When Evaluating Furnace Replacement Costs, Always Consider The Long Term Investment
If you have started looking into the replacement cost of installing a new furnace, you might be suffering from sticker shock. But before you decide to put off this project, it is important to take a step back and evaluate the long-term benefits of investing in a new furnace.
Purchasing a new furnace is a long-term investment that will continue to provide a variety of benefits over the coming years. Let’s take a closer look at the initial cost and long-term value of replacing your furnace.
How Much Does a New Furnace Cost?
Furnace prices will vary depending on the size of the unit and the Fuel Utilization Efficiency Rating (AFUE). Gas furnaces with a high-efficiency rating will typically cost around $4,000. You can save money on the initial cost of the unit by purchasing a standard efficiency model, but this means that you will end up paying more in monthly utility bills.
High-efficiency furnaces may also qualify for rebates and other discounts from retailers, manufacturers, and energy companies. That is why it is important to take furnace costs with a grain of salt. Ultimately, you may end up paying much less once you factor in rebates and operating costs.
As you calculate the price of installing a new furnace, don’t forget to take labor costs into account. There are several factors that can affect the cost of installation. First and foremost, different brands come with various installation costs. This is where it is important to do your research. Going for the most recognizable brand name may cost you $300-$500 more in labor costs just to receive the same quality unit.
The location of the furnace can also be a key factor in furnace replacement costs. If the furnace is in an easy-to-reach area, the installation contractors will be able to get in and out quickly. On the other hand, if they have to navigate a tiny, poorly lit crawl space, the project will probably take longer and cost more. While you can’t control the location of your furnace, this is one factor to consider when thinking about labor costs.
Do You Have the Right Size Furnace?
All too often, homes are equipped with the wrong size furnace. If your unit is too small for the size of your home, it will have to work harder to maintain a constant and comfortable temperature. This will directly translate into higher utility bills. Even if you are paying $50 extra a month over a period of ten years, that amounts to $6,000 in unnecessary spending.
In addition, an inappropriately small unit will experience more wear and tear and need to be replaced sooner than a more efficient model. This is a perfect example of how the wrong sized equipment can often lead to higher long-term furnace replacement costs.
You can easily determine whether you are utilizing the right size furnace by having an HVAC contractor conduct a load test. They will determine the thermal output capacity, which is measured in BTUs, necessary to effectively heat your entire home. From there, they will use a series of calculations to find the right size and type of furnace for your home. Installing a new furnace that provides the right output for your home could save you hundreds of dollars a month and allow you to enjoy an efficient furnace for decades to come.
How Can a New Furnace Save Me Money?
With a new, energy-efficient furnace, not only will you experience a more comfortable home, but you will also enjoy lower utility bills. This long-term savings helps to offset the upfront cost of purchasing a new unit. The actual savings will vary according to whether you have a gas or electric furnace, how often you use your furnace, energy prices, and the size of your home. However, if you upgrade from a furnace that has a 70% AFUE to one with a 96% AFUE, your furnace will be a full 26% more efficient, which can reduce your monthly bill by 26%. Over time, this constitutes a significant saving.
There are also plenty of programs and incentives that are designed to encourage consumers to spend the extra money on high-efficiency models. The US government runs the Energy Star program, which not only provides a clear energy rating system but also offers financial incentives to those who work towards a more energy-efficient home. These rewards may come in the form of tax deductions, rebates, and other discounts. This means that while you may have to pay full price upfront, you will get some of that money back down the road.
Manufacturers and retailers also offer rebates and rewards. As you shop around for the right furnace and installation contractor, be sure to ask about any programs that you may be able to take advantage of in order to reduce the overall cost of a new furnace. If you can double or triple down on these types of savings programs, you can save thousands on the cost of a new furnace.
Finally, if you are constantly spending money on repairs to try to keep your old furnace up and running, it might be time to invest in a new model. Chances are that your existing furnace is no longer under warranty, which means steep repair bills, especially if you have to have a technician visit after hours. Instead of pouring money into an inefficient and unreliable furnace, upgrade to a new model and enjoy the protection of a comprehensive warranty.
The prospect of spending thousands of dollars on a new furnace can be daunting for any homeowner who already has to worry about other potential repairs and expenses. However, it is important not to get too caught up on initial furnace replacement costs and cost estimates. Not only are there ways to save money on the purchase price, but a new furnace is also a long-term investment that will continue to provide lasting benefits for years to come. When you begin to think beyond cost and consider overall value, you can begin to make more informed decisions about the right time to replace your furnace.
Schedule In-Home Furnace Replacement Quote Today
There is a good chance that if you are considering a new furnace, your current one is probably on it's last life. It's OK. Superior offers a variety of different furnace financing options that in most cases can make your out of pocket furnace replacement costs $0. If you are in need of a furnace replacement and would like to schedule a free quote, call our office at (314) 209-7500 or fill out the online form below.