023 was residential real estate
The top-performing property type in Toronto in 2023 was residential real estate

Protecting the value of your property

If you own Toronto real estate, it looks like prices will continue on their long-term climb with some worry from time to time. But you’ll minimize any risk of loss if:

In the end, flexibility protects values and is part of a future-proof building.

Stairs can add to the sustainability and flexibility of a home

I’m twice over the moon.” 

Two heads are better than one.

Twins are double the fun.

Our language suggests that two are better than one.

We agreed, and that’s why we put double staircases in different model homes that Greenbilt Homes designed and built.

“Double, double, toil, and trouble,” you say! Is the extra cost and effort of a second staircase worth it?

FlexPlex® stairs

Toronto Star photo of exterior staircase of the FlexPlex

A photo of the FlexPlex exterior staircase was published in the Toronto Star in December, 2023

The answer is a resounding YES. A second staircase offered a huge improvement in functionality.

The most recent double staircase design is in the FlexPlex® home that Greenbilt designed and constructed at 19 Burlington Street, Toronto.  We knew that residents of a 55-foot-long building would appreciate having a rear external staircase.

But we thought the tenants would prefer the interior front staircase because it’s a climate-controlled, bright, and appealing.

We were wrong.  The rear staircase is used the most. It’s very handy as it’s adjacent to the kitchen and living areas.

In future, the addition of an exterior elevator down the centre of the stairscase can add to the home’s flexibility for tenants with mobility issues.

Greenbilt House stairs

Second staircase in a sustainable house

The green-certified Greenbilt House in Bronte Habour, Oakville also featured a flexible second staircase.

Greenbilt House was modelled on a mid-1800s farmhouse and featured a grand staircase in a front foyer with two-storey vaulted ceiling.  

In traditional homes, the rear staircase was a servants’ staircase.  In the case of Greenbilt House, the second staircase was located in a large mudroom/laundry with the garage entrance. It’s how goods came and went from house to garage.  It’s how clothes moved to the laundry room, and how people entered the backyard.

As you can imagine, that rear staircase was heavily used.

In future, if a secondary suite were added to the building, it would create a direct exterior entrance for the tenant.

Low-cost sustainability

The cost of adding a second, utilitarian staircase is fairly low.

The second stair represents flexibility. We believe it’s an important element of sustainability.

In the event of a fire, it provides safety.

Ying and yang

But, like most things, there’s ying and yang.

I can bet that at least one teenager has said: “OMG they’re home early. Quickly, out the back stairs.”

Nestled in one of the Greater Toronto Area’s leafy neighborhoods is the FlexPlex home. This innovative model home is designed to inspire multigenerational living, accommodating the growing trend of extended families living under one roof.

The Rise of Multi-Generational Living

Recent research has uncovered a noteworthy trend that’s gaining momentum in Toronto – multigenerational living. This phenomenon, which has seen substantial growth in the United States over the last five decades, is driven by the shared challenges of housing affordability. As Toronto grapples with housing costs, this trend is likely to persist, thanks to the financial benefits it offers.

The research also highlighted that, in addition to financial considerations, family caregiving plays a pivotal role in the choice of multigenerational living. Contrary to the assumption that multigenerational living might be stressful, the research reveals that more than half of adults find it to be a mostly or always rewarding experience. As someone who recently shared their household with their daughter’s family for a month, I’d bet that nearly 100% of children would support living with doting grandparents.

Embracing best practices in “multigen” living is increasingly crucial in Toronto, as it offers a promising solution to housing affordability, as well as addressing the needs of both elders and childcare.

Financial Benefits of Owning a FlexPlex Home

When the financial burden of securing a down payment or qualifying for a mortgage becomes too heavy to bear independently, it’s time to join forces with your family. A significant aspect of the affordability of owning a FlexPlex home comes from the idea of it being your “forever home.” This concept helps you avoid costly realtor fees, high property purchase taxes, and the potential HST for each move you didn’t make.

What’s more, the City of Toronto is making it easier for multigenerational living by eliminating development charges on the construction of duplexes, triplexes, and fourplexes while increasing them for condos. These development charge savings make the triplex an appealing alternative for today’s homebuyers.

Don’ts of Successful Multigenerational Living
#1 DON’T – Try to Accommodate Every Family Member in Every Meal

Provide families with the opportunity to have as many kitchens as they desire. In a FlexPlex home, you can strike a balance between interaction and privacy, making multigenerational living comfortable for everyone. Whether you prefer a traditional, interactive single-family home with up to four kitchens or separate units for each family group, FlexPlex offers the flexibility to adapt your space to your needs.

Consider the future – as family dynamics evolve, you can downsize within the FlexPlex by easily converting part of your space into rental accommodation. And when the grandkids arrive, you can “flex” back into a multigenerational home. With private bathrooms for every bedroom, independent heating, cooling, and soundproofing on each floor, reconfiguring the home is a breeze.

#2 DON’T – Give Your Adult Kids Unsolicited Child Rearing Advice

The last thing you want to hear as a parent is, “I don’t want to hear it!” Offering unsolicited parenting advice is a definite DON’T in the realm of multigenerational living. My recent experience with my Vancouver-based daughter and her family living with us for a month emphasized the importance of respecting boundaries.

The Benefits of Multi-Generational Living – A Real-Life Story

Let’s take a moment to delve into the benefits of multigenerational living through a heartwarming story. Meet Zack and Jesse, a young couple with an aging bungalow. They decided it was time to upgrade their living conditions to accommodate their growing family. Simultaneously, Jesse’s parents, who lived in the original family home, were looking to downsize.

Their solution? A multigenerational legal duplex, where each family has an individual unit, allowing three generations to coexist harmoniously. Greenbilt Homes had the honour of building their home. The result? Seven years into it, they have a happier and more spacious living arrangement, while also saving on purchase taxes and realtor fees.

Are you ready to unlock the potential of multigenerational living? Reach out to us to learn more about how a FlexPlex – either a three-storey fourplex version or a two-story triplex or duplex – can shape your family’s future. Your dream of a more affordable and connected living space is just an email away!

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