All About Furnace Replacement: Cost and When to Do It

Author Hallie Guidotti

Posted Apr 15, 2023

Reads 13.3K

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Furnace replacement is a significant decision that homeowners need to consider after using their heating system for a long time. A furnace repair may work initially, but it might not be sustainable in the long run. The cost of repairing a furnace can add up quickly, and at some point, homeowners may have to bear the full burden of replacing their heating system.

While some homeowners might think that they are protected by their home warranty, this is not always the case. Home warranty companies typically offer coverage for heating systems, but they often come with limitations and exclusions. Some companies require a monthly premium and a low service call fee, only to pay full price when it comes to getting a broken furnace replaced. In this article, we will discuss the top recommendations for furnace replacement and what to look for in home warranty companies like American Home Shield and Liberty Home Guard.

Exploring the Various Kinds of Heating Systems for Your Home

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When it comes to heating your home, there are several options available to you. says they're differentiated by the type of fuel they use, including gas, oil, electricity, and even wood or pellets. Some systems produce heat by blowing hot air through ductwork, while others use radiant heat or steam. Whichever system you choose will depend on your budget, the size of your home, and your personal preferences for keeping warm in cold environments.

1. Natural Gas

Natural gas is a common type of fuel used in furnaces today. It is fast and efficient, making it an inexpensive fuel option. However, the high environmental impact associated with burning natural gas should be considered when deciding on a furnace replacement. Additionally, natural gas furnaces may require ductwork to be installed.

2. Oil Furnace

If you're considering a furnace replacement, it's important to weigh your options between an oil furnace and a natural gas furnace. While oil furnaces can have a high price tag, they may be the better choice for those who prioritize environmentally friendly heating solutions. However, it's important to note that oil furnaces may release carbon monoxide if not properly maintained, so regular inspections are necessary to ensure safety.

3. Electric Furnace

If you're in the market for a new furnace, consider an electric furnace replacement. Electric furnaces tend to run additionally longer than gas furnaces, making them a great investment for the long haul. Plus, they're easier to install and take up less space than their gas counterparts - perfect for warmer climates where you don't need as much heating power.

4. Coal Furnace

A coal furnace is a type of heating system that burns coal for heat. While burn wood furnaces are more common, in rural areas they can be a good deal because they are less expensive. However, maintenance including regular ash cleaning and boiler feeding is required to keep them running efficiently.

5. Propane Furnace

If you're considering furnace replacement, a propane furnace may be an option to consider. Propane furnaces are powered by propane gas, a clean-burning fossil fuel that produces a gaseous byproduct instead of the soot and ash from oil production. While overly expensive propane furnaces used to be common, recent advances in technology have made them more efficient and cost-effective. However, keep in mind that the size-making them ideal for compact rural homes-natural gas furnaces may be a better choice if natural gas is available in your area. In this case, a low-cost conversion kit can be installed to make the switch easy and affordable.

6. Mini-Split System

A mini-split system combines heating and cooling into one unit. These systems are bolted directly onto the wall and don't require ductwork, meaning they're good for smaller homes or building additions. The price of a mini-split system can vary substantially based on the size of the unit needed for your space.

7. Geothermal and Solar Furnaces

If you're looking for a furnace replacement, consider geothermal and solar furnaces as the greenest options. Not only do they use environment renewable energy, but they can also keep your home comfortable without causing harm to the environment. Front additionally, these furnaces can save you money in the long run while reducing your carbon footprint.

Preparing for the Installation of Your Furnace like a Pro

Preparing for the installation of your furnace is a major undertaking that requires careful planning and preparation. Furnace installations can take anywhere from a few hours to several days depending on the complexity of the job. That's why it's important to spend lifetimes preparing before the technicians arrive.

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One crucial part of preparing for your furnace installation is making sure that the work area is clean and maintains an efficient work area. Remove valuable and irreplaceable objects from the furnace areas to avoid damage accidents happen during the installation process. Taking extreme care will prevent any imprint leftover from previous installations.

When treated happy technicians who go the extra mile, they are more likely to be courteous provide exceptional service. Be sure to provide restroom facilities and offer a cold drink to make them feel comfortable while they work tirelessly on your new furnace. By taking these simple steps, you can ensure that your furnace installation goes smoothly and without any hiccups or delays.

Furnace Repair Costs

When it comes to home furnaces, repair costs can add up quickly. If you have an 18-year-old system that is frequently breaking down, it may make sense to fully replace it instead of continuing to pay for costly repairs. The life expectancy of a furnace is typically around 15-20 years, so if your system is nearing the end of its lifespan, investing in a replacement furnace can save you money in the long run.

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To determine whether a furnace replacement makes financial sense for you, consider using an HVAC replacement cost calculator. This tool will help you estimate the upfront cost of a new system and compare it to the ongoing repair costs of your current one. Keep in mind that while a replacement furnace may seem expensive at first, it can ultimately save you money on energy bills and prevent future repair expenses.

The Expense of Converting your Furnace to a New System

If you're considering converting your furnace to a new system, there are a few factors to consider. One of the main expenses is the average natural gas or propane systems that you'll need to purchase. Additionally, conversions require replacing gas lines and piping extensions, which can add additional costs.

Another factor that can impact the cost of converting your furnace is faulty ductwork and vent connections. If your older house has outdated or damaged ductwork, you may need to bring electrical wiring up to building codes. Additionally, if you're using rented tanks for propane, there may be fees associated with free removal.

Ultimately, the cost of converting your furnace will depend on several factors such as the square footage of your home and whether you choose high-efficiency models. While there are certainly upfront costs associated with converting your furnace, it's important to remember that this investment can save you money in the long run by reducing energy bills and increasing energy efficiency.

Frequently Asked Questions

How much is the average furnace replacement cost?

The average cost for a furnace replacement is around $3,800 to $4,500. However, the final cost will depend on the type and size of furnace needed, as well as any additional installation fees.

What is the average cost of a new furnace?

The average cost of a new furnace is between $2,500-$7,500 depending on factors such as the size of the unit, brand, and installation costs.

How much can you save on a new furnace?

The amount you can save on a new furnace depends on various factors like the type of furnace, efficiency rating, and your location. However, it's common to save up to 20-30% on your energy bills with a new high-efficiency furnace.

How much is an average furnace repair hourly rate?

The average hourly rate for furnace repair is typically between $75 to $150. However, the cost can vary depending on the type of repair needed and the location of the service provider.

What is the average cost of installing a furnace?

The average cost of installing a furnace ranges from $2,500 to $7,500 depending on the type of furnace and the complexity of installation. Factors such as location and contractor fees can also affect the final price.

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Hallie Guidotti

Writer at iHomeRank

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Hallie Guidotti is a passionate writer with a talent for creating engaging content. Growing up in a small town, she learned the value of hard work and perseverance from her parents. This work ethic has served her well as she pursues her dream of becoming a successful blogger.

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