Furnace Replacement Cost: By Fuel Type and Home Size (3 References)

Furnace replacement costs $2,800 to $7,500 installed for a standard job, with both Fixr and Angi putting the national average near $4,800¹³ (Angi’s is $4,814 from 11,869 verified projects).¹ High-efficiency models run $3,800 to $11,500 installed.² Most furnaces last 15 to 20 years.¹³ Prices below are national averages* for 2026.

*National averages, not local quotes. Your price depends on fuel type, heating capacity (BTUs), efficiency rating, and how much of the install infrastructure already exists.

$4,800

national average, Fixr & Angi

$3,500 – $7,500

standard install, HomeGuide

30 – 60

BTUs per sq. ft., Angi & Fixr

15 – 20 yrs

typical lifespan, Angi & Fixr

Quick math: sizing is 30 to 60 BTUs per square foot¹ — a 2,000 sq. ft. home needs 60,000 to 120,000 BTUs, exactly the shared Angi/Fixr table row.¹³ Climate narrows the range: zone 4 calls for 45 to 50 BTUs per square foot, which on the average 1,850 sq. ft. home is 83,250 to 92,500 BTUs — matching Fixr’s own zone table.³

Cost by fuel type (installed)

Fuel type	Angi	HomeGuide	Fixr
Electric	$2,000 – $7,000	$2,500 – $7,000+	$1,800 – $7,300
Natural gas	$3,800 – $10,000	$3,000 – $10,000+	$3,800 – $10,000
Propane	$3,700 – $14,200	$3,000 – $12,000+	$3,700 – $14,200
Oil	$6,750 – $10,000	$4,000 – $10,000+	$6,700 – $10,000
Pellet	—	$4,000 – $17,000	—

Angi and Fixr are identical on gas and propane — shared underlying data, so treat those rows as one estimate, not two. The real disagreement is oil: Angi’s floor ($6,750) is $2,750 above HomeGuide’s ($4,000), suggesting Angi’s oil projects skew to full replacements in the Northeast.¹²³ Natural gas is the most common choice — 58% of Angi’s customers — and converting between fuel types adds $500 to $2,000+.¹²

Cost by home size

Home size	BTUs needed	Angi & Fixr	HomeGuide
1,000 sq. ft.	30,000 – 60,000	$1,200 – $2,000	$2,000 – $4,500 (1,000–1,500)
1,500 sq. ft.	45,000 – 90,000	$1,800 – $3,000	—
2,000 sq. ft.	60,000 – 120,000	$2,400 – $4,000	$3,000 – $6,500 (1,500–2,500)
2,500 sq. ft.	75,000 – 150,000	$3,000 – $5,000	—
3,000 sq. ft.	90,000 – 180,000	$3,600 – $6,000	$4,000 – $9,500 (2,500–3,500)
5,000 sq. ft.	150,000 – 300,000	$6,000 – $10,000	$5,500 – $10,000+ (3,500+)

HomeGuide’s column runs $800 to $3,500 higher row-for-row because its figures cover standard-efficiency replacement jobs with full labor, while the shared Angi/Fixr table prices closer to equipment-plus-basic-install. Budget from HomeGuide’s column; the other shows the floor.¹²³

Efficiency: standard vs. high

Standard-efficiency furnaces (80 to 89% AFUE) install for $3,500 to $7,500; high-efficiency models (90 to 98% AFUE) run $3,800 to $11,500 and cut heating costs by 15% or more.² Whether the upgrade pays off depends on your fuel bill and climate — cold-climate homes with high fuel prices benefit most.² On incentives: HomeGuide cites a federal tax credit of up to 30% (max $600) for high-efficiency furnaces, but that credit was ended for installations after December 31, 2025 — verify current utility and manufacturer rebates instead of counting the federal one.²

The rest of the bill

Labor: $75 to $150 an hour, 4 to 10 hours for a swap²³ — though the sources split on the total: Fixr puts labor at $300 to $1,800 (10 to 40% of the job)³ while HomeGuide itemizes $1,500 to $3,500.² Complex or cramped installs add 25 to 50%.²

Permits: the widest disagreement we found — HomeGuide says $50 to $300²; Angi says $400 to $1,500.¹ Ask your installer what your municipality actually charges.

Removal and disposal: $50 to $330 depending on source and location.¹²

Ductwork: new ducts cost $2,000 to $5,000 if the old ones are incompatible or leaking¹; minor leak repairs run $200 to $700.²

Maintenance: annual tune-ups cost $70 to $200² (Angi’s broader maintenance band is $60 to $550 a year)¹ and keep the warranty valid.²

Worked examples

Example 1 — 2,000 sq. ft. home in zone 4, gas. Sizing: 2,000 × 45 to 50 = 90,000 to 100,000 BTUs — right on Angi’s “average home” range of 80,000 to 100,000.¹³ Cost: $2,400 to $4,000 on the shared Angi/Fixr table, or $3,000 to $6,500 on HomeGuide’s replacement-scoped table — call it $3,000 to $5,000 for a mid-efficiency gas swap, our synthesis.

Example 2 — the $4,800 average job, itemized. HomeGuide’s breakdown: equipment and materials $2,000 to $4,000 + labor $1,500 to $3,500 = $3,500 to $7,500.² A $4,800 job lands at roughly $2,800 equipment + $2,000 labor — our arithmetic — before permits, removal, and any duct work.

Example 3 — does high efficiency pay back? Midpoint of standard ($5,500) vs. high-efficiency ($7,650) installed: a $2,150 premium.² At 15% savings on a $1,200 annual heating bill (example bill, yours will differ), that is $180 a year — about a 12-year payback, our arithmetic. In cold climates with bigger bills it shortens; in mild ones, standard efficiency wins.

FAQ

How do I know when to replace rather than repair? Replace when the unit is past 15 to 20 years, repairs are stacking up, energy bills are climbing, or you notice strange noises or odors — a failing heat exchanger is a carbon monoxide risk.¹³

How long does installation take? 4 to 10 hours for a straightforward swap; conversions between fuel types take longer.³

What size furnace do I need? 30 to 60 BTUs per square foot depending on climate zone — but have a pro do the final sizing, since insulation, windows, and ceiling height move the number.¹³

Can a heat pump replace a furnace? In mild climates, yes; in cold ones, many homes pair a heat pump with a furnace backup. See our HVAC replacement guide for the full comparison.²

Does insurance cover replacement? No for age and wear; only sudden covered damage. Budget it as a maintenance item.²

Sources

Angi, How Much Does a New Furnace Cost? (2026 data; average from 11,869 verified projects).
HomeGuide, How Much Does a New Furnace Cost? (December 2025).
Fixr, How Much Does a New Furnace Cost? (updated January 2026).