propane furnace cost

Replacing a propane furnace involves various factors that can significantly affect the cost. From the type of furnace to the complexity of installation and local climate, each element plays a critical role. In this article, we’re diving deep into everything about propane furnace costs and considerations before you move forward with the decision.

Signs You Should Replace Your Propane Furnace

Age of the Furnace

The average lifespan of a propane furnace is fifteen to twenty years. You should expect your furnace’s efficiency to decline if it’s in or near this age range. In addition to being more prone to breakdowns, older furnaces are typically less energy efficient.

Frequent Repairs

The reliability of your furnace – whether it is a natural gas furnace, an electric furnace, or an oil furnace is declining if you find yourself contacting for repairs on a regular basis. It can be both annoying and costly when there are frequent breakdowns. The cumulative expense of repairs may eventually make it more cost-effective to purchase a brand-new system that is both more dependable and efficient.

Rising Energy Bills

When your heating expenditures start to rise for no apparent reason, it could be a sign that your propane furnaces, oil furnaces, or natural gas furnaces are becoming less efficient. Heating expenses can skyrocket if your furnace has to work harder to generate the same amount of heat, resulting in higher fuel consumption. Older parts may not be as efficient as they previously were, which is a common cause of this.

Yellow Flame

Your propane furnace’s flame color should be blue. Carbon monoxide is an odorless, very toxic gas that can be produced when a furnace’s flame becomes yellow or flickers. Since carbon monoxide is so dangerous, this is an extremely important safety issue and one must note that this does not apply to electric furnaces. Seeking expert advice is a must right away to resolve this matter.

Excessive Noise

Older furnaces often make a lot more noise than newer ones. Any technical problems, such a faulty blower motor or part of it, could be the cause of these noises. Also, if the blower is operating too often or on and off too often, it means your furnace is having trouble keeping your house at the temperature you’ve set it to.

The key to efficient heating and avoiding needless high costs is knowing when to update your propane furnace. Some warning signals that it may be time to replace your propane furnace are as follows:

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Understanding the Factors that Determine the Average Cost of Propane Furnace

Propane Furnace Cost by House Size

Your heating demands are unique, and the size of your home is a major factor in determining which propane furnace is best for you. Choosing the right furnace size is crucial for optimal performance, reduced energy consumption, and sufficient heating while minimizing system wear and tear. Here we take a look at how the unit cost and total replacement cost of a propane furnace are affected by the size of your home.

Factors Influencing Furnace Cost by Home Size

Home Size and Furnace BTU Requirements:

Furnaces with a 40,000 BTU to 60,000 BTU heating capability are suitable for smaller households. Because of their lesser capacity, these furnaces are typically more affordable, and they are more than enough to heat smaller places.

Furnaces with 60,000 to 100,000 BTU output are often required for medium-sized homes because they are a more robust heating solution. Unit and installation costs may rise in tandem with the capacity increase.

Furnaces with a BTU output of exceeding 100,000 may be necessary for large residences. A more intricate heating system is required for this increased capacity, which in turn drives up the costs dramatically owing to the additional material and labor demands.

Cost Estimates Based on House Size

Installation fees add another $2,000 to $6,000 to the whole replacement cost, which can be anywhere from $600 to $2,400 for a single unit.

The furnace unit alone can cost anywhere from $700 to $2,700 for homes in this price range, with installation adding another $2,100 to $6,200.

Furnaces meant for bigger houses start at about $2,800, with total prices, including installation, starting at $6,200.

Propane Furnace Cost by Efficiency

The efficiency of a propane furnace is an important consideration since it influences the heating system’s environmental effect, operational expenses, and return on investment (ROI). The Annual Fuel Utilization Efficiency (AFUE) rating is a common metric for furnace efficiency; it shows the proportion of fuel that is transformed into useful heat.

Understanding AFUE and Propane Furnace Costs

An annual fuel utilization efficiency (AFUE) rating is a straightforward way to evaluate how well a furnace turns the energy in its fuel into usable heat. Various efficiency ratings can be translated into costs in this way:

Compared to high-efficiency models, these furnaces are more basic and usually have fewer features. Starting at a lower price point, with typical unit costs between $600 and $1,900, they are a good investment. While these models may not provide optimal fuel efficiency, their one or two heat settings and fan speeds are usually more than enough for most houses.

