Gas Furnace Prices 2025: Installation Costs, Factors & Savings Guide

Key Takeaways (Quick-Scan)

• Savings → High AFUE saves ~$150–$250/yr in cold regions.

• Brand tiers → Budget → Premium adds $0–$1,800 (features, warranties, comfort).

• Region & labor → Midwest/South (–10–20%) · NE (+15–25%)

• Add-ons → Ductwork, venting, permits, smart thermostat = +$300–$6,000+.

• Installed price → $3,800–$15,000 typical for U.S. homes.

Gas Furnace Prices 2025: Complete U.S. Cost Guide for Homeowners

If you’re trying to budget a new gas furnace in 2025, the honest answer is that most U.S. installs land between $3,800 and $15,000. The wide range comes from three things that matter most: the furnace’s size (BTU), its efficiency (AFUE), and the job’s complexity. Prices also shift with local labor rates and brand choices. In colder states, paying a little more for a higher-efficiency model often makes sense because fuel savings add up each winter. In warmer states, a standard-efficiency unit can be a smart, lower-cost fit. In this guide, you’ll learn the exact factors that move your quote up or down and how to plan a U.S.-realistic budget. When you’re ready to compare models, browse Furnaces 

What Most Homeowners Worry About (and Why It’s Valid)

Two big worries come up in every call: “Will I pick the right size?” and “Am I overpaying?” Those are fair concerns. Pick a furnace that’s too small, and it runs constantly and struggles in cold snaps. Pick one too large, and it short-cycles, wastes gas, and wears parts faster. Overpaying usually happens when hidden line items (duct fixes, venting, gas line work) aren’t discussed up front. A clear quote should separate equipment, labor, and extras so you can see what’s optional. As an expert tip, ask for:

• A Manual J–based load estimate (or a sizing worksheet).

• A line-by-line scope for duct, venting, and permits.

• Efficiency options with expected fuel savings each year.

For deeper context in plain language, see our HVAC Tips for homeowner guides and real examples.

How Furnace Size (BTU) Shapes the Price

Think of BTU as heat output per hour. Most homes fall into three buckets:

• 40–50k BTU (homes up to ~1,500 sq. ft.): $3,800–$9,500 installed

• 60–80k BTU (1,500–2,500 sq. ft.): $4,500–$11,000 installed

• 100–140k+ BTU (2,500+ sq. ft.): $5,500–$15,000 installed

Equipment-only pricing typically ranges $1,200–$7,500 depending on size and efficiency. Colder climates and drafty homes push you toward higher BTU. Tight, well-insulated homes in milder regions can use lower BTU and save. Pro tip: combine square footage, climate zone, and insulation level to estimate BTU, then have a tech confirm with a load calculation. If you’re not sure where you land, start with our Sizing Guide and compare models in Furnaces. 

AFUE Efficiency: 80% vs 95% vs 98%—Costs and Savings

AFUE tells you how much of your gas becomes heat. An 80% AFUE unit turns 80% of fuel into heat; 96% turns 96%, with less lost up the flue. Typical 2025 installed ranges:

1. 80% AFUE: $3,800–$10,500 (lowest upfront)

2. 90–95% AFUE: $5,500–$12,500 (+ about $800–$1,500)

3. 96–98% AFUE: $6,500–$15,000 (+ about $1,500–$2,500)

In cold regions, high-efficiency models can save about $150–$250 per year, often paying back the premium in 5–10 years. They may need PVC venting and a condensate drain, which adds cost but improves fuel use. Want a plain-English primer? See AFUE explained for how to pick the right tier for your climate and budget.

Brand Tiers, Features, and Warranties (What the Premium Buys)

Brand tier affects both price and comfort features:

• Budget (e.g., Goodman, Amana): baseline pricing; 10-year parts.

• Mid-tier (e.g., Rheem, Ruud): typically +$200–$700 installed; 10-year parts.

• Premium (e.g., Carrier, Trane): +$600–$1,400 installed; 10-year parts, 20-year heat exchanger; more variable-speed options.

• Ultra-premium (e.g., Lennox): +$1,000–$1,800 installed; up to ~98.5% AFUE; 5–10-year parts, 20-year heat exchanger.

Variable-speed blowers and smart controls improve comfort (quieter starts, steadier temperatures) and can reduce gas use by avoiding full-blast cycles. Compare part warranties and heat-exchanger coverage before you decide. For compatible add-ons, browse Accessories and Line Sets.

Region & Labor: Why the Same Job Costs More in Some Cities

Labor drives a big part of your total. Typical install labor runs $1,500–$2,500 at national average rates ($75–$100/hr). Regional patterns:

• Rural Midwest/South: $50–$75/hr labor; projects often 10–20% below U.S. average.

