Furnace Replacement Cost (2026)

Furnace replacement cost: $2,800–$7,500 for a standard replacement (like-for-like swap, professionally installed, usable existing ductwork); most homeowners pay around $4,800.

“Every HomeCostOwl headline range is the complete standard job, installed: materials, labour, standard permits and disposal included. Anything not included is named and priced in its own section on the same page.”

A furnace replacement is usually one of two purchases: the planned kind, when a 15-to-20-year-old unit is clearly on its way out, or the emergency kind, in the middle of a cold snap. Both cost real money, but the job itself is well understood, the equipment is priced in the open, and the range for a standard replacement is narrower than most homeowners fear. High-efficiency gas installs in larger homes run higher, up to $10,000, and oil furnaces sit at the top of the range.

How the total is built: the Component-Built Cost Method

Every installed price in this guide is built the same way, our Component-Built Cost Method:

Total installed cost = Equipment + Installation labour + Permit + Removal & disposal + Ductwork & connection extras

• Equipment, the furnace itself, at verifiable retail prices by fuel and efficiency tier (unit only): gas 80% AFUE $800–$2,800; gas 96%+ AFUE $1,900–$4,000; electric $500–$1,100; oil $1,900–$3,100.
• Installation labour, the full installation charge for a standard swap: $1,000–$3,000 (published installer rates run $75–$150 an hour, and a typical replacement takes 4–10 hours).
• Permit, the local permit the standard job requires: $50–$500 typical, up to $1,500 in high-fee jurisdictions.
• Removal & disposal, taking out and disposing of the old unit: $50–$330 where charged separately; many installers fold it into the quote.
• Ductwork & connection extras, work beyond the standard swap, $0 when none applies: duct modifications at $5–$45 per linear foot (partial section replacement typically $455–$2,180) or full duct replacement at $1,400–$6,000; venting conversion on a condensing swap, roughly $500–$1,000; a new smart thermostat fitted at install time, $200–$500 installed; a gas line run at $15–$27 per linear foot; a new 240V circuit for an electric install or fuel conversion, $250–$800.

Adding the components for a typical 80% AFUE gas swap lands around $2,900–$6,600 before extras, inside the cross-checked headline range above. The full method, including how the component build is checked against at least three independent published sources before anything is published, is on How We Estimate.

Worked example: a standard 80% AFUE gas swap

A like-for-like replacement, an 80,000 BTU gas furnace at 80% AFUE in a 1,500–2,000 sq ft home: same fuel, same size class, same location, the existing metal flue sound and reused, ductwork in usable condition and reused, and the existing thermostat kept, so ductwork & connection extras are $0:

Line item	Cost
Equipment, gas furnace, 80% AFUE, 80,000 BTU (within the $800–$2,800 retail range above; typical mid-size units run $1,400–$1,900)	$1,650
Installation labour (within the $1,000–$3,000 range above)	$2,750
Permit (within the $50–$500 typical range above)	$200
Removal & disposal of the old unit (within the $50–$330 range above)	$200
Ductwork & connection extras	$0
Total	$4,800

Step by step: $1,650 + $2,750 = $4,400; $4,400 + $200 = $4,600; $4,600 + $200 = $4,800; $4,800 + $0 = $4,800, the “around $4,800” most homeowners pay, inside the $2,800–$7,500 headline range. Your quote moves inside that range with your efficiency tier, your fuel, and any ductwork, venting or conversion work your home actually needs, each priced in its own section below.