A higher proportion of the fuel is converted into usable heat by a high-efficiency propane furnace, which are engineered to reduce wasted energy. Just the unit for these furnaces can cost anything from $900 to $3,300. They have innovations like variable-speed blowers that allow for fine-grained regulation of airflow, which enhances heating system efficiency and comfort.

Cost Breakdown by Efficiency

Here’s a more detailed look at how the costs vary by efficiency level

If you're looking for a dependable and reasonably priced heating solution but don't want the best efficiency, these furnaces, which cost between $1,600 and $5,000, are a good fit. While their simpler design helps bring down the initial expenses, it's worth noting that compared to high-efficiency models, they can actually result in higher energy bills. However, these furnaces aren't permitted in most Canadian regions.

Homeowners concerned about their impact on the environment and their desire to maximize energy savings can choose from models priced between $1,900 and $6,400. Heat costs go down and carbon emissions go down when you install a high-efficiency furnace since they utilize less fuel overall.

Long-Term Benefits of High Efficiency Models

High-efficiency propane furnaces offer several long-term advantages:

These furnaces reduce heating expenses during the lifespan of the appliance by converting a larger proportion of propane into usable heat. As a result, they take less fuel to generate the same heating output.

Since they use less fuel and produce fewer emissions, high-efficiency furnaces are better for the environment.

With high-efficiency furnaces' modern features, such as variable-speed blowers, you can regulate the temperature in your house with greater precision and consistency.

Even though high-efficiency furnaces are more expensive upfront, homeowners might be able to offset some of that expense with rebates and tax credits from organizations like Energy Star.

Propane Furnace Cost by Brand

When choosing a propane furnace, the brand matters a lot because it affects the price but also the quality, efficiency, lifetime, and warranty coverage in the long run. Brands range in price based on their reputation and the features they provide.

Cost Overview by Brand

Brand Price 


$845 – $3,250 CAD

American Standard

$1,105 – $3,900 CAD


$780 – $2,600 CAD


$1,040 – $4,420 CAD


$1,300 – $3,640 CAD


$1,300 – $1,950 CAD

Direct Comfort

$780 – $3,250 CAD


$780 – $4,160 CAD

Brand Price 


$1,820 – $9,750 CAD


$1,040 – $1,950 CAD

Rheem / Ruud

$1,040 – $5,070 CAD


$1,690 – $4,160 CAD


$1,560 – $3,900 CAD


$1,560 – $4,420 CAD


$1,040 – $2,600 CAD


Factors Influencing Brand Pricing

Prices tend to be higher for brands that include more sophisticated features, such as the ability to adjust the heat output, connectivity with smart home systems, and better energy efficiency.

The market reputation of well-established brands allows them to charge greater prices, especially when those brands have a history of satisfying customers and being reliable.

While more efficient versions may initially cost more, they can end up saving money on repairs and maintenance throughout the lifetime of the furnace.

Some brands may provide longer and more comprehensive warranty terms, which can affect the pricing. Important parts, such as the heat exchanger, may be covered by extended warranties that include labor and parts as well as lifetime guarantees.

Cost Analysis for Converting to Propane Heat

Your current heating system and the decision to buy or rent a propane tank have a major impact on the total cost of conversion to propane heat.

With Tank Rental:

Prices start at $2,700 and go up to $5,700. Homeowners who want to save money upfront and don't want to deal with the hassle of keeping a propane tank stocked can consider this alternative.

With Tank Purchase:

The cost goes up to $3,700 to $9,800. Although buying a tank is more expensive initially, it may end up saving you money in the long run because of how much cheaper it is to refill compared to renting.

With Tank Rental:

Between $275 and $800 is the price range for the conversion, which is quite affordable. The simplified conversion process that requires fewer alterations to the current heating system is the reason for this lower cost.

With Tank Purchase:

The prices vary between $1,900 and $4,900. Even while it's more expensive up front, buying a tank could end up saving money in the long run—especially if propane prices are good.

