How Much Does a Furnace Cost in 2024?

Whether you have a gas, oil, electric, or propane heating system, replacing a furnace can cost between $2,100 and $5,500. Here, a unit alone can run from $700 to $2,700, and you’ll spend an additional $850 to $2,800 for labor. Even though the average cost of furnace replacement is $3,765, your expenses can skyrocket to $11,500.

The furnace replacement cost

If you are about to switch to a different heating system or install one from scratch, you should budget from $3,380 to $12,000 for the project. The new furnace installation costs between $700 and $3,200 in labor. However, your expenses can soar up to $14,800 if new ductwork is required. 

The furnace installation cost 

New Furnace Cost Breakdown

Furnaces are not designed the same, so it’s not surprising that a slew of factors – from size to type to brand – influence the total price. When calculating your ballpark expenses, it’s crucial not to zero in on the cost of a new unit and local labor rates alone. Today, we’ll highlight all aspects you should consider when budgeting for your furnace installation project. 

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Cost of a New Furnace by Type

Depending on the furnace type you go for, your expenses can fall between $2,000 and $14,300. While the primary function of all the options is to heat your home, their method of generating heat varies. Some might be powered by electricity, others by natural gas or oil. This diversity in heating technology means that the choice of furnace isn’t merely about preference but also about how the type of power affects installation, efficiency, and long-term energy costs for your home.

Electric

Installing an electric furnace requires investment from $2,000 to $7,300. This can be a great option if you live in a state with a mild winter. An electric furnace can provide adequate service for 20 to 30 years when maintained well. High efficiency and low maintenance requirements are a few advantages you can enjoy. However, your energy bills can soar. 

Oil

Living in remote, colder areas lacking access to gas or propane may force you to spend $6,900 to $10,000 to install an oil furnace. Its operating expenses are typically higher than other alternatives due to the ever-increasing oil prices, the necessity for frequent tank refills, and the ongoing maintenance or replacement of the tank. 

Natural Gas

Gas furnace replacement costs from $3,860 to $10,000 on average. Even though the upfront cost doesn’t seem pocket-friendly, the investment can pay off with lower energy expenses over time. With routine cleanings and inspections, a gas furnace can last from 15 to 30 years. Unlike an electric counterpart, a gas furnace can heat your home in a flash.

Propane 

Installing the furnace and the propane tank combo can cost $3,800 to $14,300. Depending on its model, the lion’s share of the price can go for the propane tank alone. Above-ground options are cheaper than underground ones. Opting for a larger tank increases the upfront cost but reduces the frequency of needed refills, potentially lowering long-term expenses.

The price of furnace replacement by type

Cost of Furnace Replacement by BTUs

Whether a new furnace will cost around $1,300 or $10,000+ depends on its capacity. The latter is quantified in British thermal units (BTUs). For a mid-sized home, you should choose a furnace with a capacity ranging between 80,000 to 100,000 BTUs per hour to heat the house efficiently. 

If you have doubts about the size of the furnace needed for your home, follow a general rule – approximately 30 to 60 BTUs must be allocated for every square foot of living space. This calculation helps ensure that the heating system is neither too powerful, leading to energy waste, nor too weak, resulting in insufficient heat.

The average cost of a new furnace by BTUs

Cost of Furnace Replacement by Energy Efficiency

A furnace’s AFUE (Annual Fuel Utilization Efficiency) rating shows the percentage of fuel that is transformed into heat. Electric models often achieve an efficiency of 95-100% because they don’t lose heat through exhaust, unlike oil, gas, or propane furnaces, which require venting. However, all outdated systems have a low AFUE rating of about 56%, demonstrating poor efficiency.

Once you consider gas furnace replacement, make sure a new unit has a minimum efficiency of 80% AFUE. You can also find some high-efficiency furnaces, boasting ratings over 90%, with some models reaching up to 98.5%.  

Upgrading an old 58 %-efficient furnace to a new model with a 96% AFUE rating can cut heating bills by up to 37%. With heating expenses increasing yearly, this can translate into thousands of dollars in savings.

Average Furnace Replacement Cost by Blower Motor

Furnace replacement is not the only option to improve your system efficiency – you can spend from $110 to $1,200 on a new blower motor to make a difference. But it is possible if the current furnace is still in good condition. Please note that not all motors are interchangeable, so it is worth checking out with your contractor to ensure the selected model is compatible with your current furnace setup.

Blower motors come in three primary varieties:

• Single-stage motors. It is the most basic and least costly option, running between $110 and $500. These motors operate at a single, continuous high speed, which can lead to more noise and higher energy use since the speed doesn’t adjust to the heating load.
• Two-stage motors. They cost between $130 and $760 and offer more efficient performance by operating at two speeds: high for colder temperatures and low for milder conditions. This adaptability helps conserve energy when full power is unnecessary.
• Variable-speed motors. Your expenses can be anywhere between $450 and $1,200. These motors can regulate their speed to match the space’s heating needs, resulting in quieter operation and optimal energy efficiency. This type of motor also promotes even temperatures throughout the home and reduces the frequency of on-and-off cycling.

