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How Much Does It Cost to Replace A Furnace?

A Home Depot Home Services professional installing a gas furnace.

In Canada, furnace installation prices can range between approximately $4,100 and $9,500, with an average price of $6,800, before tax, including your new equipment, materials and labour.

Your cost to replace a furnace will depend on several factors unique to your home and project, including the design of the furnace, the square footage and layout of your home, as well as the condition of your home’s existing insulation and ductwork.

Furnaces use energy from natural gas or electricity to heat your home and keep it comfortable during colder months. The Home Depot offers a full range of products, from reputable furnace brands, available for new installation or replacement. Contact us today for a free in-home consultation and no-obligation quote to find out your furnace replacement cost.

The average price of $6,800 is based on national average pricing for a Trane S9X2 gas furnace installed in a 1,500 sq ft home, tax excluded.

 

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How A Gas Furnace Works

Gas furnaces are designed to heat an entire home and come in a range of sizes. They are equipped with a heat exchanger to transfer the heat generated by combustion of natural gas, and a blower motor that sends heated air to the rest of your home via ductwork. Even in warmer months, when the heat has been turned off, the furnace acts as the central distributor for your home’s forced-air system. 

A new gas furnace is shown.

Gas Furnace Prices

Gas furnace replacement prices range approximately from $2,900 to $6,400 in the high range, with an average cost of $3,900, labour included, before taxes.

Average gas furnace installation cost: $6,800

Approximate cost range: $4,100 to $9,500

Our furnace installation cost estimates include:

  • A new electric or gas furnace
  • Standard installation materials and labour
  • Standard warranty (1 year labour with optional 10-year extended coverage on parts)
  • Removal of the old unit (disposal fees extra)

How Much Does Furnace Replacement Cost By Province?

Depending on where you live in Canada, your furnace installation cost may vary. This chart gives you an idea of what you might expect in your region.

Brand / Model

Key Features

Average Gas Furnace Cost

Furnace Installation Prices (Range by Region)

BC

AB

ON

QC
Trane® S9V2
  • 96% AFUE
  • Variable-speed blower motor
  • Two-stage heat

$7,500

$7,400 - $9,500

$7,000 - $8,800

$6,500 - $8,000

$6,700 - $8,000
 Trane® S9X2
  • 96% AFUE
  • Constant torque blower motor
  • Two-stage heat

$6,800

$6,400 - $8,300

$6,000 - $7,800

$5,900 - $7,500

$6,500 - $8,400

Comfortmaker®

G9MVE
  • 96.5% AFUE
  • Variable-speed blower motor
  • Two-stage heat

$6,100

$6,400 - $8,300

$6,000 - $7,800

$5,500 - $8,000

$5,800 - $7,400
RunTru® A952
  • 95% AFUE
  • Variable-speed blower motor
  • Two-stage heat

$3,700

$5,500 - $8,500

$5,500 - $7,800

$4,900 - $7,900

$4,100 - $7,200
British Columbia

Brand / Model /

Key Features

Average Gas Furnace Cost

Furnace Installation Prices (Range by Region)
Trane® S9V2
  • 96% AFUE
  • Variable-speed blower motor
  • Two-stage heat

$7,500

$7,400 - $9,500
 Trane® S9X2
  • 96% AFUE
  • Constant torque blower motor
  • Two-stage heat

$6,800

$6,400 - $8,300
Comfortmaker® G9MVE
  • 96.5% AFUE
  • Variable-speed blower motor
  • Two-stage heat

$6,100

$6,400 - $8,300
RunTru® A952
  • 95% AFUE
  • Variable-speed blower motor
  • Two-stage heat

$3,700

$5,500 - $8,500
Alberta

Brand / Model /

Key Features

Average Gas Furnace Cost

Furnace Installation Prices (Range by Region)
Trane® S9V2
  • 96% AFUE
  • Variable-speed blower motor
  • Two-stage heat

$7,500

$7,000 - $8,800
 Trane® S9X2
  • 96% AFUE
  • Constant torque blower motor
  • Two-stage heat

$6,800

$6,000 - $7,800
Comfortmaker® G9MVE
  • 96.5% AFUE
  • Variable-speed blower motor
  • Two-stage heat

$6,100

$6,000 - $7,800
RunTru® A952
  • 95% AFUE
  • Variable-speed blower motor
  • Two-stage heat

$3,700

$5,500 - $7,800
Ontario

Brand / Model /

Key Features

Average Gas Furnace Cost

Furnace Installation Prices (Range by Region)
Trane® S9V2
  • 96% AFUE
  • Variable-speed blower motor
  • Two-stage heat

$7,500

$6,500 - $8,000
 Trane® S9X2
  • 96% AFUE
  • Constant torque blower motor
  • Two-stage heat

$6,800

$5,900 - $7,500
Comfortmaker® G9MVE
  • 96.5% AFUE
  • Variable-speed blower motor
  • Two-stage heat