With Tank Rental:

The price range for this conversion is $2,400 to $9,200. The large range indicates that substantial changes to the heating system and ducting may be necessary, particularly if the current system is older or not as compatible with propane equipment.

With Tank Purchase:

It is the most costly conversion option, with prices ranging from $4,000 to $13,300. This involves buying a propane tank and making substantial alterations, which may necessitate other installations like subterranean placements.

Considerations for Conversion

You may need to have new ductwork, vents, and propane delivery lines installed if you decide to convert to propane for your home's heating system.

When dealing with propane installations in particular, it is crucial to adhere to all applicable municipal safety requirements and construction rules.

Although buying a propane tank is more expensive initially, it can wind up saving you money in the long run compared to renting, all depending on the price and availability of propane in your area.

Heating & Furnace Repair in Airdrie-01

Installation Costs Specifics for Propane Furnaces

A lot of factors go into determining how much it will cost to install a propane furnace. The total cost is heavily dependent on a number of factors, such as the efficiency and kind of furnace, the state of the existing ducting, and any necessary additional installations. In order to get a good idea of how much a propane heating system installation would cost, below are the main components:

Standard Efficiency Furnace Installation: The labor charges for installing a standard efficiency furnace might vary between $1,000 and $2,300. The installation’s complexity and the going cost for labor in the area determine this pricing.

High-Efficiency Furnace Installation: Installing a high-efficiency furnace can cost anywhere from $1,300 to $3,100 in labor due to the extra technical requirements and efficiency measures.

Installing New Ductwork: Costs associated with installing new ductwork can vary from $2,400 to $6,600, with the exact amount depending on factors such as the size of the system and the intricacy of your home’s construction.

Replacing Old Ductwork: The amount of ducting needed and the accessibility of the installation sites determine the cost of replacing existing ductwork, which can range from $1,400 to $5,600.

Cleaning Ducts: Costing anywhere from $300 to $700, duct cleaning is an important investment in both indoor air quality and the performance of your furnace.

Condensation Drain: Needed for high-efficiency furnaces that generate condensation, the installation of a condensate drain might cost anywhere from $200 to $600.

Propane Tank Installation: The total cost of a propane tank, including purchase and installation, can be anywhere from $1,700 to $4,300. Annual rentals can be as little as $50 to $200.

Propane Gas Line Installation: Installation of a propane gas line is often a low-budget item, costing anywhere from $75 to $100 depending on the job’s intricacy and the required line length.

Heat Pump Connection: Estimate a price range of $2,500 to $6,000 for the installation of a heat pump.

Costing $250 to $1,500, permits and inspections are essential for making sure all installations adhere to local safety requirements and building codes.

Old Furnace Removal and Disposal: The average cost to remove and dispose of an old furnace is $150 to $400.

Thermostat Replacement: Costs can vary from $140 to $350 for a new thermostat, with the higher end of the spectrum representing models compatible with newer systems.

Electric Connections to Furnace Controls: Safely configuring all electrical connections to furnace controls might cost anywhere from $140 to $450.

Insulation Replacement: To go along with your new furnace, you may need to spend anywhere from $900 to $3,000 on insulation replacement or updating.

Zoning System Installation: Installing a zoning system can significantly improve your heating system’s efficiency by creating separate zones for each room in your house. This upgrade can cost anywhere from $2,000 to $3,500.

Home Energy Audit: A home energy audit, which usually costs between $200 and $500, can help you figure out the best size and settings for your furnace before installation.

Why is Professional Installation needed for Propane furnaces?

The safety, efficiency, compliance, and warranty protection of your propane furnace installation are all greatly enhanced by having a professional handle the installation. The surest approach to have a smooth and effective installation is to hire a professional HVAC contractor like those from Comfort Union.

We take great pleasure in being HVAC specialists at Comfort Union, and we work tirelessly to provide our customers with first-rate service and unmatched comfort. Experts on our team have years of expertise installing propane furnaces, and they always pay close attention to detail since they are dedicated to doing a good job. Customer satisfaction is our top priority, and we always aim to go above and beyond with every project, whether it’s ensuring that you are safe or whether it is about optimizing efficiency.

Want to know more? We’re always here to assist you! Contact us through our website or directly as you prefer.

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