If you are thinking about replacing your new furnace or boiler, you may be wondering about the cost. The truth is that the cost of installing a new furnace depends on the size and type of the equipment. According to Improvenet, the average cost of new furnace installation in NYC ranges between $2,800 and $7,300.
Factors that Affect Cost of New Furnace
Several factors will determine the price new furnace for your home or business. Therefore, when budgeting or thinking about financing for your new furnace, it’s important to take all of these considerations into account. If you want to be extremely conservative, especially if you plan to pay for your new furnace installation out of your own pocket or building’s maintenance and upgrade funds, you may want to perform your cost calculations then add another 10 to 30 percent in order to ensure that you have enough funds.
1. The Size of the Furnace
The number one factor that will affect the cost of your new furnace is the size of the unit. Obviously, larger furnaces that output more BTUs are going to cost more than units that put our fewer BTUs. However, homeowners should not choose a furnace solely based on cost. If a smaller than required furnace is installed into a home, apartment or condo, it will work harder than intended, and it will cost more money to operate. Not to mention, it may not put out enough heat to reach your desired thermostat setting.
When considering the size of furnace you need for your home, you can use a rule of thumb. According to HomeGuides, commercial and residential properties need between 25 and 30 BTUs of heat per square foot.
Size of New Furnace Estimates
1,000sqft– 30,000 BTUs
2,000sqft– 60,000 BTUs
3,000sqft– 90,000 BTUs
4,000sqdt– 120,000 BTUs
5,000sqft– 150,000 BTUs
6,000sqft– 180,000 BTUs
For your personal budgeting purposes when determining the price of anew furnace, you can use these size estimates, but your HVAC contractor should not estimate or ‘rule of thumb’ the size of your new furnace as it can lead to installing a too small or too large furnace into your home. Instead, HVAC contractors in NYC are required to use special software that helps them choose the correct furnace size with the appropriate number of BTUs.
This software calculates the details, including how many square feet are to be heated, the number of windows and doors along the exterior, the ceiling heights and even the amount and quality of insulation in the walls. This is because a home with 12-foot ceilings is going to need more heat than a home with 8-foot ceilings due to the vertical space. Additionally, a home with 15 exterior windows is going to need more heating power than a home that has six or seven windows.
2. Whether It Operates on Electricity, Natural Gas or Heating Oil
The type of fuel your furnace uses also impacts its price. In NYC, you can choose electricity, natural gas or heating oil. These prices are calculated for a 2,000 square foot home. If your home is more square footage, you’ll pay more. Conversely, if your home is smaller, your furnace may cost less than these estimates.
- Electric Furnace– $2,000 to $2,500
- Natural Gas Furnace– $2,200 to $4,000
- Heating Oil Furnace– $5,500 to $6,500
3. The Furnace’s Energy Efficiency
Furnaces are available in a range of fuel efficiencies, typically from 80 percent to 98 percent fuel efficiency. You can think of fuel efficiency at the amount of fuel that is converted to heat and the amount of fuel that is wasted. When a furnace is rated at 80 percent fuel efficiency, it means that 80 percent of the fuel that is used by the furnace is converted to heat, while 20 percent is wasted. As you can imagine, the higher your furnaces energy efficiency, the lower your winter heating bills. However, when it comes to installation costs, a low-efficiency furnace is going to cost less than a high-efficiency furnace. Most HVAC furnace installers will give you three estimates when it comes to replacing your furnace. The first estimate is often for the cheapest and least efficient furnace model. The second estimate is for a mid-range efficiency model, and the third estimate is typically for a high-efficiency model.
4. Your NYC HVAC Installer’s Labor Charges
Since most building owners and homeowners aren’t licensed HVAC technicians, they’re going to need a licensed, experienced HVAC contractor to install their new unit. This means that in addition to the cost of the sage, electric or heating oil-fired furnace, they will also have to estimate the contractor’s charges for installing the new unit. In general, experienced HVAC contractors charge more than those who have just entered the business. While experience level doesn’t necessarily dictate the quality of your furnace installation, you should know that choosing a newly educated and licensed HVAC contractor could mean a higher potential for installation mistakes. Therefore, it’s always good to choose an experienced contractor, like Ameer in NYC, who has more than 20 years of experience in wiring new gas, electric and heating oil furnaces and boilers. In general, you can assume that your labor charges will add 20 to 30 percent to the cost of your new furnace installation. Average prices for a licensed HVAC technician range between $75 and $100 an hour. If the technician also has a helper, you may pay as much as $50 an hour for the helper.
Additional Factors to Take into Consideration When It Comes to Price New Furnace
When it comes to installing a new furnace or boiler, there are additional factors that must be taken into consideration. For example, if you are installing a new forced air furnace, your HVAC ducts will need to be inspected in order to make sure there are no cracks or holes that could result in a loss of heating efficiency. If your ducts are old and leaky, you may want to consider having them cleaned, sealed and insulated. If they are beyond repair, you may need to have them completely replaced. If you are switching from a boiler to a furnace, you may not have any air ducts. The cost to install new air ducts ranges from $500 to $2,000, which would be in addition to the cost of your new furnace and the labor charges.
You may also want to install a new thermostat. New thermostats are digital and programmable with WiFi that can allow you to change the temperature of your home while you are away. For example, if you are normally home and 5 PM, you may have your thermostat set to increase the temperature of your home starting at 4 PM. If you suddenly find that you will be out of the house until 8 PM, you can adjust your thermostat so that it doesn’t turn your furnace on while you are away. New thermostats can cost anywhere from $50 to $500.
Further Additional Furnace Installation Charges:
New Plenum Connecting the Furnace to the Existing or New Ductwork – $200 to $300
New Circuits and Furnace Electrical Wiring – $300 to $650
Repair or Replacement of the Cold Air Return – $200 to $350