Furnace replacement cost

Replacing a furnace costs $3,500 to $7,500 installed for a standard-efficiency model and up to about $11,500 for a high-efficiency unit. Gas furnaces are the most common, at $3,800 to $12,000 installed depending on efficiency.

Quick answer

$3,500 – $7,500standard efficiency, installed

Small electric furnacesStandard replacementHigh-efficiency gas, propane, oil

Most homeowners pay $3,500 to $7,500 to replace a furnace. Small electric units start near $2,000; 96%+ AFUE gas furnaces and complex installs reach about $12,000.

Cost by fuel type

Furnace replacement cost by fuel type
FuelUnit priceInstalled
Natural gas$1,500 – $6,500$3,000 – $10,000+
Electric$1,000 – $3,500$2,500 – $7,000+
Oil$1,500 – $6,500$4,000 – $10,000+
Propane$1,500 – $6,500$3,000 – $12,000+
Pellet$2,500 – $12,000$4,000 – $17,000
Where the money goes
  • Furnace and materials$2,000–$4,00050%
  • Installation labor$1,500–$3,50042%
  • Removal and permit$250–$6508%

Share of a typical project, using the middle of each range.

Cost by home size

Furnace replacement cost by home size
Home size (sq ft)Installed cost
1,000 – 1,500$2,000 – $4,500
1,500 – 2,500$3,000 – $6,500
2,500 – 3,500$4,000 – $9,500
3,500+$5,500 – $10,000+

What size furnace you need

Furnace size by home size
Home size (sq ft)Heating output needed (BTU)
1,000 – 1,50030,000 – 90,000
1,500 – 2,00045,000 – 120,000
2,000 – 2,50060,000 – 150,000
2,500 – 3,00075,000 – 180,000
3,000 – 3,50090,000 – 210,000

Wide ranges reflect climate: about 30 BTU per sq ft in warm regions to 60 BTU in cold regions. A load calculation gives the real number.

Standard vs. high efficiency

Furnace efficiency is measured by AFUE. An 80% furnace turns 80 cents of every fuel dollar into heat; a 96% model turns 96 cents into heat. High-efficiency (condensing) furnaces cost $1,500 to $5,000 more installed and need PVC venting and a condensate drain, but save the most in cold climates. See High-efficiency furnace cost.

Extra costs

  • Old furnace removal: $150 to $400 if not included.
  • Permits: $100 to $250 for replacements.
  • Gas line work: $350 to $2,000 if switching fuels.
  • Chimney liner: $900 to $3,800 when an 80% furnace vents into an old masonry chimney.
  • Ductwork: $1,400 to $5,600 to replace; see Ductwork replacement cost.

How to get a fair quote

  • Get at least three written quotes that list the brand, model number, size (tons or BTU) and efficiency rating.
  • Ask whether the price includes permits, removal of the old unit, refrigerant, a new thermostat and any duct or electrical work.
  • Ask for a load calculation (Manual J) instead of matching the old unit's size by default.
  • Compare labor warranties (1 to 10 years) as well as the manufacturer's parts warranty, and register the equipment.
  • Schedule non-urgent work in spring or fall, when contractors are less busy and more willing to discount.

Frequently asked questions

How much does a new furnace cost installed?

About $3,500 to $7,500 for a standard-efficiency furnace, and up to about $11,500 to $12,000 for a high-efficiency gas or propane model.

How long does a furnace last?

Gas and oil furnaces typically last 15 to 25 years, propane 15 to 20 years and electric furnaces 20 to 30 years.

How long does furnace replacement take?

Most furnace replacements take 4 to 10 hours. Switching fuels or adding venting can take two days.

Should I replace my furnace and AC together?

If both are over about 12 to 15 years old, yes; you save on labor and get matched equipment. See our furnace and AC replacement guide.

Sources

Prices are national averages and typical ranges from published cost data. Your price depends on your home, region, equipment and contractor, so get several written quotes. Heat & Air Costs is not an HVAC contractor; read our disclaimer.