Furnace cost by type and size (2026)
National typical installed prices, equipment and labor only, before state adjustment, venting and add-ons.
| Input size | Gas 80% AFUE | Gas 96% AFUE | Gas 98% modulating |
|---|---|---|---|
| 60,000 BTU | $3,700 | $4,050 | $4,500 |
| 80,000 BTU | $4,050 | $4,450 | $4,900 |
| 100,000 BTU | $4,400 | $4,800 | $5,350 |
| 120,000 BTU | $4,700 | $5,200 | $5,750 |
| Other fuels | Low | Typical | High |
|---|---|---|---|
| Oil furnace, 100,000 BTU | $5,250 | $7,150 | $9,500 |
| Oil furnace, 120,000 BTU | $5,600 | $7,600 | $10,100 |
| Electric furnace, 15 kW | $2,700 | $3,850 | $5,300 |
| Electric furnace, 20 kW | $3,000 | $4,300 | $5,900 |
Electric furnaces are the cheapest to install but the most expensive to run, because resistance heat costs about three times more per BTU than a heat pump in most of the U.S. They make the most sense in mild climates with little heating demand.
Is a high-efficiency furnace worth it?
A 96% AFUE furnace turns 96 cents of every gas dollar into heat, compared with 80 cents for a standard model. The difference is about 17% of your heating gas bill.
- In a mixed climate where heating costs $900 a year with an 80% furnace, a 96% furnace saves about $150 a year.
- In a cold climate with a $1,500 heating bill, the saving is about $250 a year.
- The higher price of a condensing furnace, plus new PVC venting, usually pays back in 4 to 10 years in cold and mixed climates, and may not pay back in the South.
Venting, gas lines and other extras
- PVC venting ($500–$1,500). High-efficiency furnaces produce cool, wet exhaust that cannot go up an old metal flue. They vent through plastic pipe out a side wall or the roof.
- Chimney liner ($800–$2,500). When an 80% furnace is left as the only appliance in a masonry chimney, the chimney often needs a liner to prevent condensation damage.
- Condensate drain or pump ($150–$400). Condensing furnaces produce water that must drain to a floor drain or be pumped out.
- Gas line work ($250–$800). Needed when the new furnace sits in a different spot or requires a larger supply line.
- Permit ($150–$600). Most cities require a mechanical permit and inspection for furnace replacement.
Signs a furnace needs replacing
- It is more than 15 to 20 years old and needs a major repair.
- A technician finds a cracked heat exchanger, which can leak carbon monoxide.
- Heating bills are rising even though usage habits have not changed.
- Rooms heat unevenly or the furnace cycles on and off frequently.
- The burner flame is yellow instead of blue, or there is soot around the furnace.
Frequently asked questions
How much does it cost to replace a furnace in 2026?
Most homeowners pay $3,000 to $5,300, about $4,050 typical, for a standard 80% gas furnace in a 2,000 sq ft home, before venting and add-ons. High-efficiency and modulating models run $3,300 to $6,450, and oil furnaces $5,250 to $9,500.
How long does a furnace replacement take?
A like-for-like replacement takes 4 to 8 hours. Switching to a high-efficiency furnace with new venting can take a full day.
Should I replace my AC at the same time as my furnace?
If your AC is more than 10 to 12 years old, replacing both together saves on labor and makes sure the indoor coil and furnace blower are matched. Use the HVAC replacement cost calculator to price both.
Is it cheaper to replace a furnace in summer?
Often, yes. Installers are less busy in late spring and early fall, and you avoid paying for an emergency replacement in a cold snap.
What is the cheapest furnace to run?
Where natural gas is available, a 96% or higher AFUE gas furnace usually has the lowest heating cost. Heat pumps can be cheaper to run where electricity is inexpensive or where the alternative is propane or oil.
These estimates are for budgeting only. Final prices depend on the brand, your home's venting and gas supply, and local contractor rates.