THE TOP FACTORS THAT CONTRIBUTE TO THE PRICE OF A NEW FURNACE

How much does a new furnace cost? According to Home Advisor, the national average falls between $2,544 and $6,123. But this doesn't mean the model you choose will fall within this price range. If you need a new furnace, take a look at the factors that impact the price.

The Efficiency

Energy efficiency is a major reason homeowners replace their HVAC systems. In general, older furnaces use more energy to heat a home. Whether the furnace uses oil, gas, or electricity as its power source, the more energy it draws and the higher utility bills you'll see. This means the furnace has a negative impact on both the environment and your wallet.

Higher energy efficiency can — but doesn't always — equal a higher furnace price tag. If that seems confusing, remember that energy efficiency isn't the only factor that influences how much you'll pay for a new heater.

To better gauge what you'll pay for a high-efficiency heater, you need to understand energy use ratings. The annual fuel utilization efficiency (AFUE) number measures how efficiently the unit coverts the fuel it uses (such as oil, gas, or electricity) to heat in one year.

The higher the AFUE percentage, the more efficient a furnace is. While higher AFUE models are often more expensive to buy, these energy-efficient furnaces may save you money in heating costs over time. Talk to your HVAC professional about the cost benefits of a high AFUE furnace before you choose a new heater.

The Size

Like efficiency, sizes vary among different furnace models. Keep in mind, unlike your home, furnace size isn't measured in square feet. A physically larger furnace may not cost much more than one that's compact.

If the actual dimensions of the furnace don't play a primary role in price, how can size impact what you'll pay for a furnace? The answer is in the BTU (or British Thermal Unit) rating. BTU is a unit that measures how much energy is needed to heat (or cool for air conditioners) one pound of water one degree Fahrenheit.

A higher BTU rating is necessary to heat larger spaces or homes with high energy loss issues. Even though it may seem like a larger furnace with a higher BTU is better, these pricey models won't necessarily meet your home's needs.

You need the help of an HVAC professional to correctly size your new furnace. Along with the square footage, they'll need to calculate energy losses (such as from insulation and windows) as well.

The Quality

Like other major purchases, the higher quality the furnace, the more you'll pay. Even though a higher-quality furnace will cost you more to buy, it can save you money over time. The better the furnace, the less likely the appliance will break down or use excess fuel as energy. Combine these factors, and you can save money in repair and utility costs.

The Installation

The furnace itself isn't the only price factor to consider. Along with the efficiency, size, and quality, you also need to factor in the price of installation.

While a do-it-yourself installation may seem like a money-saver (especially if you've already spent a lot on the furnace), this isn't a job for a novice. Heater installation is a complex process that requires specialized knowledge and equipment. Leave this job to the pros.

How much will the installation cost? No clear-cut answer exists for this question. Home Advisor estimates the average installation costs between $1,000 and $8,000. But you may pay more or less, depending on the service company you choose, your geographic region, and the complexity of the system.

The more complex the system is, the more labor it requires to install. This adds extra costs to the labor price.

Do you need to install a new furnace? Contact Dick Kearsley Service Center for more information.