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Furnace and heat pump replacement cost in 2026

What a new gas furnace or heat pump costs installed, nationally and in the largest metro areas, from the same model as our furnace and heat pump calculators. Every figure in the gas furnace, heat pump and metro tables is our estimate, not a quote; the method is below and on How we estimate.

National ranges

Gas furnace, installed, replacing an existing furnace. Our estimate, national.
CaseLowTypicalHigh
40k BTU/h, 80% AFUE$3,300$3,400$3,950
40k BTU/h, 95% AFUE$3,850$4,150$4,800
60k BTU/h, 80% AFUE$3,400$3,550$4,200
60k BTU/h, 95% AFUE$3,950$4,300$5,050
80k BTU/h, 80% AFUE$3,500$3,700$4,450
80k BTU/h, 95% AFUE$4,050$4,450$5,300
100k BTU/h, 80% AFUE$3,600$3,850$4,700
100k BTU/h, 95% AFUE$4,150$4,600$5,550
120k BTU/h, 80% AFUE$3,700$4,000$4,950
120k BTU/h, 95% AFUE$4,300$4,750$5,800

Equipment prices brought to today with BLS PPI WPU1062 (Furnaces and heaters, including parts), base 2023 average (2023-01 to 2023-12), end month 2026-08; installation with BLS OEWS HVAC wages, May 2023 to May 2025.

Heat pump, installed, by job type. Our estimate, national.
CaseLowTypicalHigh
Ducted, like-for-like swap (ducts and wiring OK), SEER2 14.3$3,900$7,000$10,100
Ducted, new install or with duct or electrical upgrades, SEER2 14.3$7,600$13,650$19,650
Ducted, needs a new electrical circuit, SEER2 14.3$9,050$15,100$21,150
Ductless mini-split, one room (1 ton), SEER2 20$4,750$7,900$11,100
Ductless mini-split, several rooms, SEER2 18$10,200$17,000$23,800

Equipment prices brought to today with BLS PPI WPU11480734 (Heat pumps), base 2023 average (2023-01 to 2023-12), end month 2026-08; installation with BLS OEWS HVAC wages, May 2023 to May 2025.

Low and high are the low and high price bands of NREL's REMDB for that equipment; typical is the middle band. The like-for-like heat pump swap is anchored on the U.S. EIA's 2023 cost study (EIA's 2022$ figure brought to 2023$ with PPI WPU11480734, 2022 average to 2023 average); the other heat pump rows are REMDB as published.

Oil and electric furnaces: EIA national figure, PPI-adjusted to 2026

We model gas furnaces only. For oil and electric furnaces these are the EIA national figure, PPI-adjusted to 2026: the U.S. EIA's 2023 cost study (2022 dollars) multiplied by the change in BLS PPI WPU1062 (Furnaces and heaters, including parts) from its 2022 average to 2026-08 (a factor of 1.181). They are not run through our calculator, and are not localised. That index tracks equipment prices; applying it to the whole installed cost is our adjustment. EIA's report has no propane furnace table, so we show no propane figure.

EIA national figure, PPI-adjusted to 2026. Installed cost, national.
FurnaceLowHigh
Oil: 105 kBtu/h input, 85% AFUE (EIA 2022 Typical)$4,110$8,050
Oil: 105 kBtu/h input, 97% AFUE (EIA 2022 High)$6,070$11,940
Electric: 68 kBtu/h (20 kW), 100% AFUE (EIA 2022 Typical); EIA prints one figure$1,750

PPI uplift: BLS PPI WPU1062 (Furnaces and heaters, including parts), base 2022 average (2022-01 to 2022-12), end month 2026-08. Source: EIA, Updated Buildings Sector Appliance and Equipment Costs and Efficiencies (2023), tables "Residential Electric Resistance Furnaces" (p. 23), "Residential Oil-Fired Furnaces" (p. 14).

Why the same job costs more in one place

The equipment costs about the same everywhere; installation follows local wages. Our estimate scales installation by the metro's median HVAC mechanic wage (BLS OEWS, May 2025) over the national median ($29.33 an hour). Same furnace, same scope: an 80,000 BTU/h, 95% AFUE gas furnace.

