How Much Does Furnace Installation Cost?

The average cost of furnace installation in the US is between $1,250 and $2,200. However, this number can vary significantly based on the type of furnace to be installed, whether or not it’s replacing an existing system, your home’s square footage, access to the unit being installed, any necessary permitting fees required by your city/township/county, regional market conditions, etc. The best way to get a reasonable estimate for your specific project is to have an HVAC contractor do an in-person inspection.

What are some other factors that affect the total price?

The furnace installation price can depend on what kind of furnace you need. If you don’t already have a heater in place, you have to consider the cost of the stove itself. There are a few different types of furnaces, including:

Oil Furnace: Oil furnaces burn oil to warm air and use a fan coil for distribution. They tend to be the loudest type of heating system available on the market, but they can provide long-lasting, steady heat over time. However, if an oil furnace breaks down, it typically costs more than other furnaces to repair. Also, due to variances in oil pricing from one month/year to another (i .e., when oil prices rise, there is typically less money left after paying the fuel bill), this type of heating system may not always be profitable or practical for homeowners; in fact, some oil furnaces have been taken off the market as a result of rising oil costs.

An electric furnace: This type of furnace produces a high-frequency, high-voltage electrical arc, which heats a special kind of wire (called a heating element), which in turn heats up and blows out warm air. Because an electric furnace has fewer moving parts than other furnaces, it is often considered more reliable over time. However, electric furnaces are not as powerful as different types and can be very expensive for homeowners to run long-term. In addition, if you live in a country that relies heavily on coal or natural gas for electricity generation, then electricity rates can go up at certain times during the same month or year.

Gas Furnace: This furnace burns natural gas or propane to generate heat. It is the most widely used type of heating system in the US today, and because it can be powered by several different fuel sources (natural gas, propane, etc.), it tends to be the cheapest type for homeowners to run over time. Like an electric furnace, a gas furnace also has fewer moving parts than other types; this makes it more reliable over time and more expensive to repair.

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