• Urban Northeast: $100–$130/hr; +15–25% overall.

• West Coast metros: $120–$150/hr; +20–35% overall.

That means a like-for-like furnace can vary by thousands based purely on ZIP code. If you’re comparing quotes across regions (say, moving from Ohio to California), expect higher line items for labor, permitting, and attic or tight-space work. Tip: Ask installers to show hours estimated and crew size so you can see how labor is calculated, then compare apples to apples.

Hidden Line Items: Ducts, Venting, Permits, Thermostats

These items change the final number:

• Ductwork: minor fixes $300–$1,200 per run; sealing/repairs $1,000–$5,000; full replacements $1,400–$15,000.

• Venting & gas line: high-efficiency PVC venting $300–$1,000; gas line changes $200–$1,500.

• Permits/inspections: usually $50–$500 total.

• Thermostats: basic upgrades $150–$500; smart models $200–$800.

• Old unit removal: $50–$200; electrical tweaks $100–$800.

Ask the installer to label each add-on and explain why it’s needed. If you’re planning a broader system update (AC or heat pump later), consider compatible R32 packaged systems so today’s choices don’t block tomorrow’s upgrades. For step-by-step homeowner explainers, check HVAC Tips

Installation Complexity: What Raises or Lowers Your Quote

Complexity often moves the price more than the brand. A simple, like-for-like basement replacement is the lowest cost path. Prices climb when:

1. Efficiency upgrades require new PVC venting and condensate routing.

2. Duct modifications are needed for airflow balance or return sizing.

3. Location challenges (attic or crawlspace) slow the job and add safety steps.

4. Gas line installation or significant rerouting is required.

5. Structural changes (platforms, clearances) are necessary for code.

Standard installs typically take 6–12 labor hours. Tight attics, long vent runs, or big duct changes can add $500–$1,500. If you want a quick scope review, you can Request a Quote by Photo so a tech can flag complexity early and avoid surprise change orders.

Realistic Budgeting: Sample Scenarios for U.S. Homes

• Mild-climate townhouse (~1,300 sq. ft.)
  40–50k BTU, 80% AFUE, simple swap, no duct changes → ~$4,500–$7,000.

• Average suburban home (~2,000 sq. ft.)
  60–80k BTU, 95% AFUE, PVC venting, minor duct tweak → ~$6,500–$10,500.

• Large, cold-climate home (2,800+ sq. ft.)
  100–140k+ BTU, 96–98% AFUE, attic install, gas line mod → ~$9,500–$15,000.

Use these as planning ranges, then refine with a local load calc and a line-item proposal. For related reading, compare Gas vs. Electric furnace costs to see long-term operating differences.

Smart Ways to Save in 2025 (Without Cutting Corners)

• Right-size first. Oversized systems waste money up front and over time. See our BTU sizing guide.

• Pick the AFUE that fits your climate. Cold regions often justify 96–98% AFUE payback; milder regions may be fine at 80–95%. Start with AFUE basics.

• Bundle wisely. If your AC is aging, a matched system can save labor now and avoid re-work later. See R32 AC & Gas Furnace combos.

• Use financing if helpful. Spread costs with HVAC Financing and keep cash flow stable.

• Plan accessories. Programmable or smart thermostats, air filtration, and proper Accessories boost comfort and may trim energy use.

Next Steps (Simple Checklist Before You Buy)

1. Confirm size: Use the Sizing Guide, then ask for a Manual J–based check.

2. Get an itemized quote: Equipment, labor hours, duct/venting, permits, thermostat.

3. Compare AFUE tiers: Ask for payback math based on your U.S. gas rates and climate.

4. Check warranties: Parts and heat exchanger terms.

5. Plan install timing: Attic/crawlspace jobs may need extra hours.

6. Save your time: Try Quote by Photo to get a fast, accurate scope.

7. Read up: The HVAC Tips covers costs, sizing, and maintenance in plain English.

Frequently Asked Questions

How long does a gas furnace last?
About 15–20 years with regular filter changes and annual checkups. Good duct sealing and a clean return path help parts last longer.

What’s the fastest way to lower my quote?
Aim for a standard, like-for-like replacement when possible. Avoid major duct changes unless airflow is a real problem. Ask if existing venting is code-compliant.

Is 98% AFUE always “best”?
Not always. In warm areas, the added price might not pay back quickly. In cold climates, higher AFUE often makes sense within 5–10 years of fuel savings.

Should I replace ducts at the same time?
 Only if they’re undersized, leaking, or damaged. A quick pressure test or visual check can confirm. Small fixes can be much cheaper than full replacement.