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How Much Does It Cost to Install a Furnace

COST CALCULATOR

How Much Does It Cost To Install A Furnace?

Typical range: $2,383 - $2,839

Find out how much your project will cost

cost to install a furnace Calculator

For your project in zip code 98102 with these options, the cost to install a furnace starts at $2,382.88-$2,838.94 per furnace. Your actual price will depend on job size, conditions, finish options you choose.


If your furnace is on the fritz or it's just time for an upgrade, it can be an expensive endeavor depending on your budget. Before you contact your local HVAC contractor to schedule an installation, you should know more about the costs involved in installing a new furnace. Whether it's gas, electric, or geothermal, every furnace has its own unique set of qualities and price points. Read on to discover how much it costs to install a furnace, the best brands, and a lot more.

Cost Calculator

Calculations are dependent on where you live


Standard Services Quantity Low High
What you can expect
Range per furnace : $2,382.88 $2,838.94
Range for this type of project: $2,383 $2,839
Estimate: $2,611

Furnace Installation Cost

1
furnace
$1,217 $1,420

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Cost of natural gas furnace heater that runs at 96% efficiency. 5-ton, 120,000-BTU capacity will comfortably heat your home throughout winter months. Natural gas and 120V connections are required at installation site. Ten-year limited warranty ensures exceptional quality.

Basic Labor for Furnace Installation

11
hours
$939 $1,138

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Standard labor cost to install furnace, from a full site assessment to preparation, installation and cleanup. Unit will be assembled, leveled, and connected to ducting. After it is fully secured and supported, the controller will be individually configured to reflect your home's needs.

Job Supplies for Furnace Installation

1
furnace
$202 $230

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Standard supplies and materials used in the installation process, such as connectors, fittings, and mounting hardware.

Equipment Allowance for Furnace Installation

1
job
$25 $51

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Equipment allowance for pipe and tubing cutters, threader, brazing kit, pipe wrenches, and other specialty tools, assessed as a daily rental fee (not including consumables).

Removal of Furnace Installation Waste

1
furnace
$12 $14

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Additional fee for safe, expeditious disposal of old materials, installation waste, and all associated debris.

Optional Services

Removal of HVAC Unit (Optional)

1
hour
$99 $120

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Full disconnection and removal of HVAC unit, up to 200 lbs. Power, connections, and fittings will be detached, mounting hardware disconnected, and unit removed from premises for proper disposal.

Standard services

Furnace Installation Cost
$1,217 - $1,420

arrow_drop_down

Cost of natural gas furnace heater that runs at 96% efficiency. 5-ton, 120,000-BTU capacity will comfortably heat your home throughout winter months. Natural gas and 120V connections are required at installation site. Ten-year limited warranty ensures exceptional quality.

Basic Labor for Furnace Installation
$939 - $1,138

arrow_drop_down

Standard labor cost to install furnace, from a full site assessment to preparation, installation and cleanup. Unit will be assembled, leveled, and connected to ducting. After it is fully secured and supported, the controller will be individually configured to reflect your home's needs.

Job Supplies for Furnace Installation
$202 - $230

arrow_drop_down

Standard supplies and materials used in the installation process, such as connectors, fittings, and mounting hardware.

Equipment Allowance for Furnace Installation
$25 - $51

arrow_drop_down

Equipment allowance for pipe and tubing cutters, threader, brazing kit, pipe wrenches, and other specialty tools, assessed as a daily rental fee (not including consumables).

Removal of Furnace Installation Waste
$12 - $14

arrow_drop_down

Additional fee for safe, expeditious disposal of old materials, installation waste, and all associated debris.

Optional Services

Removal of HVAC Unit (Optional)
$99 - $120

arrow_drop_down

Full disconnection and removal of HVAC unit, up to 200 lbs. Power, connections, and fittings will be detached, mounting hardware disconnected, and unit removed from premises for proper disposal.