Furnace replacement cost at a glance

Job	Typical installed range	Source
Standard furnace replacement (all fuels)	$2,800–$7,500	Fixr, 2026 (most homeowners pay $2,800–$7,500); corroborated by Angi/HomeAdvisor project data, 2026 ($2,823–$6,896), This Old House, 2026, and Forbes Home ($2,800–$6,800)
Natural gas furnace, 80% AFUE	$3,800–$6,500	Gas band $3,800–$10,000: Angi/HomeAdvisor, 2026 · Fixr, 2026 · This Old House, 2026; the 80% / 96%+ split of that band is this guide’s component build (cost-check record)
Natural gas furnace, 96%+ AFUE	$4,500–$10,000	Gas band $3,800–$10,000: Angi/HomeAdvisor, 2026 · Fixr, 2026 · This Old House, 2026; the 80% / 96%+ split of that band is this guide’s component build (cost-check record)
Electric furnace	$2,000–$7,000	Angi/HomeAdvisor, 2026, and This Old House, 2026 (both $2,000–$7,000); Fixr, 2026, publishes $1,800–$7,300
Oil furnace	$6,750–$10,000	Angi/HomeAdvisor, 2026, and This Old House, 2026 ($6,750–$10,000); Fixr, 2026, publishes $6,700–$10,000
Propane furnace	$2,200–$7,400	HomeGuide member project data, 2026 ($2,200–$5,700 standard; $3,500–$7,400 high-efficiency), published over Angi/Fixr’s $3,700–$14,200 top end; see the flag in the cost-check record
Most homeowners pay (standard replacement)	around $4,800	Fixr, 2026 (average $4,800) · Angi/HomeAdvisor, 2026 (average $4,814) · This Old House, 2026 ($4,799) · Forbes Home (≈$4,700)

The low end of each range is a straightforward swap: same fuel, same size class, same location, ductwork reused. The high end adds a bigger or higher-efficiency unit, new venting, ductwork work, or a difficult location. A propane tank, where one is needed, is priced separately below.

What’s included in the headline range, and what isn’t

Included in every headline figure on this page (the complete standard job, installed): the furnace itself at the quoted fuel and efficiency tier; standard installation labour; the standard permit; removal and disposal of the old unit; standard fittings and connections for a like-for-like swap, with existing ductwork, venting and fuel lines reused.

Not included, named and priced on this page:

• Duct modifications and transitions (sealing, resizing sections, a plenum transition to mate the new cabinet): $5–$45 per linear foot for repair-grade work; a partial section replacement typically runs $455–$2,180.
• Full duct replacement, where the swap triggers it: $1,400–$6,000.
• Venting conversion, moving from an 80% unit (metal flue) to a condensing 96%+ unit (PVC vent plus condensate drain): roughly $500–$1,000 of installation work.
• A new smart thermostat fitted at install time: $200–$500 installed.
• A gas line run or extension (fuel conversion or relocation): $15–$27 per linear foot for a straightforward interior run; complex or underground runs cost more.
• A new 240V circuit for an electric furnace install or fuel conversion: $250–$800.
• A propane tank, where a new one is part of the job: $1,700–$4,300 installed, with lines and regulators.
• Electrical panel capacity work, where a job needs it: $1,300–$2,500, a separate job from the circuit itself, priced as its own line on the quote.

Cost by fuel type

Fuel is the first fork in the road, and for most homes it isn’t really a choice, switching fuels means new lines, venting or wiring, and that conversion work costs more than the furnace decision itself. These are like-for-like replacement ranges:

Fuel	Unit price (retail, unit only)	Installed range	Expected lifespan	Notes
Natural gas	$800–$2,800	$3,800–$10,000	15–20 years	The most common choice where gas is available; lowest running cost of the combustion fuels in most regions
Electric	$500–$1,100	$2,000–$7,000	20–30 years	Cheapest unit and simplest install; highest running cost unless your winters are mild or electricity is cheap
Oil	$1,900–$3,100	$6,750–$10,000	15–25 years	Common in the Northeast; needs a storage tank and more frequent servicing
Propane	$800–$2,700	$2,200–$7,400	15–20 years	The option where there’s no gas main; add $1,700–$4,300 if a new propane tank is part of the job

Unit prices above are the mainstream retail band across major brands (HomeGuide’s unit-only brand table runs $600–$3,900; premium brands sold through online retailers can list higher). The same furnace costs more to install as the fuel gets more involved, an electric swap is mostly wiring and duct connections, while an oil install adds tank, line and burner setup work.