$6,100

$5,500 - $8,000
RunTru® A952
  • 95% AFUE
  • Variable-speed blower motor
  • Two-stage heat

$3,700

$4,900 - $7,900
Quebec

Brand / Model /

Key Features

Average Gas Furnace Cost

Furnace Installation Prices (Range by Region)
Trane® S9V2
  • 96% AFUE
  • Variable-speed blower motor
  • Two-stage heat

$7,500

$6,700 - $8,000
 Trane® S9X2
  • 96% AFUE
  • Constant torque blower motor
  • Two-stage heat

$6,800

$6,500 - $8,400
Comfortmaker® G9MVE
  • 96.5% AFUE
  • Variable-speed blower motor
  • Two-stage heat

$6,100

$5,800 - $7,400
RunTru® A952
  • 95% AFUE
  • Variable-speed blower motor
  • Two-stage heat

$3,700

$4,100 - $7,200

All costs exclude applicable taxes and are based on pricing according to provinces indicated. Average prices include average furnace installation cost for a high efficiency Gas Furnace unit in a 1,500 square-foot home. During the free in-home consultation, the Home Depot Installer will recommend the most appropriate HVAC system options, based on factors unique to your home and budget, and produce a no-obligation quote prior to beginning work.

Save Energy With A High-Efficiency Furnace

New furnaces are designed to deliver greater energy efficiency than ever before: in other words, new electric and gas furnaces are capable of delivering optimal comfort to your home while consuming substantially less energy than older, less efficient systems. In recent years, it has become far easier and more affordable for homeowners to invest in a high-efficiency electric or gas furnace.

A Home Depot Home Services professional provides in-home consultation.

AFUE Ratings Explained

AFUE, or Annualized Fuel Utilization Efficiency, measures the percentage of natural gas entering the furnace that is successfully converted to usable heat. 80 per cent AFUE is now considered the minimum standard fuel efficiency for a gas furnace, while AFUE of 95 per cent or higher is considered high efficiency. Energy efficiency in gas furnaces has improved significantly in recent decades.

Look for the AFUE rating to compare the performance of different gas furnaces. By comparison, medium-efficiency gas furnaces with AFUE ratings below 80 per cent were still commonly heating homes just a decade ago.

Boost Energy Efficiency With HVAC System Upgrades

Consider ways to optimize the energy efficiency of your furnace even further. Ask your installer about programmable and smart thermostat options to fine-tune your home's temperature scheduling and energy consumption. Or if you experience noticeable temperature differences between floors in your home, ask your installer about upgrading to a zoned system to regulate heat distribution more precisely and deliver more consistent comfort.

Investing in these system upgrades now can help you to save even more energy in the long run.

What Are Some Home Heating Alternatives to a Gas Furnace?

In cases where a gas furnace may not be the best more most viable choice for your home, there are a number of alternative systems you might consider. A Home Depot Installer can help you decide whether any of these alternatives is a better fit for your needs.

Oil Furnaces

Some older homes may still use an oil furnace, although new ones are harder to find. Oil furnaces require fuel delivery, and storing oil requires the purchase of a specialized storage container. Typically, using oil to heat your home is more expensive than either natural gas or electricity. There’s also a higher risk of an oil furnace releasing carbon monoxide than with other fuel sources.

Electric Furnaces

Electric furnaces are more popular in regions with milder winters; however, they may be a feasible alternative in remote areas, or those not served by natural gas. An electric furnace is easier to install and emissions-free, so there’s no risk of carbon monoxide. But electric furnaces tend to take longer to warm your home, and depending on electricity prices in your area, can be more expensive to operate than a gas furnace.

Heat Pumps

An energy-efficient alternative to a furnace, a heat pump is designed to run as an air conditioner in warmer months, then reverse function in colder months to heat your home. Heat pumps are increasingly popular as a single-unit alternative to both a furnace and a central air conditioner; however, while new cold climate options are available, heat pumps tend to be less effective and efficient at heating your home in regions with moderate to very cold winters. This issue is solved by pairing a heat pump with a furnace or other supplementary electric heating component to ensure consistent and effective home heating through the winter.

Why is Reliability Important When Buying an Energy-Efficient Gas Furnace?

Obviously, no homeowners want to be left with a broken furnace in the dead of winter. But it's important to remember that there's more to reliability than a system that works for a long time without breaking down.

Simply put, a reliable gas furnace is one that consistently delivers the right amount of heat to your home, as efficiently and effectively as possible. It does what it’s supposed to do whenever you need it. With regular annual maintenance appointments, a reliable gas furnace should be able to meet homeowners' heating needs for many years to come.