What you can expect

Range per

furnace

:
$2,383 - $2,839

Range for this type of project:
$2,383 - $2,839

Cost Comparison

YOUR ESTIMATE

$2,611


NATIONAL AVERAGE RANGE

Install a furnace : national average cost

The national average materials cost to install a furnace is $1,257.88 per furnace, with a range between $1,160.96 to $1,354.81. The total price for labor and materials per furnace is $2,490.72, coming in between $2,273.19 to $2,708.25. Your actual price will depend on your location, job size, conditions and finish options you choose.

cost to install a furnace
National Avg. Materials Cost per furnace $1,257.88
National Avg. Cost (labor and materials) for 1 furnace $2,490.72
National Cost Range (labor and materials) for 1 furnace $2,273.19 - $2,708.25

Furnace installation cost

The cost to install or replace a furnace can vary, but the average cost is approximately $4,500. Your cost can vary depending on the type of equipment you choose as well as labor rates and any additional equipment that may be required. On the low end, it can cost as little as $150 to install a furnace or as much as $9,500 on the high end. A gas furnace ranges between $2,000 to $10,000, costing more if you choose a high-efficiency model or happen to require a complex installation. Electric furnaces cost less, coming in between $1,000 and $6,000. Account for labor costing between $500 and $1,000. Make sure you get at least three free quotes from HVAC professionals in your area. They'll determine the installation cost based on the size, age of your home, and the furnace's configuration.

Furnace replacement cost

If you need to replace an existing furnace, your cost will likely be lower than a new install. Using existing ductwork and connections can save you quite a bit of money on materials and labor. However, if you're choosing to replace a gas furnace with a geothermal furnace, for example, your cost could increase significantly. Here are the average furnace replacement costs based on furnace type:

Gas furnace replacement cost

Plan to pay between $2,000 and $10,000 to replace a gas furnace.

Electric furnace replacement cost

This option is less expensive, and costs between $1,200 and $7,000 on average.

Oil furnace replacement cost

Replacing an oil furnace may cost between $4,500 and $7,000.

Mini-split furnace replacement cost

This type of furnace is more complex to replace and should cost between $5,000 and $15,000.

Geothermal furnace replacement cost

Prepare to pay about $3,000 on the low end and as much as $30,000 or more on the high end to replace a geothermal furnace.

You'll also need to remove your existing furnace which can tack on another $60 to $500 to have your HVAC professionals remove it for you. Another option is to offer your old furnace to recyclers, who may come and take it out of your home free of charge. How much you pay to remove your old furnace will depend on your proximity to a dumpsite, how easy it is to remove, and if your contractor must pay any additional environmental or dumping fees.

New furnace cost

When estimating your cost to install a brand-new furnace, the unit itself should account for at least 50 to 75% of the total price. Labor should be between 20-30% of your cost, with the remaining 15-25% going toward equipment, permits, and removal of the old unit if necessary. Expect to pay between $150 and $500 for the labor to install a new furnace. In most cases, the hourly rate is between $50 and $100 for a licensed furnace installer. Most companies utilize at least two workers, which means you could pay an additional $50 per hour or so for each team member. In total, labor costs depend on your current set-up in the home, and if you need new ductwork or if your existing ductwork needs to be repaired.

A new furnace needs ductwork so that the air travels from the unit into every room. Installing new ductwork ranges between $3,000 and $5,000 or more. Your new furnace won't operate correctly without the right ductwork, vents, and filters. If your ductwork needs repair, it can cost less, which is typically between $1,000 and $5,000. If you have a two-story home, require additional vents, or you want temperature-control zones, your total cost to install a new furnace will be higher. Depending on where you live, you'll also need to shell out $400 to $1,500 for building permits which should include an inspection fee. The inspection is put in place to make sure that your furnace equipment is operating safely and effectively. If you're getting a gas furnace, ask your local gas company if they offer free inspections to help you save money.

Types of furnaces and their cost

The type of furnace you choose to install in your home depends on which type of fuel it requires to operate. Gas and electric furnaces are the most common, while oil furnaces are often used in rural areas or older homes. A mini-split furnace lets you control the temperature in different rooms, which means they're more expensive than standard furnaces. Geothermal furnaces (or heat pumps) are the latest option, offering an eco-friendly and sustainable way to heat and cool your home using resources from deep within the earth.

Here's some more information about the various furnace types including the average cost:

Gas furnace cost

A natural gas furnace can cost between $1,000 and $6,000 to install on average, mostly depending on the brand, and if you plan to convert your current electric furnace to gas. You can convert an electric furnace to propane for much less, costing between $200 and $500. Gas heat is a good choice if you live in a region with especially harsh, cold winters.

Electric furnace cost

Still the most common type of furnace, it should cost you between $500 to $3,000 to install depending on the size of your home. While electric furnaces are one of the cheapest options in terms of installation cost, they're also the most expensive to keep operating every month.

Oil furnace cost

An oil-burning furnace costs between $1,800 and $6,000, not including the cost of labor. These furnaces were once the most popular choice, particularly among homes in the northeastern part of the United States. However, as oil prices started to rise, many consumers converted their oil furnaces to electric or natural gas. Oil furnaces use a storage tank that needs to be refilled when you run low to keep your heat working properly.