80% AFUE vs 96%+ AFUE: what the efficiency upgrade costs

AFUE (Annual Fuel Utilization Efficiency) is the share of fuel that becomes heat in your home. An 80% AFUE furnace sends 20 cents of every fuel dollar up the flue; a 96% AFUE condensing furnace sends about 4 cents. The equipment and the install both cost more:

	80% AFUE (standard)	96%+ AFUE (high-efficiency, condensing)
Unit price (gas, 60k–100k BTU)	$800–$2,800	$1,900–$4,000
Typical installed range (gas)	$3,800–$6,500	$4,500–$10,000
Venting	Existing metal flue / chimney, usually reused	New PVC venting through a wall or roof, plus a condensate drain, budget roughly $500–$1,000 of the install for this conversion work
Fuel use for the same heat	Baseline	Roughly 15–20% less gas
Best fit	Mild-to-moderate winters, shorter planned stay, tightest budget	Cold climates, long heating seasons, staying in the home

The honest maths: the upgrade typically adds $1,000–$2,500 to the installed price over a comparable 80% unit, and pays it back through fuel savings fastest where winters are long and gas is expensive, over a 15-to-20-year life in a cold climate it usually wins; in a mild climate with a short heating season, it may never fully pay back. Climate and how long you’ll stay in the home decide it, not the sales pitch.

Cost by home size and furnace size

Furnaces are sized in BTU (British Thermal Units) of heat input. A working rule of thumb is 30–60 BTU per square foot, with the coldest climates at the top of that band, your installer should confirm the size with a proper load calculation (see the sizing section below).

Home size	Typical furnace size (input BTU)	Typical installed range
1,000 sq ft	40,000–60,000	$2,800–$4,500
1,500 sq ft	60,000–80,000	$3,000–$5,500
2,000 sq ft	80,000–100,000	$3,500–$7,000
2,500 sq ft	100,000	$4,000–$8,500
3,000 sq ft	100,000–120,000	$4,500–$9,500

Bigger furnaces cost more, but size alone doesn’t explain quote differences: a 100,000 BTU high-efficiency install with new venting in a 2,500 sq ft home will out-price a basic 80% swap in a 3,000 sq ft home. Efficiency tier and extras move the price as much as square footage does.

How to size a furnace (and why bigger is not better)

Two numbers get confused constantly. A furnace’s input rating is the fuel it burns; its output is the heat your home actually gets, input × AFUE. A 100,000 BTU furnace at 80% AFUE delivers 80,000 BTU of heat; at 96% AFUE it delivers 96,000. This is why a high-efficiency replacement is sometimes correctly sized smaller than the unit it replaces.

• Undersized is the obvious failure: the furnace runs constantly on the coldest days and never quite catches up, wearing itself out early.
• Oversized is the quieter failure: it blasts the house to temperature, shuts off, and repeats, short cycles that waste fuel, wear parts, and leave rooms uneven. Bigger costs more to buy and more to run.
• The right process is a Manual J load calculation, which accounts for your climate, insulation, windows, and layout. It takes an installer under an hour and is the step that separates a sized system from a guessed one. If a quote doesn’t mention it, ask.

For a first estimate of the heating load your home needs, use our BTU calculator, it walks through square footage, ceiling height, insulation and climate:

You can also explore it on its own page: BTU Calculator.

Where the money goes: equipment vs labour

On a typical standard gas replacement, the bill breaks down roughly like this:

• The furnace itself: roughly 30–50% of the total, $800–$2,800 at retail for a mainstream 80% AFUE gas unit (60k–100k BTU); $1,900–$4,000 for a 96%+ model.
• Installation labour: roughly $1,000–$3,000 of a standard job. Published hourly rates run $75–$150, and a typical replacement takes 4–10 hours, most are finished in a single day. Labour’s share rises on installs needing venting conversion, duct transitions or awkward access.
• Permit: typically $50–$500 (up to $1,500 in some cities), most municipalities require one for a furnace install.
• Removal and disposal of the old unit: $50–$330 where it’s charged separately, many installers fold it into the quote, so check whether yours does.

What moves by region, and what doesn’t. The equipment line barely moves: a mainstream furnace is a national product on national price lists, and region reaches it only through freight and sales tax. The labour and permit lines are the regional ones. Published installer rates run $75–$150 an hour nationally, but the wage underneath them is set locally, the Bureau of Labor Statistics puts California HVAC technicians at a $31.39 hourly median against $28.75 nationally, and Modernize’s Chicago data puts billed labour at $75–$100 an hour on a $33–$37 median wage. Permit regimes vary the same way, from a simple mechanical permit (Chicago’s runs roughly $100–$300) to California’s Title 24 process, where efficiency and inspection requirements add days to the job. The regional section below prices what that means where you live.

