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Normal Range: $4,600-$8,600
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Key Takeaways

  • In Calgary, the cost of a new furnace, including installation, ranges from $4,600 to $8,600, depending on the size, efficiency, and features of the unit. If you’re considering upgrading to a high-efficiency model, it’s essential to understand what drives these costs and how a new furnace can lower your energy bills during Calgary’s notoriously cold winters.
What's covered in this article?

At Comfort Union, we know choosing the right furnace isn’t just about the upfront price—it’s about finding a system that suits your home’s unique needs while ensuring long-term savings and reliability. Whether you’re replacing an outdated unit or upgrading to a more efficient system, we’ve got the insights you need.

In this guide, we’ll break down furnace prices in Calgary, explore the factors that affect costs, and answer the most common questions to help you make an informed decision.

What Is the Cost of a New Furnace in Calgary?

When planning for a new furnace in Calgary, it’s essential to understand the factors influencing the cost. Prices vary based on efficiency, size, and features, so investing in the right model can have long-term benefits. Below is a table summarizing the key details to help you understand the investment.

These prices reflect current Calgary market trends and include installation. Additional costs, such as permits or optional upgrades like smart thermostats, can further influence the final price.

Types of High-Efficiency Furnaces with Prices

High-efficiency furnaces are an essential upgrade for Calgary homeowners looking to reduce energy costs and enhance home comfort. These systems are evaluated using the Annual Fuel Utilization Efficiency (AFUE) rating, which measures how effectively a furnace converts fuel into heat. For example, a furnace with a 96% AFUE rating turns 96% of its fuel into usable warmth, wasting just 4%.

In Calgary’s cold climate, the minimum AFUE rating for new high-efficiency furnaces is 96%, with advanced models achieving up to 99%. This improvement can result in savings of up to 50% compared to older, inefficient furnaces, making them a cost-effective choice for long-term use.

Quick Tips

While single-stage furnaces are more affordable upfront, two-stage and modulating options provide better long-term savings on energy bills and offer quieter operation. Comfort Union’s best-selling furnace is a Two-Stage Variable Speed blower style. We highly promote and recommend that due to cost savings while paying a smaller amount upfront.

AFUE Rating
Operation
Gas Consumption
Electricity Use
Noise Level
Ideal Home Type
Estimated Cost (Calgary)

Cost Effective
Solution

Single Stage Furnace

96% AFUE

Fixed-speed motor, constant heat

20-40% less than older models

Moderate (fixed motor)

Moderate

Small homes

(up to 1,500 sq. ft.)

$5,500 - $7,500

Value Efficiency
and Reliability

Two Stage Furnace

96% AFUE

Two levels: low & high

30% less than single-stage models

33-66% lower (ECM motor)

noise efficient

Quieter

Multi-level homes

(1,500 - 2,500 sq. ft.)

$6,500 - $9,000

MOST EFFICENT
Save More Money!

Modulating Furnace

99% AFUE

Variable speed,
adjusts 30-100%

8-12% less than two-stage models

Lowest due to variable-speed motor

Quietest

Homes requiring precise temperature

(More than- 2,500 sq. ft.)

$8,700 - $11,000

What is AFUE and Why Does It Matter?

Annual Fuel Utilization Efficiency (AFUE) measures the percentage of fuel converted into usable heat. For example, a 96% AFUE furnace converts 96% of its fuel into heat, wasting only 4%. The higher the AFUE, the greater the energy efficiency. Learn more about AFUE standards at Natural Resources Canada.

Why Choose a High-Efficiency Furnace?

Energy Savings: High-efficiency models significantly reduce gas and electricity usage, cutting heating costs by up to 40%, as highlighted by the Government of Alberta's Energy Efficiency Programs.

Environmentally Friendly: Lower emissions align with Alberta's eco-friendly initiatives.

Enhanced Comfort: Features like variable-speed motors and smart thermostats ensure consistent temperatures

Furnace Warranty

A furnace is a significant investment, and choosing one with a strong warranty ensures long-term peace of mind. Leading brands like Lennox, Carrier, and Trane offer comprehensive warranties that protect you from unexpected repair costs while ensuring your system operates efficiently for years to come. Here’s a comparison of popular furnace brands and their warranty offerings:

These warranties cover critical components like the heat exchanger, ensuring it remains free from defects over its lifespan. Many brands also provide optional extended coverage for labor and parts, which can be particularly valuable if you want to avoid out-of-pocket expenses for future repairs. Be sure to register your furnace soon after installation to activate the full warranty benefits.

Furnace Size and Capacity

Furnace size directly impacts the cost and efficiency of your heating system. Measured in BTUs (British Thermal Units), it determines how much heat your furnace can produce to warm your home effectively. Selecting the correct furnace size is essential for maintaining efficiency and avoiding unnecessary costs.

Home Size (sq. ft.)

Recommended Furnace Size (BTU)

Estimated Price Range

small house

1,000 sq. ft.

40,000 - 60,000

$5,500 - $6,500

medium house

1,500 sq. ft.

60,000 - 80,000

$6,500 - $7,500

2,000 sq. ft.

80,000 - 100,000

$7,500 - $9,000

big house

2,500 sq. ft.