Mini-split furnace cost

A mini-split HVAC system allows you to create separate temperature zones throughout your home. Usually ductless, these furnaces are modern and easy to use. The cost for a new mini-split system costs between $1,900 and $4,000 for a 1,800 square foot home, not including labor. Some brands may cost as high as $11,000 to install.

Geothermal furnace cost

For an eco-friendly option, a geothermal furnace is best. These systems use heat from underground and a system of ductwork that pumps it into your home. The cost to install a geothermal system is between $2,000 and $12,500, but you'll have lower monthly energy bills than those who use an electric or gas furnace.

Gas furnace pros and cons

If you're thinking of getting a new gas furnace, there are several pros and cons to consider before you make the decision:

Gas furnace pros

  • Gas furnaces are much more efficient than electric models, which means they run better and tend to cost less to operate every month.
  • Natural gas is an inexpensive fuel source so your monthly bill should remain fairly low and consistent.
  • If you live in a very cold region, gas furnaces do an excellent job of keeping your home warm.
  • These furnaces heat your home a lot faster than electric or oil-burning furnaces which can be especially helpful at bedtime or when taking a shower.

Gas furnace cons

  • Gas furnaces require ductwork to operate, which can increase your installation cost.
  • Your home needs to be well-sealed and properly insulated for a gas furnace to heat your home effectively.
  • While gas is inexpensive, it also has a significant impact on the environment. This may not be your first choice if you're looking for a new furnace that's environmentally friendly.

Propane or natural gas?

Before you decide to install propane or natural gas furnace, here are some important facts about each:

  • Propane is part of raw natural gas that is separated from the other components and then sold to propane companies. Natural gas consists of several different gases including butane, propane, methane, and ethane.
  • Propane is sold by the gallon, but it can be converted to cubic feet which is how most natural gas is sold.
  • In terms of energy, propane has twice as much energy as natural gas which means one cubic foot of propane holds 2,516 BTUs, and a cubic foot of natural gas only holds 1,030 BTUs. That means propane burns less volume per hour than natural gas, which means it's a more energy-efficient choice.
  • Natural gas is a clean-burning greenhouse gas, and propane is non-toxic and won't harm the environment, which means it's considered an eco-friendly fuel both before and after combustion.
  • When it comes to safety, natural gas dissipates faster than propane when it releases into the atmosphere. That means natural gas is just slightly safer to use in your home.

Gas vs electric furnace

An electric furnace is more energy-efficient than a gas furnace, but this largely depends on the type of unit you choose and if any heat is being lost through the flu line of a gas furnace. Electric furnaces convert all of their energy into heat, while that rate can vary with gas furnaces. However, a gas furnace will heat your home more quickly than an electric unit. When it comes to monthly operational costs, electric furnaces cost more. The cost to heat your home using natural gas is significantly lower than doing so via electricity. You'll also need to make sure you have an air handler installed if you choose an electric furnace. Weigh the costs, efficiency, and pros and cons of each before you decide.

Best furnace brands

The brand name of your furnace can also have an impact on how well it heats your home. Here are some of the best brands for electric, gas, and oil furnaces:

Amana

The standard models for this brand include a 10-year limited parts warranty. Most Amana furnaces also meet the emissions requirements set forth by California.

American standard

This trusted brand offers parts warranties from five to 10 years, and all heat exchangers include a 20-year warranty except for the Silver ZI model, which includes a lifetime warranty.

Carrier

Another popular brand, Carrier has a 10-year warranty on parts and a 20-year warranty on the heat exchanger for its Comfort 80 units. Their base series is a good choice for regions with mild winters and longer summers.

Rheem

This low-maintenance brand includes parts warranties that range from five to 10 years, and a 20-year to a lifetime warranty on heat exchangers depending on the model you choose.

Trane

This reputable brand is known for its quiet operation, and its new CleanEffects air cleaner removes allergens and particles from your home. Their warranties vary between five and 10 years for parts, and between a 10 to 20-year to a lifetime warranty on heat exchangers.

Furnace cost factors

When getting quotes to install a new furnace, remember that your total price may vary depending on several factors. If you need new electrical circuits run, it could cost an additional $500 to $2,000. Any drywall repair may cost $250 to $800, and a new gas line can cost from $300 to $800 or more. Permits and fees, the size of your new unit, and any new ductwork required will also determine your final cost. Make sure you get a full breakdown of all your costs before you decide which company to hire.

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How Much Does It Cost to Install a Furnace

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