As with any trade, the cheapest quote deserves a second look: a quote that omits the permit, the disposal, or the condensate and venting work a condensing furnace needs is not cheaper, it’s incomplete, and the missing lines tend to reappear on the final invoice.

What changes the price

• Ductwork condition. A furnace swap reuses your ducts, if they’re sound. Leaking, undersized or damaged ducts undermine a new furnace no matter its efficiency. Repairs run $5–$45 per linear foot; full duct replacement runs $1,400–$6,000 depending on home size and layout. This is the single biggest reason a “simple replacement” quote climbs.
• Venting conversion. Moving from an 80% unit (metal flue) to a condensing 96%+ unit (PVC vent + condensate drain) adds roughly $500–$1,000 of installation work. Going the other way, or replacing like-for-like, avoids it.
• Fuel conversion. Switching fuels is a different project: gas or oil line runs cost $9–$27 per linear foot, a new oil or propane tank $600–$2,500 (a propane tank install can run $1,700–$4,300 with lines and regulators), and a new 240-volt circuit for an electric furnace $250–$800. Price the conversion separately from the furnace.
• Location and access. A furnace in an open basement near a drain is the cheap case. Attic and crawlspace installs, tight closets and long carries all add labour.
• Urgency and season. Furnace installers are busiest in the first cold snap. A planned replacement in spring or early fall gets scheduling choice and sometimes sharper pricing; a no-heat emergency in January gets neither.
• Region. Labour is the swing factor, the same install costs noticeably more in a high-cost metro than in a rural market. The next section prices the differences we can stand behind.

Furnace replacement cost by region

The national ranges above are the headline; where you live moves them through three channels. Climate sets the size: a furnace is bought by the BTU, and the same house needs roughly twice the furnace in a cold climate as in a warm one. Fuel mix sets the job type: regions burn different fuels, and the fuels sit in different price bands. Labour and permits set the local rate: the work is licensed, permitted and priced by the local market. What barely moves is the furnace itself, it is a national product, priced off national lists, and region touches the equipment line only through freight and sales tax.

The climate channel, in one comparison: Angi’s project data prices a gas furnace for a 2,000 sq ft home in a warm climate (their examples are California, Florida and Texas, about 60,000 BTU, at 30–40 BTU per sq ft) at roughly $2,500–$4,200, and the same-sized home in colder states (Ohio, Washington, New York, about 120,000 BTU, at 50–60 BTU per sq ft) at roughly $4,000–$6,000. Treat that as one dataset’s illustration of the mechanism rather than a pair of regional ranges, but the size span underneath it is real: Fixr’s sizing data for a 2,000 sq ft home runs from 60,000 to 120,000 BTU depending on climate, the same span this guide’s 30–60 BTU-per-sq-ft band describes.

Fuel mix is why the Northeast skews expensive twice over. Oil heat is concentrated there, a small share of homes nationally, but the default in much of New England and parts of New York, and oil installs sit at the top of this guide’s national ranges ($6,750–$10,000) before any labour premium is added. The mirror image is the Southeast and South Central: mild winters mean smaller furnaces, more electric and heat-pump homes, and a typical furnace job that prices below the national picture. In the Mountain region, altitude joins the list, gas furnaces lose capacity as air thins, so high-altitude installs are adjusted and sometimes sized differently, and a Denver quote is not built from a sea-level table.

We publish a regional figure only where at least two established datasets support it, which is why this table is shorter than the ones on other sites, several of which print state-by-state numbers with no visible data behind them:

Region	Typical cost picture	Basis (two established sources, checked Oct 2026)
Midwest, Chicago, IL	Standard and all-fuel projects $2,487–$5,563, averaging ≈$4,022; high-efficiency (95%+) installs $5,900–$10,900	Angi’s Chicago project data (all fuels, most projects in the first band) · Modernize’s Chicago cost build, which prices high-efficiency packages only (95% AFUE $5,900–$7,700; 97% variable-speed $8,400–$10,900), the two datasets price different efficiency mixes, so they sit side by side rather than blending into one range
Pacific, California	Installs run 15–30% above national averages; Los Angeles typical range $2,962–$7,315, average $5,110	Fixr’s 2026 California HVAC market report (statewide premium of 15–30%, on Bureau of Labor Statistics wage data: California HVAC technicians at a $31.39 median vs $28.75 nationally; for a gas furnace specifically, Fixr estimates $8,050–$9,100 against the $7,000 national gas average) · Angi’s Los Angeles project data, LA’s mild climate keeps furnace sizes small, which is why its all-fuel range sits lower than Fixr’s gas-only state estimate

