Quick Answer: Replacing a furnace in the Dallas-Fort Worth area costs between $3,500 and $7,500 for most homes. Your actual price depends on the type of system you choose, your home’s size, and the efficiency rating you need.
If your heater is making strange rattling sounds or your energy bills keep climbing, you’re probably wondering what a new furnace will run you. We get it. This is a big purchase, and you need honest numbers.
At Bolton Heating & Air, we’ve installed hundreds of heating systems across DFW. This guide gives you real-world pricing so you can budget with confidence.
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What Type of Furnace Do You Need?
The fuel source matters more than anything else when it comes to your final bill. Here’s how gas and electric systems compare.
Natural Gas Furnaces: $3,500 – $9,000
Most DFW homes already have natural gas lines. If yours does, sticking with gas usually makes the most sense. Gas costs less to run month-to-month compared to electric heat.
Standard Efficiency (80% AFUE)
Price Range: $3,500 – $6,000
These units work well for North Texas winters. An 80% efficiency rating means 80 cents of every dollar you spend on gas goes toward heating your home. The other 20% escapes through the vent.
This is the most popular choice for DFW homeowners. Our winters get cold, but they’re short. You don’t need a premium system to stay comfortable.
High Efficiency (90%+ AFUE)
Price Range: $5,500 – $9,000
These systems waste almost no heat. If you plan to stay in your house for the next decade or longer, the higher upfront cost pays for itself through lower gas bills.
High efficiency furnaces need special venting installed. That adds to the installation cost but maximizes your monthly savings.
Electric Furnaces: $2,500 – $5,000
Electric systems cost less to buy and install. They don’t need gas lines or complex venting systems.
These work well for apartments, condos, or homes in neighborhoods without gas service.
The downside? Electricity costs more per unit of heat than natural gas in Texas. Your monthly bills during cold weather can run higher than with gas heat.
Heat Pumps: The Modern Alternative
More homeowners are switching to heat pumps. These systems handle both heating and cooling, which means you replace your air conditioner at the same time.
A complete heat pump system costs $5,000 to $15,000. That sounds expensive until you factor in the federal tax credits. You can claim up to $2,000 back on your taxes for installing a qualified heat pump.
Learn more about heat pump installation in Dallas-Fort Worth
Commercial Furnace Replacement Costs
Business owners and property managers have different heating needs. Commercial systems cost more because they’re bigger and more complex.
Rooftop Units (RTUs)
Most commercial buildings in DFW use rooftop heating and cooling units. A standard 3 to 10 ton unit costs between $15,000 and $35,000 installed.
Cost Per Square Foot:
- Small offices: $20 – $28 per square foot
- Warehouses and industrial spaces: $15 – $25 per square foot
For example, a 5,000 square foot retail space in Plano typically needs a 10-ton rooftop unit. That project runs between $22,000 and $28,000 including installation.
Tax Benefits for Business Owners
Section 179 of the tax code lets businesses deduct the full purchase price of qualifying HVAC equipment in the year you buy it. That includes furnaces, air conditioners, and rooftop units.
Talk to your CPA before you sign any contracts. This deduction can save you thousands on your business taxes.
Your commercial heating system keeps employees comfortable and customers coming back. Downtime costs you money. Bolton Heating & Air schedules commercial installations during off-hours to minimize disruption to your business.
Request a commercial HVAC quote
What Determines Your Final Price?
Your neighbor in Forney might pay $4,500 while your cousin in Rockwall pays $6,800 for a similar furnace. Three factors explain the difference.
1. Proper System Sizing
Bigger doesn’t mean better when it comes to furnaces. An oversized system turns on and off constantly. That’s called short-cycling, and it wears out components fast while wasting energy.
An undersized system runs 24 hours a day and never gets your home truly warm.
A qualified installer performs a load calculation to match your system to your home. They measure your square footage, check your insulation levels, count your windows, and factor in your ceiling height.
Bolton Heating & Air uses Manual J load calculations on every installation. We size your system correctly the first time.
2. Your Ductwork Condition
Many older DFW homes have aging ductwork. This is especially common in houses built on pier-and-beam foundations.
Leaky ducts lose 20 to 30 percent of the heated air before it reaches your rooms. You’re paying to heat your attic or crawl space instead of your living room.
If your ducts need repairs or replacement, expect to add $500 to $2,000 to your project cost. The good news? New ductwork makes your new furnace work better and last longer.
