Understanding Electric Furnaces: Prices, Sizes, and Choosing the Right System for Your Home

When homeowners reach out to me about upgrading or installing a new HVAC system, one of the most common questions is about electric furnaces. With so many options, BTU sizes, and price ranges, it can feel overwhelming. Whether you’re looking for an electric furnace for a 2,000 sq ft home, a compact small electric furnace, or a full central electric furnace with air conditioning, knowing what to expect can save you time, money, and frustration.

In this guide, I’ll break down:

  • Types of electric furnaces

  • Electric furnace pricing

  • How to size an electric HVAC system for your home

  • Key considerations for installation

  • Maintenance tips to keep your system running efficiently

  • Comparing electric furnaces to gas and heat pump alternatives

By the end, you’ll have a clear understanding of how much an electric furnace costs, which size and type will fit your home, and how to make an informed decision.


What Is an Electric Furnace?

An electric furnace is a heating system that uses electricity to generate heat. Unlike gas furnaces, which burn fuel to create warmth, electric furnaces rely on resistive heating elements. Air is blown over these elements by a fan and distributed through your home’s ductwork.

Common terms you might hear include:

  • Electric forced air furnace – standard design with blowers to circulate warm air.

  • Upflow electric furnace – draws cool air from the bottom and pushes warm air upward.

  • Downflow electric furnace – pulls air from the top and pushes it downward, useful for certain installations.

  • Whole house electric heater – another term for a central electric furnace.

Electric furnaces are clean, quiet, and relatively low-maintenance compared to gas systems, but they can be more expensive to operate depending on electricity rates. For a detailed look at their efficiency and operation, check out Carrier’s guide on electric heating.


How Much Does an Electric Furnace Cost?

Electric furnace prices vary widely based on size, brand, and features. Here’s a general breakdown:

  • Small electric furnace / upflow electric furnace: $800 – $1,500

  • 60,000 BTU electric furnace: $1,200 – $2,000

  • 80,000 BTU electric furnace: $1,500 – $2,500

  • 100,000 BTU electric furnace: $2,000 – $3,500

Keep in mind that these are equipment costs only. Installation can add another $1,000 – $3,000, depending on complexity and ductwork needs.

For a realistic price comparison and further guidance, see HomeAdvisor’s electric furnace cost guide.


Sizing an Electric Furnace for Your Home

One of the biggest mistakes homeowners make is undersizing or oversizing their electric HVAC unit. A system that’s too small won’t heat your home properly, while an oversized system will cycle on and off too frequently, wasting electricity.

For a 2,000 sq ft home, a general rule of thumb is:

  • 30–40 BTU per square foot (varies with insulation, climate, and ceiling height)

  • For 2,000 sq ft: 60,000 – 80,000 BTU electric furnace

This aligns with common models such as 60,000 BTU electric furnace or 80,000 BTU electric furnace options. For detailed sizing guidance, the ACCA's Manual J calculation is the gold standard.


Features and Types of Electric Furnaces

Central Electric Furnace with Air Conditioning

Many homeowners prefer a system that combines heating and cooling. A central electric furnace with air conditioning or an electric furnace and AC unit allows you to use the same ductwork for year-round comfort. Systems like these can be paired with high-efficiency AC units for cooling and heat delivered via electric elements in winter.

Upflow vs Downflow Electric Furnace

  • Upflow electric furnace: Air is drawn from the bottom and pushed upward. Ideal for basements or crawl spaces.

  • Downflow electric furnace: Air is drawn from the top and forced downward, perfect for homes with furnace closets in the attic.

Choosing the right configuration depends on your home layout.

Forced Air vs Ductless Electric Furnace

  • Electric forced air furnace: Standard option, pushes heated air through ductwork.

  • Ductless electric furnace / wall-mounted units: Great for homes without existing ductwork. Often paired with mini splits for cooling.

For a breakdown of various electric HVAC system types, visit Energy Star HVAC guide.


BTU Ratings: What You Need to Know

BTU, or British Thermal Unit, measures how much heat an electric furnace can deliver. Common ratings include:

  • 60,000 BTU electric furnace – good for small to medium homes

  • 80,000 BTU electric furnace – ideal for medium-sized homes like a 2,000 sq ft property

  • 100,000 BTU electric furnace – suitable for larger homes or high-demand areas

Matching your BTU capacity to your home size ensures optimal comfort and efficiency. Oversized units cost more to operate and may wear out faster.

For further insight into sizing and efficiency, check out HVAC.com’s electric furnace guide.


Installation Considerations

Installing an electric furnace requires more than just plugging it in. Key considerations include:

  1. Electrical Requirements: Ensure your home’s electrical system can handle the furnace’s load. High-BTU systems may require dedicated circuits.

  2. Ductwork: Proper duct sizing and sealing are critical for efficiency.

  3. Placement: Choose between upflow or downflow configurations depending on your home layout.

  4. Professional Installation: Always use licensed HVAC contractors familiar with electric systems.

Incorrect installation can reduce efficiency, increase electricity bills, and shorten the system’s lifespan.


Maintenance Tips for Longevity

Electric furnaces are relatively low-maintenance, but routine care helps:

  • Replace air filters every 1–3 months

  • Clean ducts and vents periodically

  • Inspect electrical connections and ensure no loose wires

  • Schedule annual professional inspections

Proper maintenance keeps your electric heating units running safely and efficiently for many years.


Comparing Electric Furnaces to Gas

Many homeowners ask whether they should stick with gas or go electric. Here’s a quick comparison:

Feature Electric Furnace Gas Furnace
Installation Cost Lower upfront Higher upfront
Operating Cost Can be higher depending on electricity rates Generally lower in gas regions
Efficiency Nearly 100% efficient 80–98% AFUE
Safety No combustion, no gas leaks Requires ventilation and gas lines
Maintenance Minimal Annual inspection required

Electric furnaces are especially appealing in areas without natural gas, for smaller homes, or for homeowners seeking a clean, low-maintenance solution.


Real-World Example

For homeowners looking to balance cost, efficiency, and performance, a residential electric furnace can be paired with an efficient AC system to provide year-round comfort. Systems like the Goodman 3 Ton 14.5 SEER2 R-32 Bundle illustrate the benefits of pairing heating and cooling for maximum comfort. While that bundle focuses on a larger, high-efficiency AC system, the principles apply when choosing an electric furnace: correct sizing, efficiency, and professional installation.


Key Takeaways

  1. Electric furnace prices vary widely based on BTU size, brand, and installation complexity.

  2. Proper sizing is essential—too small leaves you cold, too large wastes energy.

  3. Installation and ductwork matter as much as the furnace itself.

  4. Regular maintenance ensures efficiency and longevity.

  5. Electric furnaces are clean, safe, and increasingly efficient options for homes without natural gas.

Whether you’re looking for a 60,000 BTU electric furnace for a small home, an 80,000 BTU furnace for a 2,000 sq ft property, or a full electric furnace with air conditioning, understanding BTU, system type, and professional installation is the key to comfort and cost savings.

Tony’s toolbox talk

Leave a comment

All comments are moderated before being published