For the other large metros, Angi’s local project data is currently the only established dataset publishing furnace figures, so treat these as one dataset’s direction rather than verified ranges: New York City carries the highest average of the large metros (≈$5,466; most pay $3,440–$7,536, and the city’s oil-heavy housing stock pulls its typical job up the fuel bands), Houston averages ≈$5,064 ($2,702–$7,598), Denver ≈$4,924 ($2,914–$6,933), and Atlanta the lowest of the group at ≈$3,849 ($2,103–$5,607). No established source publishes furnace costs for the six big regions as regions, and Florida and Washington get no figure in this guide at all: no two established sources publish ones we’d stand behind, and we’d rather omit a state than invent it. Regional figures are checked on the same quarterly cycle as the national ones.

Furnace only, or furnace + AC together?

If your air conditioner is a similar age to your furnace (they were often installed together), replacing both in one project is worth pricing. The honest version of the saving: you pay for one installation visit instead of two, one crew setup, one haul-away, and in many areas one permit and inspection, so a combined job almost always costs less than the same two jobs booked separately. A matched furnace and AC from the same system family are also designed to work together, which helps the AC hit its rated efficiency.

The counterpoint, stated just as honestly: if your AC is mid-life and healthy, there is no prize for replacing it early. Get both quotes, furnace-only, and furnace + AC, and compare them against the AC’s age. Our AC Replacement Cost guide has the cooling-side ranges.

Common add-ons priced at install time

Some extras are far cheaper while the crew is already there. Typical installed prices when added to a furnace job:

Add-on	Typical cost	Worth it when
Smart thermostat	$200–$500	Your current thermostat is basic; the device itself runs $130–$300 at retail
Whole-house humidifier	$400–$800	Dry winter air, wood floors/furniture, static and dry-skin complaints (steam models cost more)
Media / electronic air cleaner	$500–$2,400	Allergies or dust load; a media cabinet ($500–$1,000 installed) is the common middle option
Duct sealing or repair	$5–$45 per linear ft	The load calculation or inspection shows leakage, often a better buy than a bigger furnace

Repair or replace?

A gas furnace lasts 15–20 years on average; oil 15–25; electric often 20–30, since there’s no combustion to corrode parts. Age alone doesn’t decide it, use these three tests:

1. The 50% rule. If a single repair costs more than half the price of a replacement and the furnace is in the second half of its life, the money is usually better spent on the new unit.
2. Repair frequency. One breakdown is a repair. Two or three service calls in two winters is a pattern, and the bills are buying you an older, less efficient furnace each time.
3. The heat exchanger overrides everything. A cracked heat exchanger is both a repair that rivals replacement cost and a carbon monoxide risk. On an older furnace, it’s a replace decision, full stop.

Rising gas bills with no change in your habits, uneven heat between rooms, and a furnace that has got noticeably louder are the softer signs, they point to an aging system losing efficiency, and they’re worth a service visit before winter decides for you.

Carbon monoxide safety. Any fuel-burning furnace can produce carbon monoxide if it’s damaged or badly vented, which is why furnace replacement is licensed, permitted work in most places, and why this is not a DIY job. Keep working CO detectors on every level of the home, and if a detector alarms or anyone in the house has unexplained headaches or dizziness in heating season, leave and call emergency services first and your gas utility second. Information only, we sell no services and this page is not safety advice for an active emergency.

