HVAC cost guide

Furnace Replacement Cost in 2026: Installed Pricing by Fuel & Home Size

Furnace replacement typically costs $2,800 to $6,900 (about $4,800 on average). Compare gas, electric, oil and propane, home size, permits, and ductwork.

Last reviewed: October 2026

Cost Snapshot

$2,800 – $6,900

Replacing a furnace typically costs between $2,800 and $6,900 installed, with a national average of about $4,800, based on Angi's 2026 cost data. Fuel is the biggest driver: electric furnaces run $2,000 to $7,000, natural gas $3,800 to $10,000, oil $6,750 to $10,000, and propane $3,700 to $14,200. Angi's own sources do not fully agree. Its home-size table prices a 2,000 sq ft home at $2,400 to $4,000, while its gas-furnace guide reports about $7,000 on average for a 1,600 to 2,000 sq ft home, so treat the range as a planning band and compare itemized written quotes.

Typical planning range based on the published references reviewed for this guide. Use it to prepare questions and compare written, itemized contractor proposals. Actual costs vary with project scope, materials, access, permits, and local conditions.

Parts vs. Labor Breakdown

ComponentTypical rangeWhat it covers
Materials / equipment$1,500 – $4,200Furnace unit with blower: a Home Depot 88,000 BTU, 80% AFUE single-stage gas furnace was listed at $1,537.40 on 2026-10-09, and Angi's gas-furnace price table runs from $2,500 to $4,200 for a 60,000 BTU unit. Equipment only; Home Depot prices vary by store and exclude installation, ductwork, permits, and the gas line.
Labor$500 – $2,000Installer labor: Angi cites $500 to $2,000 for furnace installation labor and $75 to $100 per hour. Hours are a planning assumption (6 to 20 hours) chosen so that hours multiplied by the cited hourly rate reproduces Angi's labor range. Benchmark: BLS reports a May 2025 national median wage of $29.33 per hour for HVAC mechanics and installers.
Permits$400 – $1,500Building permit and inspection fees for a gas furnace, which Angi lists at $400 to $1,500. Electric furnaces and some jurisdictions charge less, so confirm with your local building department.
Disposal$60 – $330Removal and disposal of the old furnace. Angi lists $60 to $330 in its general guide and up to $500 in its gas-furnace guide.
supplies additional$250 – $800Gas line work, flue and venting parts, and small connections. Angi lists gas line work at $250 to $800 when the new furnace needs it; it is not required on every replacement.

Cost by Capacity & Scope

Size / scopeTypical coverageEstimated installed costAverage
1,000 sq ft homeSmall home or condo$1,200 – $2,000$1,600
1,500 sq ft homeSmall to mid-size home$1,800 – $3,000$2,400
2,000 sq ft homeTypical single-family home$2,400 – $4,000$3,200
3,000 sq ft homeLarge home$3,600 – $6,000$4,800
4,000 sq ft homeVery large home$4,800 – $8,000$6,400

Cost by Equipment Type & Efficiency

TypeSpecTypical costDetails
Electric FurnaceNo combustion venting$2,000 – $7,000 installedResistance-heating furnace that needs no gas line or flue venting, which removes those line items from the project.
Natural Gas FurnaceGas-fired, vented$3,800 – $10,000 installedThe most common replacement. Cost climbs with efficiency (AFUE) and with single-stage, two-stage or modulating operation, and a gas line or venting change adds to it.
Oil FurnaceOil-fired, vented$6,750 – $10,000 installedOil-fired unit that also needs a fuel tank and chimney connection to be in good order.
Propane FurnacePropane-fired, vented$3,700 – $14,200 installedSimilar to natural gas equipment with a propane orifice and supply; Angi shows the widest range of any fuel.

Additional Line Items Often Needed

ItemTypical costNecessityNotes
Gas Line Work$250 – $800As NeededNeeded when the new furnace uses a different fuel path or size of supply than the old one.
Ductwork AdjustmentsAbout $1,000As NeededAngi cites about $1,000 for adjustments around a new furnace; fully new ductwork is a larger project at $500 to $2,000 (general guide) or $1,500 to $7,000 (gas-furnace guide).
Removal of the Old Furnace$60 – $330CommonAngi's gas-furnace guide lists up to $500. Often bundled into the quote.
Permit and Inspection$400 – $1,500RequiredListed for gas furnaces; local rules differ.

Frequently Asked Questions

How much does it cost to replace a furnace?

The national average installed cost is about $4,800, and most homeowners pay between $2,800 and $6,900 according to Angi's 2026 data. The result depends mainly on fuel type, furnace capacity, efficiency, and whether ductwork or a gas line must change.

Is an electric or gas furnace cheaper to replace?

Electric furnaces are usually cheaper to install: $2,000 to $7,000 versus $3,800 to $10,000 for natural gas, because they need no gas line or flue venting. Angi's installed prices do not capture running cost, which depends on local electricity and gas rates.

How much does furnace size (BTU) change the price?

In Angi's gas-furnace table, the unit price rises with capacity: about $2,000 to $3,500 for 40,000 BTU, $2,500 to $4,200 for 60,000 BTU, and $3,000 to $4,900 for 80,000 BTU. Angi does not state that labor is included in those prices, so do not read them as installed totals. A larger home needs more capacity, but an oversized furnace is not better, so ask the installer for a load calculation.

How much more does a high-efficiency furnace cost?

Angi's price tables show the furnace unit alone at $500 to $1,500 for 80% to 89% AFUE, $1,000 to $3,000 for 90% to 95%, and $2,000 to $6,000 for 96% or higher. Modulating units cost $1,300 to $6,500, compared with $700 to $3,000 for single-stage. For reference, one 80% AFUE, 88,000 BTU Home Depot unit was listed at $1,537.40.

What extra costs can a furnace replacement add?

Common extras are the permit and inspection ($400 to $1,500 for gas), removal of the old unit ($60 to $330), gas line work ($250 to $800), and duct changes (about $1,000 for adjustments, much more for new ductwork). Labor of $75 to $100 per hour is already part of an installed quote.

Why do Angi’s furnace prices differ between its guides?

They measure different things. The general guide averages every fuel and size at about $4,800. The gas-furnace guide averages about $7,000 for 1,600 to 2,000 sq ft homes, which is a narrower and more expensive group. The home-size table is lower again. We use the general range as the planning band and explain the differences rather than blending them into one number.

Related HVAC cost guides

How we estimate these planning ranges and the sources we review.