Top 3 Factors That Affect New Furnace Installation Costs

Presidential Heating & Air Conditioning

Gaithersburg HVAC Contractors


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If you are planning furnace replacement – or if you’ve been considering a new furnace installation in Gaithersburg – cost is undoubtedly a major factor in your decision-making process.

Many factors can affect the cost of any new heating, ventilation, or air conditioning (HVAC) system installation.

The most important of these are the size and efficiency of the system, its energy source, and what is required to properly install the new system.

furnace installation, furnace replacement Gaithersburg

1.The Size & Efficiency of the Furnace

Getting the right size equipment is crucial for your comfort. Moreover, it’s critical for the unit’s efficiency, cost to operate, and for maximizing the lifespan of the equipment. So, while larger units do cost more to purchase, you won’t save any money by installing a smaller unit than you need.

The Department of Energy rates the efficiency of gas furnaces using the Annual Fuel Utilization Efficiency (AFUE) system. Older systems (20 yrs) typically have a low rating between 56-78. Units with a medium efficiency are between 80-83. High efficiency systems are between 90-97. To qualify for the Energy Star label, a furnace must have an AFUE of 90 percent or higher.  Electric furnaces have an AFUE rating of 100%.

2.The Energy Source for Heating

Most heating systems use either natural gas or electricity as their energy source. Electric furnaces are generally less expensive than gas – in both purchase price and installation costs. However, due to the cost of electricity, they are generally more expensive to operate. It is important to note that gas furnaces should be maintained annually by a heating professional.

The life expectancy of an electric furnace can be as much as 2x that of a gas furnace.

Oil furnaces are also available, though less common and generally more expensive.

3. Installation Factors

There are several factors that will need to be considered when planning a new furnace installation. Obviously the type of new furnace – electric, gas, oil – as well as the current furnace type. If you are switching from one to the other, the steps and cost to convert must be taken into consideration.

The current ductwork will need to be inspected for cracks, holes, loose fittings. Your HVAC professional will also need to determine if the current ductwork will support the new system.

Finally, you will want to understand if any special considerations will need to be made – special equipment needed, furniture to be moved from the delivery path, doors/walls removed, a place for pets/children to spend the day during the installation.

As always, your best source of information for anything related to furnaces  is an experienced HVAC contractor. In Gaithersburg and throughout Montgomery County, Presidential Heating and Air Conditioning Inc. has been that resource since 1982.

Contact us today to learn more or to request your personalized cost estimate for a new furnace installation in Gaithersburg.

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