Or run the tests on your own numbers, our repair-or-replace checker works through the same tests with your system’s type and age, what needs repairing, and the quote in front of you:

Ways to save, honestly

• Replace before it fails. A planned replacement gets three quotes and a shoulder-season date; a January no-heat replacement gets whichever crew can come. If your furnace is 15+ years old, starting quotes in September is the cheapest move in this guide.
• Get 2–3 itemised quotes for the same scope. Ask each installer to separate: unit (with model number and AFUE), labour, permit, disposal, venting and any ductwork. Compare line by line, totals hide the differences.
• Stay like-for-like if the current setup works. Same fuel, same location, similar size class is the cheapest correct job.
• Right-size, don’t up-size. An oversized furnace costs more to buy and more to run. Insist on the load calculation.
• Check incentives that actually exist, and ignore ones that don’t. The federal Section 25C tax credit that used to cover high-efficiency furnaces ended for equipment placed in service after December 31, 2025 (per the IRS), so a furnace installed in 2026 does not qualify, whatever older articles and installer flyers say. What does still exist: state programmes and utility rebates, which vary widely and change often, check the DSIRE database (dsireusa.org) and your gas utility before you buy. If you had a qualifying system installed in 2025, you may still be able to claim that year’s credit on your 2025 return.
• Do the free prep yourself. Clear access to the furnace and the path to the door before the crew arrives, billable hours shouldn’t be spent moving paint cans.

How we estimate these costs

Every range on this page is built with our Component-Built Cost Method, from the components of the job (the furnace at verifiable retail prices by fuel and efficiency tier, standard installation labour, permit and disposal), and then checked against at least three independent published cost sources (for this page: Angi’s 2026 project data, Fixr’s 2026 cost guide, This Old House’s 2026 furnace research, Forbes Home’s cost research, and HomeGuide’s member-reported project costs, all checked October 2026). Where the sources disagree, and on propane and permits they genuinely do, we publish the range supported by actual project data, not the widest one we could find, and we say so in our internal cost-check record.

Regional figures are published only where two established datasets agree, on the same check. Prices are re-checked quarterly. Full method: How We Estimate. Your own furnace replacement cost should pass the same test: buildable from the components above, line by line, if a quote can’t be itemised that way, ask for one that can.

FAQ

How much does it cost to replace a gas furnace?
Typically $3,800–$10,000 installed, depending on efficiency and home size. A standard 80% AFUE replacement in an average home usually lands between $3,800–$6,500; a 96%+ high-efficiency install runs $4,500–$10,000. Across all fuel types, most homeowners pay around $4,800 (costs checked October 2026).

How long does a furnace last?
Gas furnaces average 15–20 years; oil 15–25 years; electric furnaces often 20–30 years because they have no combustion parts to corrode. Annual maintenance and filter changes are what get a furnace to the top of its range, a neglected unit in a dusty environment can be done at 12.

How long does a furnace replacement take?
Most like-for-like replacements take 4–10 hours, one working day, including removing the old unit and testing the new one. Conversions (new venting, fuel switch, ductwork changes) can stretch to two days, and permit inspections may be scheduled separately. The installation labour inside that day runs $1,000–$3,000 of the total on a standard swap.

What size furnace do I need?
Start with 30–60 BTU of input per square foot, the colder your climate, the higher in that band, then have your installer confirm with a Manual J load calculation. Remember that output is what heats you: a 100,000 BTU furnace at 80% AFUE delivers 80,000 BTU; at 96% it delivers 96,000, so a high-efficiency replacement is sometimes correctly one size smaller. Try our BTU Calculator for a first estimate.

Should I repair or replace my furnace?
Apply the 50% rule: a repair costing more than half of a replacement, on a furnace past the middle of its life, usually means replace. Add the pattern test, repeated breakdowns across two winters, and the override: a cracked heat exchanger means replace, for cost and safety reasons alike.

Are there tax credits or rebates for a new furnace in 2026?
No federal one: the Section 25C credit ended for equipment placed in service after December 31, 2025, per the IRS, and some cost guides still showing it are out of date. State and utility rebates for high-efficiency furnaces do still exist in many areas, check DSIRE (dsireusa.org) and your gas utility’s current programme before you buy, and if you installed a qualifying furnace in 2025, ask your tax preparer about claiming that year.

Sources

• Angi project data (2026)
• Fixr cost guide (2026)
• This Old House furnace research (2026)
• Forbes Home cost research
• HomeGuide member-reported project costs
• IRS, Section 25C credit status (checked October 2026)