Canada has committed to attaining net zero emissions by 2050 with an interim goal of 40% to 45% emission reduction by 2030. The building sector is Canada's third largest producer of greenhouse gas emissions. Around 70% of buildings’ emissions come from space and water heating equipment. Therefore, this research is focuses on finding the most suitable time and approach for retrofitting heat pumps in multiuse residential buildings. This research assesses the various retrofit options considering the specific characteristics of the building. Subsequently, it establishes a set of decision criteria to evaluate these alternatives. This set of decision criteria pertains to both the building and its specific location. It enables homeowners to make informed choices that diverge from the conventional approach of retrofitting. After a detailed analysis, the research concludes that the hybrid system aligns best with the building's characteristics and is well-suited to adapt to the changes in the electricity grid.