by Ray Mickol

Created on: October 06, 2008   Last Updated: March 02, 2012

In this day and age of high energy costs, many homeowners are looking at their heating costs with a sharp pencil. With average home heating cost expected to rise, many homeowners are looking to replace their older furnaces with higher efficiency models. The questions a homeowner should ask is it worth the expense? Will the efficiency of their new furnace be worth the expense of purchase and installation? Will long term maintenance break the budget?

Do You Need to Replace Your Furnace?

The average furnace will have a life of about 25 years. If your furnace is in the +15 year range, you might want to start thinking about replacement. Older furnaces are less efficient than new models. On average, a furnace installed before 1992 has an efficiency of about 76%. A furnace replaced with one in the 90% range will make up for the purchase and installation costs in a few short years. Another reason to replace your older furnace would be a decrease in maintenance costs. It always seems an older furnace breaks down in the middle of the night during the coldest period of the year. A new furnace will help alleviate the cost of the repairman charging you those premium rates.

Types of Furnaces

When buying a furnace the type of furnace you purchase is usually dictated by the type of your existing furnace. You can change the fuel source for your new furnace but this will usually be an added expense in installation costs. Some types of furnaces you can consider include:

• Gas furnaces, either piped in natural gas or bottled LP gas

• Electric furnaces

• Oil burning furnaces

• Boilers

When making your decision consult your heating and cooling contractor or supply house to make the best decision for you. They can help you determine the size of unit you will need and type of unit you will need.

Cost

Furnace prices can vary. The efficiency rating of the unit and the fuel type are factors in the price. The more efficient the unit, the higher the initial price. On average, an oil burning unit will cost you more than a gas fired unit. Gas furnace prices, with installation, will usually run you about $2500 to $3500. Oil furnace prices for installation are usually in the same price range as gas and electric but the added cost comes with the price of fuel and maintenance over the life of the furnace. Electric furnace prices are also an attractive consideration when choosing a furnace. Electric furnaces are highly efficient and usually have lower maintenance costs than oil or gas furnaces.

Making Your Choice

When you are ready to make your choice, go to a reputable dealer or supply house. Remember the old adage; you get what you pay for. Manufacturers have a variety of furnaces in all price ranges. You will find when you compare Trane furnace prices to Carrier furnace prices; they will be about the same. Other manufactures should stack up also in the same price range for similar models. Your decision on manufacturer should be based on availability of parts and maintenance in your area, warranty and installation considerations.

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