How Much Does it Cost to Replace Your Furnace?
Very rarely do I complete my winter preparation list in time for the first frost. Yet, last year as I went to bed after a long day of insulating windows and plugging drafts, I felt accomplished. That is, until I woke up to an uncomfortable chill in the air. After all my hard work to protect my home against the cold, I neglected to check my furnace. Little did I know, all the signs leading up to this moment were pointing to something being wrong.
As unfortunate as this situation was, it definitely could have been worse. I was able to get it fixed. Along the way, I learned a lot about my heating system and furnace that every homeowner should know.
The price of comfort
Your furnace works hard to heat your home, providing you warm, cozy comfort during the chill of the winter months. But all that comes with a pretty hefty price tag. Homeguide estimates that an average furnace replacement can cost you between $2,150 and $5,900 (dependent upon where you live), though most homeowners end up paying around $3,100.
It might not be a flashy new appliance, but most furnaces are made to last. According to Realtor.com, the average lifecycle is between 18 and 20 years, though yearly maintenance (which TBH, I was neglectful in doing) can extend that to upwards of 30 years.
Other factors to consider
Unfortunately, a furnace is not a one-and-done cost for most homeowners, and expenses can vastly differ depending on other factors. Energy sources, efficiency, brand, size and maintenance all affect the cost of a new furnace. This being said, energy source and installation are some of the more important differentiators.
As Homeguide explains, the average cost of furnace by energy source is broken down as follows:
- Electric: $700 - $2,000
- Gas: $1,200 - $2,000
- Oil: $1,900 - $5,900
Understanding the difference between energy sources, like propane vs. oil, can help you make the best decision for your needs. In some cases, your options might be limited due to your location (for example, some towns don’t have gas lines).
Also make sure to leave some room in your budget for removal costs, any need to fix existing ductwork, power installation and final inspections. These added expenses can tack on an extra $1,000, but it’s worth it to make sure your furnace is installed correctly.
And finally, learn from my mistakes and plan for yearly inspections. A licensed professional can come to your home and make small tune ups and repairs. In the long-run these inspections could save you money by increasing the lifespan of your furnace and fixing any minor problems before they turn into a major issue.
Don’t leave yourself scrambling for a furnace replacement once old man winter has set in. Have a strategy in place for repairs and replacement with a heating plan from HomeServe. Take a look at our available heating and cooling plans to find the best option for your needs.