The most reliable gas furnace brands offer high-efficiency systems that combine the following: 

  • Class-leading efficiency (AFUE ratings of 95 per cent or higher)
  • A DC-powered blower motor that operates quietly and at variable speeds
  • A heat exchanger that won't break down in the first few years of your furnace's life span. Most top brands carry a limited lifetime warranty for the heat exchanger
  • Multiple stages of heat to ensure your home doesn't waste energy or experience drastic temperature swings as the gas furnace fires up and draws down
A person adjusts a thermostat in their home.

What Are the Most Reliable Gas Furnace Brands?

The Home Depot's licensed installers carry some of the best, most reliable gas furnace brands, with energy-efficient products from Trane®, Comfortmaker® and RunTru®. Each of these brands carry top-of-the-line AFUE ratings of 95 or higher, with additional features such as smart home compatibility, low-decibel operation, variable speed blower motors and multiple stages of heat. Plus, with available annual maintenance plans to keep your furnace operating smoothly and get the most out of your new furnace cost, as well as optional extended warranty packages of up to 10 years on parts, you can stress less about mid-winter breakdowns — and protect your investment, too.

What Does BTU Stand For?

“BTU” stands for “British Thermal Unit”, which is used to measure thermal energy output. It takes one BTU to heat up a pound of water at sea level by one degree Fahrenheit.

While a gas furnace's AFUE rating relates to efficiency, its BTU rating reflects its overall heating capacity and output. The number of BTUs required depends on the square footage and layout of the space to be heated, as well as the condition of your home’s insulation and/or ductwork. Most gas furnaces carry output ratings in the range of 40,000-120,000 BTUs.

Other factors unique to your home, such as ceiling height, the amount of sunlight or shade it receives and the number of people living in it, also need to be considered to help determine the correct size and capacity for your gas furnace.

Adding a Gas Furnace Without Existing Ductwork

The majority of furnace installations are done for homes with existing ductwork, a much simpler job that requires replacing the existing furnace and adjusting the ductwork to accommodate the new system.

Retrofitting a home for central air, however, is a more complex job that requires building a complete network of air ducts and vents into a finished home — often through walls, floors, ceilings and attic spaces.

Done properly, a skilled HVAC technician knows how to get this job done in as minimally invasive a way as possible. For instance, ducts can sometimes be routed through attics, crawlspaces and closets, eliminating the need to tear down walls.

Installing or replacing ductwork, if needed, will be factored into your overall furnace installation cost. During your free, in-home consultation, a Home Depot Installer will be able to determine whether and where you need to add new ducts and provide a detailed, no-obligation quote for the work involved.

A professional working on a gas furnace.

10 Factors That Affect New Furnace Prices

Type of Furnace

A Home Depot Installer will help you determine which specifications, such as AFUE, the number of heat stages and blower motor speeds, are most suitable for your new gas furnace.

Size of Gas Furnace

Gas Furnaces are available in a range of sizes, with output ratings most commonly ranging from 40,000 to 120,000 BTUs. A Home Depot Installer will assess homeowners' needs to determine the correct size system.

Efficiency Rating (AFUE)

The most efficient Gas Furnaces carry a higher up-front cost, but they can lower your overall energy use over time. AFUE (Annualized Fuel Utilization Efficiency) ratings of 90 per cent are standard, while 95 per cent or higher is considered high efficiency.

Brand Name

The Home Depot carries a variety of top furnace brands, including Trane®, RunTru®, GE and Comfortmaker®, to match your needs and budget.

Amount of Work Required

Factors unique to your home, such as the location of the unit and general state of repair, could affect the overall gas furnace installation cost.

Ductwork

A furnace replacement cost estimate typically includes minor adjustments to ductwork to fit the new equipment; however, the Installer will assess your ductwork to determine whether additional install, repair or replacement work is needed.

New Air Intake/Exhaust Piping

While older gas furnaces were connected to a chimney, high-efficiency units require their own intake/exhaust assembly, plastic piping that's routed directly from the unit to the outside of the home. Your furnace replacement cost may include disconnecting the old chimney.

System Upgrades

The Installer may suggest additional equipment, such as a smart thermostat or HVAC zoning system, to control temperatures more precisely and boost your new gas furnace’s energy efficiency and performance.

Your Location

New furnace prices may vary from one region to the next based on local material and distribution costs, as well as travel distance for the Installer.

Warranty

Optional extended warranties of 10 years on parts, can be purchased over and above standard 1-year labour coverage included in your furnace installation cost.

Can I Save Money By Installing A Furnace Myself?

To ensure safe installation and optimal performance from your new equipment, you will need to get your furnace professionally installed.

The cost to install a furnace covers specialized work with electricity and gas lines, requiring the skill and expertise of a licensed HVAC technician to be done safely and properly.

All Home Depot furnace installers are qualified professionals, dedicated to matching the right air conditioner for your needs and ensuring that it works efficiently and effectively for years to come.

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Request a FREE in-home consultation with a licensed Home Depot Installer.

Call 1-800-HOME DEPOT (1-800-466-3337), visit a store, or request a consultation online.

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