
Replacing a gas furnace involves several key cost factors that construction professionals must consider. Typical costs range from $3,400 to $8,800, depending on factors such as equipment size, efficiency, and installation complexity. This guide provides a detailed breakdown to help you plan and execute furnace replacements efficiently.
The size of the furnace, measured in BTUs, significantly impacts cost. Smaller units for compact homes are less expensive than larger units for bigger properties. Accurate capacity calculation is crucial for cost estimation.
Higher efficiency models, such as those with 90-96% AFUE, can save on energy bills but increase initial costs by 15-25%. Evaluate the long-term savings versus upfront costs to determine the best option for your clients.
Simple replacements are less costly than complex installations involving ductwork modifications or furnace relocation. Ensure all potential complexities are accounted for in your estimates.
Compliance with local codes, including necessary permits and inspections, can add to the overall cost. Ensure all regulatory requirements are met to avoid unexpected expenses.
These prices include demolition, installation, and necessary inspections. Use these as a baseline for your projects.
Explore available rebates and tax credits to reduce costs. Ensure all eligible incentives are included in your proposals.

A recent project in Franklin involved upgrading a 2,800 sq ft home with a new high-efficiency furnace. The process highlighted the importance of accurate capacity calculation and real-time pricing to secure the best deal for the client.
The project was completed on time and within budget, with all necessary documentation uploaded for warranty purposes. The client benefited from a $450 rebate, enhancing overall satisfaction.