The average furnace cost by blower motor

Cost to Replace a Furnace by Brand

Operating in the competitive market, furnace manufacturers go all out to cater to diverse consumer needs. That’s why big names in the field, like Goodman and Carrier, develop various product lines, ranging from budget-friendly to top-of-the-line options. However, you can notice a tremendous price gap between brands, with some known for expensive products of superior quality.

Many manufacturers specialize in producing furnaces operating on specific fuel types. Hence, when selecting the ideal option, you must make allowance for your household’s accessibility to particular fuel sources. If the warranty is for the hook for you, take the time to understand the terms and conditions outlined in the document. Warranties can differ in duration and what they cover, meaning some parts of the furnace may not be covered. 

The average cost to replace a furnace by brand

How Much Is a New Furnace? – Labor Expenses Explained 

Contractors can charge from $700 to $2,800 for furnace replacement, while installation can set up back up to $3,200. The fees are influenced by the specific installed system type, its efficiency rating, and the project’s complexity. Overall, the hourly rate of professionals can be anywhere from $75 to $110 for their services. Additionally, hiring assistants to replace a furnace costs between $35 to $60 per hour for each specialist. Remember that their labor is billed separately. 

Additional services and the total time needed to install a furnace can also affect the overall labor cost. The project’s timeline can span from as short as 4 hours to as long as 18 hours. This duration depends on factors such as the accessibility of the installation site, the preparation needed before the actual installation, and the type of furnace selected.

When replacing or installing a furnace, some extra services might be required or recommended to ensure optimal functionality and safety of the system. Here’s a breakdown of the ballpark costs associated with each:

• Permit fees. Obtaining the necessary permits can cost between $260 and $1,500, depending on your location and the project’s scope.
• Existing unit removal. Specialists can charge between $150 and $500 to remove the old furnace, often depending on its size and complexity.
• Home-energy audit. Specialists can charge between $200 and $650 to assess your home’s energy efficiency. This service helps identify potential energy leaks or inefficiencies.
• Duct replacement. Replacing old or inefficient ductwork typically costs between $1,500 and $5,700, but the cost can vary depending on the amount of ducting and accessibility.
• Duct installation. For homes without existing ductwork, installation can range from $2,450 to $6,700, depending on the house’s size and the job’s complexity.
• Gas line installation. Installing a new gas line costs approximately $500 to $2,000, based on the length of the line required and the difficulties of the installation.
• Electrical work. While minor updates can set you back $100 to $260, modifications during furnace installation can add $500 to $2,000 to the final bill.
• Chimney liner installation. Those who utilize a gas furnace that vents through a chimney may need to install a new liner for safety, which typically costs $900 to $3,900.
• Condensation drain installation. HVAC specialists can charge between $220 and $600, including PVC pipes, fittings, and mounting hardware.
• Thermostat replacement. Based on whether you choose a basic programmable or smart model, you can pay from $145 to $760. 
• Electric panel upgrade. Between $880 and $3,400 can be spent on a new electric panel combined with spic-and-span circuit breakers, wiring, and supplies.
• Circuit breaker replacement. Based on a breaker type and the total number of hours worked, you can spend from $120 to $670.  

The labor cost of a furnace replacement + add-ons

Cost of a New Furnace for a Mobile Home

Replacing a furnace in a mobile home can range from $966 to $4,580. Such price fluctuation is driven by multiple factors like the brand, size, type, and overall furnace quality. Please note that most mobile homes are equipped with furnaces that have a heating capacity ranging from 35,000 to 70,000 BTUs. They are suitable for the spatial constraints and ventilation systems typical in mobile homes, ensuring efficient heating throughout the living space. 

Willing to discover how much to replace a furnace in your home? Stop by MyHomeQuote for all the information. We cooperate with numerous specialists nationwide, so connecting you with your local ones won’t take long. 

The mobile home furnace replacement cost 

Pricing Insights on Furnace Conversion

Converting a furnace to a different fuel type incurs an average expense ranging from $2,100 to $10,300. This cost is primarily dictated by the specifics of the existing system and the new kind of fuel being introduced. In particular, converting to natural gas or propane is generally more cost-efficient because the existing furnace can often be adapted to these fuels without requiring a complete replacement. However, suppose you are switching to or from other fuel sources such as oil or electricity. In that case, the entire furnace must be replaced to accommodate the different energy requirements and operational mechanics. 

The furnace cost replacement by conversion

Takeaway 

Whether replacing or converting a furnace system, it is essential to discover the associated costs to budget effectively and not run out of money midway. You should carefully analyze different furnace types, sizes, and brands while considering available fuel sources. Remember that converting a furnace to a different fuel source, for instance, from electric to natural gas, or vice versa, entails additional expenses, the scale of which depends on the complexity of the conversion and the infrastructure in place. To make your project a no-brainer, seek multiple quotes and search for the right professionals. They can ensure that both installation and conversion processes are managed efficiently. You can do that easily with MyHomeQuote.