Gas furnace, installed, by metro area. Our estimate.
The 10 largest metro areas (by total employment, BLS OEWS)
Metro areaHVAC wage vs. U.S.LowTypicalHigh
New York-Newark-Jersey City, NY-NJ+28%$4,750$5,100$5,950
Los Angeles-Long Beach-Anaheim, CA+21%$4,550$4,950$5,800
Chicago-Naperville-Elgin, IL-IN+28%$4,700$5,100$5,950
Dallas-Fort Worth-Arlington, TX-2%$4,000$4,400$5,250
Houston-Pasadena-The Woodlands, TX-3%$4,000$4,350$5,200
Washington-Arlington-Alexandria, DC-VA-MD-WV+18%$4,500$4,850$5,700
Philadelphia-Camden-Wilmington, PA-NJ-DE-MD+6%$4,200$4,600$5,400
Atlanta-Sandy Springs-Roswell, GA-3%$4,000$4,350$5,200
Miami-Fort Lauderdale-West Palm Beach, FL-5%$3,950$4,300$5,150
Boston-Cambridge-Newton, MA-NH+29%$4,750$5,100$5,950
The 5 metro areas where this job costs most (50 states and DC)
Metro areaHVAC wage vs. U.S.LowTypicalHigh
Fairbanks-College, AK+54%$5,350$5,700$6,550
Anchorage, AK+40%$5,000$5,400$6,250
Napa, CA+39%$5,000$5,350$6,200
San Jose-Sunnyvale-Santa Clara, CA+35%$4,900$5,250$6,100
Seattle-Tacoma-Bellevue, WA+31%$4,800$5,200$6,000
The 5 where it costs least (50 states and DC)
Metro areaHVAC wage vs. U.S.LowTypicalHigh
Beckley, WV-27%$3,450$3,800$4,650
Sebring, FL-27%$3,450$3,800$4,650
Dothan, AL-24%$3,500$3,850$4,700
Parkersburg-Vienna, WV-25%$3,450$3,850$4,700
Alexandria, LA-22%$3,550$3,900$4,750

Equipment prices brought to today with BLS PPI WPU1062 (Furnaces and heaters, including parts), base 2023 average (2023-01 to 2023-12), end month 2026-08; installation with BLS OEWS HVAC wages, May 2023 to May 2025.

Every metro with a published HVAC wage (389 areas) is in the CSV.

Prices since 2021

BLS Producer Price Index (not seasonally adjusted)
Series2021-01LatestChange
WPU1062 (Furnaces and heaters, including parts)223.9337.1+50.5%
WPU11480734 (Heat pumps)121.1141.9+17.2%

Latest month: 2026-08 for both. The national median HVAC mechanic wage went from $27.55 to $29.33 an hour, May 2023 to May 2025 (+6.5%, BLS OEWS).

A swap costs less than a new install

For a 3-ton ducted heat pump our typical figure is $7,000 for a like-for-like swap and $13,650 for a new install or a job with duct or electrical work. The two come from different sources. The swap is anchored on EIA's 2023 study, which models replacing the existing equipment. NREL's REMDB comes from real program projects, which often included extra work such as new ducts, wiring or a panel upgrade, so it sits higher. A quote between the two may be fair; ask what work it includes.

Rebates

The federal tax credits ended on 2025-12-31: 25C (energy efficient home improvement, which covered heat pumps and efficient furnaces) for property placed in service after that date, and 25D (residential clean energy) for spending after it. Source: Public Law 119-21, sections 70505 and 70506 (read 2026-10-12). What remains is state and utility programs; look them up for your ZIP with Rewiring America's rebate finder.

Method and sources

Each estimate is NREL REMDB 2024's price for the equipment (2023 dollars), equipment brought to today with BLS PPI and installation with BLS OEWS wages, then scaled to local wages; totals are rounded to $50. EIA figures in the oil and electric block are rounded to $10. More on How we estimate. Use of these figures with credit to checkmyhomequote.com is welcome.

SourceVintageRead
NREL Residential Efficiency Measures Database 2024 (OEDI submission 8336)2024-12-23 (2023$)2026-10-09link
U.S. EIA, Updated Buildings Sector Appliance and Equipment Costs and Efficiencies (Mar 2023)2023 (2022$)2026-10-09link
BLS Producer Price Index, API v1: WPU106601 WPU1062 WPU11480734 WPU114802 WPU136101 WPU105 WPU1344 WPU1371 WPUIP23110012021-01 to 2026-08 (WPU106601 to 2026-05, WPU114802 to 2026-07)2026-10-09link
BLS Occupational Employment and Wage Statistics, nationalMay 20252026-10-09link
BLS OEWS, metropolitan and nonmetropolitan areas (MSA and BOS files)May 20252026-10-09link
BLS OEWS, nationalMay 20232026-10-09link
Public Law 119-21 (119th Congress), sections 70505-70506: termination of the 25C and 25D creditsEnacted 2025-07-042026-10-12link

Cost data: NREL, Residential Efficiency Measures Database 2024 (OEDI submission 8336), licensed CC BY 4.0. We changed it: prices are uplifted to today with BLS PPI, localised with BLS OEWS wages, and rounded. NREL does not endorse this site.

Cross-checks and like-for-like anchors: U.S. Energy Information Administration, Updated Buildings Sector Appliance and Equipment Costs and Efficiencies (2023).