Central Heating Cost

Typical costs:

• In new house construction or as part of an extensive remodeling project where the walls are already torn open, installing a central heating system with either a gas furnace or a heat pump typically costs $10,000-$20,000 or more, depending on the size of the house, the complexity of the system (such as the number registers that release heat or the number of independent heating zones) and the type of unit. High-efficiency gas furnaces usually cost $500-$1,500 more than a standard model.
• In a house with existing usable ductwork, replacing a gas furnace with another gas furnace can cost $1,700-$4,000 for basic installation of a standard-efficiency unit or $5,000-$7,000 for a more complex installation in an area with high labor rates; and $2,500-$6,000 for basic installation of a high-efficiency gas furnace or $7,000-$12,000 for a more complex project. If all the ductwork must be replaced or added inside intact walls, it can cost $2,700-$12,000 or more to install gas central heating with a standard-efficiency gas furnace and $3,500-$22,000 or more with a high-efficiency unit.
• With existing usable ductwork, replacing an oil-fired furnace typically costs $2,000-$5,000 for a basic installation, but it can be $6,000-$10,000 or more for complex installations. If it's necessary to add or completely replace ductwork, it can cost $3,000-$20,000 or more for a central heating system using an oil-fired furnace.
• With existing usable ductwork, a replacement heat pump typically costs $2,000-$5,000 for an air-source heat pump for an average-size home in a moderate climate; $2,500-$5,500 for a dual-fuel air-source heat pump that works with a natural gas or propane furnace under a single control system (for colder climates); or $5,000-$10,000 or more for both an electric heat pump and the fossil-fuel furnace). If ductwork must be added or completely replaced, a central heating system using a heat pump can cost $3,000-$20,000 or more.

• It typically takes a day or two to replace the heat source in an existing central heating system, and a week or more to install a new central heating system, depending on the size and layout of the house and the complexity of the system. A replacement project should include removal and proper disposal of the old unit.

• A building/mechanical permit is usually required to replace a furnace. Permit and inspection fees are typically about $50-$300, but can cost more in some locations. Many contractors include getting the proper permits and inspections as part of the installation process, but might bill for these fees separately.
• Older ductwork might contain asbestos, creating unpredictable additional costs for asbestos removal.

• It might be possible to get a low-cost loan, rebate or tax credit for installing an energy-efficient central heating system. The database of State Incentives for Renewables & Energy Efficiency[1] tracks energy-efficiency incentives from utilities and from state, federal and local government agencies. For example, utility companies in Wisconsin[2] pay a $125 "reward" for installing a furnace with a 90% AFUE rating and $275 for a 95% model.
• Try to schedule work in the spring or fall, when contractors typically have fewer emergency calls for heating or air conditioning work. It can be easier to get the work done and to get the lowest rates.

• The Environmental Protection Agency lists tips for hiring a heating and cooling contractor[3] .
• Referrals are available from the North American Technician Excellence certification program[4] and the Air Conditioning Contractors of America[5] .
• Request and check references; ask about length and type of experience; and be sure they are properly bonded, insured and licensed.

1.  www.dsireusa.org/
2.  www.focusonenergy.com/residential/efficient-products-appliances/residential-rewards
3.  www.energystar.gov/index.cfm?c=heat_cool.pr_contractors_10tips
4.  www.hvacradvice.com/
5.  www.acca.org/consumer/find-a-contractor/

Check Out All Costs for Home and Garden		How Much Does a Furnace Cost?		How Much Does Garden Service Cost?		How Much Does a Kitchen Remodeling Cost?

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