Furnace Installation Cost: Real 2026 Prices By City

80 percent AFUE: 15 to 20 years average
90+ percent AFUE condensing: 12 to 18 years average
Modulating variable speed: 15 to 22 years average

A new furnace installation costs between $3,500 and $9,500 in 2026 for most single family homes in our service areas. The average homeowner pays around $6,200 for a mid efficiency (80 percent AFUE) gas furnace, installed with a permit pulled and a standard 10 year parts warranty.

High efficiency (95+ AFUE) condensing furnaces run $1,000 to $2,500 more upfront but pay back within 5 to 8 years in colder climates like our Utah and Bay Area markets.

Furnace Installation Cost By BTU Size

What Can Add To Furnace Installation Cost

Furnace Installation Cost By AFUE (Efficiency) Rating

Rebates and Incentives For Furnace Installation

Brands We Install and How Pricing Compares

New venting / chimney liner: $400 to $1,800
Gas line upgrade: $400 to $1,200
Electrical circuit upgrade: $250 to $750
Ductwork repair or replacement: $1,400 to $5,600
New condensate pump (for high efficiency): $200 to $450
Return air upgrade: $400 to $1,400
Smart thermostat install: $180 to $550

External resources: ENERGY STAR Furnaces | DOE Furnace Efficiency Guide

We install all major brands, including Carrier, Trane, Lennox, American Standard, Goodman, Rheem, Bryant, and Daikin.

Typical pricing spread for a 80,000 BTU 95 AFUE furnace installed:

Goodman / Rheem: $4,800 to $6,400 (best value)
Carrier / Bryant / American Standard: $5,800 to $7,600 (mid premium)
Trane / Lennox: $6,400 to $8,400 (premium with better warranties)

Furnace Installation Cost By City

Prices include permit, standard venting, startup, and warranty registration. Our Richmond furnace installation team handles the broadest range of Bay Area projects.

How Long a New Furnace Lasts

The federal Section 25C tax credit expired end of 2025, so most new furnace only installs cannot claim the federal credit in 2026. Heat pumps still qualify (see heat pump installation).

Utility rebates still available in 2026:
- California: PG&E and SCE offer rebates on 95+ AFUE furnaces through approved contractors
- Utah: Dominion Energy ThermWise rebates offer up to $300 for 95+ AFUE gas furnaces; Rocky Mountain Power adds rebates for electric heat pump dual fuel systems
- Florida: Limited rebates since gas furnace demand is low in Florida

Proper sizing (Manual J load calculation) and annual maintenance are the two biggest factors in longevity. A perfectly installed furnace with one skipped year of maintenance often dies 2 to 4 years early.