100,000 - 135,000

$9,000 - $11,000

furnace size

Why Does Furnace Size Matter?

Efficiency

An undersized furnace will struggle to heat your home, running constantly and increasing energy bills. Conversely, an oversized furnace can cause short cycling, leading to uneven heating and increased wear and tear.

Comfort

Properly sized furnaces ensure even heating across all rooms, improving overall comfort.

Lifespan

Correct sizing reduces strain on your furnace, extending its operational life and lowering maintenance costs.

How to Determine the Right Furnace Size

Furnace size depends on several factors, including your home’s square footage, insulation quality, and climate zone. For example, a 1,500 sq. ft. home typically requires a furnace with 60,000-80,000 BTUs, while a larger home of 2,500 sq. ft. or more may need 100,000-135,000 BTUs. In Calgary, where winters are severe, proper insulation and a professional heat-loss calculation are critical for determining the right furnace size. This ensures efficient heating and prevents unnecessary energy costs, as highlighted by Natural Resources Canada.

Good Rule of Thumb for Calgary:

40 BTU/sq.ft. ~ Houses built before 1990s 

30 BTU/sq.ft. ~ Houses built in 2000s

20 BTU/sq.ft. ~ Houses built in 2020s 

Furnace Installation Key Factors to Consider

Furnace installation is more than just a technical task—it’s about ensuring your home stays safe, efficient, and comfortable during Calgary’s harsh winters. From thermostat wiring to venting adjustments, our certified experts assess every detail of your home before providing a transparent quote. Below, we outline the key factors we consider to deliver a seamless installation experience tailored to Calgary homeowners:

Thermostat Wiring Estimated Cost: $200–$500

Modern thermostats require updated wiring; new wiring may need to be routed to the furnace. If extra wires are required, a device called FAST STAT is used to add additional wires.

Relocating or accessing difficult areas like crawl spaces or tight basements adds time and cost.

Adjustments or custom sheet metal fabrication ensure compatibility with modern furnaces.

High-efficiency furnaces require PVC venting routed to meet Calgary building codes.

Older tanks sharing vents may need chimney liner installation or replacement with a power-vented model.

High-efficiency furnaces produce water that must drain via hard pipe or pump to a nearby drain.

Required permits ensure compliance with Calgary regulations. Gas contractor MUST pull a Gas Permit for any furnace work.

Older homes with asbestos insulation or ductwork require specialized removal for safe installation. 

Gas line adjustments may be needed to accommodate the new furnace.

Upgrading to a smart thermostat improves energy efficiency and allows remote control.

Furnace Brands in Calgary: Prices and Specialties

Choosing the right furnace brand is essential for reliable heating and energy efficiency in Calgary’s challenging winters. Here’s a focused breakdown of popular furnace brands, their price ranges, and key specialties to help you make an informed decision:

furnace size

How to Choose The Right Furnace in Calgary

Efficiency

Look for high AFUE ratings (96% or more) for maximum energy savings during Calgary’s harsh winters.

Budget

Balance upfront costs with long-term savings from energy-efficient models.

Features

 Consider advanced technologies like smart thermostats, modulating burners, and quiet operation.

Common Pitfalls of Inferior Installations

Fast, low-cost installations may seem tempting, but they often come with risks that can compromise your home’s safety and comfort.

Improper Venting
Cutting corners on venting, such as not properly holding or bonding pipes, can lead to detachment within a few years. This poses serious risks, including carbon monoxide (CO) leaks, endangering your family’s safety.
Incorrect condensate drain placement can cause water damage and reduce furnace efficiency.
Failure to adjust or seal ductwork properly can lead to uneven heating, higher energy costs, and frequent repairs.
Opting for unpopular brands (less than <10% Market Share) not widely used in Calgary can leave you stranded during a cold snap. At temperatures below -30°C, the last thing you want is to wait days—or even weeks—for parts. Brands like Carrier & Lennox ensure parts are available through multiple furnace companies and warehouses, giving you peace of mind.

Most cheaper brands don’t offer a lifetime warranty on the heat exchanger, the heart of the furnace. In contrast, Carrier and Trane provide a lifetime heat exchanger warranty, showcasing the reliability of their systems and components.

Did you know? Some manufacturers hold a monopoly over their parts, leading to inflated repair costs. Compare the cost of a standard high-efficiency control board across brands like Carrier with others, and you’ll see why sticking to trusted brands pays off in the long run.

Premium brands like Carrier are tested to withstand up to 100,000 cycles, far surpassing the industry average of 15,000–30,000 cycles. Cheaper brands often skip advanced durability testing, leaving you with equipment that may fail prematurely.

Why Choose Comfort Union for Your Furnace Installation?

Transparent Pricing: No hidden fees—just upfront, honest quotes.

Top-Tier Brands: We install trusted names like Carrier, Trane, and Lennox, ensuring long-term reliability.

Expert Installations: Certified technicians guarantee precise and efficient setups.

Best Price Guarantee: We’ll beat any competitor’s quote for the same model and warranty.

Lifetime Commitment: Our installations include warranties and ongoing support to keep your system running smoothly for years

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