Whether you’re looking to upgrade your home’s heating system or replace an inefficient or broken down one, understanding the cost of a new furnace is essential. The cost of living it up and we are all trying to save money where ever possible. This includes when it's time to upgrade to a new furnace. But with all the different models and prices out there, it can be hard to get a handle on what exactly you should expect to pay in 2023 for a new furnace.
We're going to dive into what a new furnace typically costs in today’s market and discuss some of the determining factors that make up the final price. This is because not everyone is going to be paying the same. You might be surprised by just how big a difference the price points are. We’ll also take a look at ways you can save money while still getting quality performance from your next furnace installation.
Let's dive right into it!
What Factors Impact the Cost of a New Furnace in 2023?
There are quite a few things that will contribute towards the cost of a new furnace.
The size of the furnace will have the biggest impact on the cost of a new furnace in 2023. The type of furnace, efficiency ratings, and location will also play a role in the cost. The most efficient furnaces will cost more upfront, but they will save you money on your energy bills over time. If you live in an area with a higher cost of living, you can expect to pay more for a new furnace than someone who lives in a less expensive area.
Let's take a look at each of these factors briefly.
Size and Type of Furnace
The size and type of furnace you need will depend on the size of your home and the shape of your structure. For an average size home, you'll need a furnace that's about 80,000 BTUs. If you have a larger home or a more complex structure, you'll need a bigger furnace. You can use a BTU calculator to find the right size for your home. You can also contact your local HVAC company and they should be able to provide you with some more information on the right size of furnace for your home.
There are different types of furnaces to consider, too. A gas furnace is the most common type of furnace, but there are also electric furnaces, oil furnaces, and propane furnaces. Each type of furnace has its own set of pros and cons, so you'll need to decide which one is right for your home.
Efficiency Ratings
If you're considering a new furnace, one of the first things you'll want to think about is efficiency. How efficient do you want your furnace to be? What's the difference between high-efficiency and standard-efficiency furnaces? And how much will it cost to upgrade to a higher efficiency rating?
Here's a quick rundown on furnace efficiency ratings:
Standard efficiency furnaces have an Annual Fuel Utilization Efficiency (AFUE) rating of 80%. That means 20% of the energy produced is expelled as exhaust.
High efficiency furnaces have an AFUE rating of 90% or above. Leaving just 10% of the energy expelled.
So what's the difference in cost between a standard and high efficiency furnace? Well, it depends on a few factors... but as a general rule, you can expect to pay 10-20% more for a high efficiency furnace than you would for a standard model. With a 90% furnace you can expect to ave around $900 in fuel, compared to an 80% furnace within a 15 year span (the recommended time frame to replace your furnace).
Of course, there are other considerations when choosing a new furnace, but if you're looking to maximize efficiency, then opting for a high efficiency model is definitely the way to go!
Location
The cost of a new furnace can vary depending on the region in which you live as well. In general, prices for labor and installation will be lower in areas with a lower cost of living. But that isn't the role so you'll need to look at your local area.
Additionally, climate can play a role in the cost of a new furnace. If you live in an area with extreme weather conditions, you may need to purchase a furnace that is designed to withstand these conditions. Which means that you're probably going to be paying more for the furnace.
So when it comes to figuring out how much you'll pay for a new furnace, take into consideration where you are located and the climate in your area. A perfect example of that is right here in Huntsville, Alabama. We have a much lower average cost for new furnaces than the rest of the country.
What is the Average Cost of a New Furnace in 2023?
So, what does a new furnace cost? Again, it depends...
The average cost of a new furnace varies depending on the type of furnace you choose, its efficiency ratings, and where you are located.
There are also several rebates and tax credits available for homeowners who install a new energy-efficient furnace. These incentives can help offset the initial cost of the furnace, making it more affordable in the long run.
The average cost of a new furnace in 2023 is expected to be between $1,500 and $7,000. With the national average cost of a new furnace at $4,500 in 2023. The cost of a new furnace has been steadily increasing over the past few years, and this trend is expected to continue into the future.
But again, it all depends on where you are living. For example, if you wanted a new Furnace in Alabama, you can expect to pay for a new furnace between $1,300 to $1,700. With an average cost of $1,500. Which is much cheaper compared to the rest of the United States.
Tips for Getting the Best Price on a New Furnace in 2023
If your furnace is more than a few years old, you may be wondering if it's time for an upgrade. A new furnace can be a significant investment, so it's important to do your research before making a purchase. We typically recommend replacing your furnace every 15 years for optimal performance. However, having an annual furnace tune up performed by a professional will ensure that you don't replace it too late or too soon as well as ensure it is always running as efficiently as possible.
The longer you wait to replace your furnace or keep it tuned up, the higher the chances of it dying on you during winter or experiencing a carbon monoxide leak from your gas furnace!
Here are a few tips to help you get the best price on a new furnace in 2023:
• Shop around for the best deals: Don't just go with the first deal you find. Get quotes from multiple dealers and compare prices.
• Research installation and maintenance professionals: Make sure you're working with a reputable company that will do a good job installing and servicing your furnace.
• Compare prices for extended warranties and service plans: Getting an extended warranty or service plan can give you peace of mind, but it's important to compare prices before making a purchase.
• Know what type and how large of a furnace you need: Choosing the right size and type of furnace is important to ensure efficient operation. Work with a professional to determine what size and type of furnace is right for your home.
Pricing A Furnace in 2023
We hope this article has given you an understanding of the current prices for getting a new furnace in 2023. Prices will vary based on size, efficiency, and installation costs but can range from as low as $1,500 to more than $7,000.
Make sure to pay attention when shopping around for your new furnace, so that you can find the best deal and get exactly what you need at the right price. With careful consideration and proper research, buying a new furnace shouldn't be too hard!
If you need further guidance in purchasing a furnace or need a professional HVAC team, give us a call here at Thomas Service Company. We're here to serve you!