3. Permits and Inspections
Cities across DFW require permits for furnace replacements. Dallas, Forney, and most other local municipalities mandate inspections to ensure safety. This is especially important for gas furnaces because of carbon monoxide risks.
Permit costs run between $100 and $500 depending on your city. Bolton Heating & Air handles all the paperwork and scheduling. You don’t have to deal with the city yourself.
DFW Furnace Cost Breakdown
Here’s a quick reference table showing what you can expect to pay:
| Furnace Type | Typical Size | Price Range | Best For |
|---|---|---|---|
| 80% Gas Furnace | 60,000-100,000 BTU | $3,500-$6,000 | Most DFW homes |
| 95% Gas Furnace | 60,000-100,000 BTU | $5,500-$9,000 | Maximum efficiency |
| Electric Furnace | 10-30 KW | $2,500-$5,000 | No gas available |
| Heat Pump System | 2-5 Tons | $5,000-$15,000 | Heating + cooling |
| Commercial RTU | 3-10 Tons | $15,000-$35,000 | Business properties |
How to Save Money: 2025 Rebates and Incentives
You don’t have to pay full price. Several programs help DFW homeowners and businesses offset furnace replacement costs.
Atmos Energy Rebates
Atmos customers can qualify for rebates when they install ENERGY STAR rated gas furnaces. Standard rebates range from $300 to $350.
You have to meet specific efficiency requirements. Bolton Heating & Air knows which systems qualify and handles the rebate paperwork for you.
Check your Atmos rebate eligibility
Oncor Incentives
Oncor provides incentives from $300 up to $3,500 for high efficiency heat pumps and air conditioning systems. Your new equipment needs to meet minimum efficiency ratings (SEER2 14.3 or higher).
These incentives work great if you’re replacing both your heating and cooling at the same time.
Federal Tax Credits
The Inflation Reduction Act created new tax credits for energy efficient home improvements. You can claim 30% of your project cost, up to specific limits:
- Natural gas furnaces (95% AFUE or higher): $600 maximum credit
- Heat pumps: $2,000 maximum credit
This is a non-refundable tax credit. You claim it when you file your federal taxes. Keep all your receipts and the manufacturer’s certification statement.
Bolton Heating & Air provides the documentation you need to claim your tax credit.
Why You Should Avoid the Cheapest Quote
We all want to save money. But quotes that come in thousands of dollars below everyone else usually mean trouble.
Unlicensed contractors often bid low to get work. They cut corners on installation. Some aren’t insured. Many don’t pull required permits.
A furnace involves combustion, gas lines, and high-voltage electrical connections. Poor installation creates serious risks:
Carbon monoxide leaks can be fatal. Faulty gas connections or improper venting allow this odorless, colorless gas to build up inside your home.
Voided warranties happen when unlicensed contractors install equipment. Manufacturers like Carrier, Trane, Lennox, and Rheem require licensed installation. Without it, your warranty is worthless if something breaks.
Failed inspections mean your system isn’t legal to operate. You’ll have to pay someone else to fix the problems before the city will sign off.
Bolton Heating & Air is fully licensed and insured. We’ve been serving DFW since 2017. Our installers have decades of combined experience. We pull all required permits and guarantee your system passes inspection the first time.
When Should You Replace Your Furnace?
Timing your replacement saves you money and prevents emergency situations.
Best Time for Replacement
September through October offers the best combination of availability and pricing. Contractors aren’t as busy as they are during summer or winter. You can often negotiate better rates and get faster installation dates.
Emergency Winter Replacements
Waiting until your furnace dies during a February cold snap costs you more. Emergency service calls during peak season can add 15 to 20 percent to your total cost. You also have fewer equipment choices because supply gets tight.
Get quotes now. Schedule installation for fall. You’ll save money and avoid freezing nights waiting for a new system.
Schedule your fall installation
How Long Does Furnace Installation Take?
Most residential furnace replacements take 4 to 8 hours. That includes removing your old system, installing the new furnace, connecting ductwork, and testing everything.
More complex jobs take longer. High efficiency systems that need new venting might require a full day or slightly more. Commercial installations depend on system size and complexity.
Bolton Heating & Air schedules installation appointments at times that work for you. We show up when we say we will. Our installers clean up completely before they leave.
Frequently Asked Questions About Furnace Replacement Costs
How much does a furnace replacement cost in Dallas-Fort Worth?
The average furnace replacement in DFW costs between $3,500 and $7,500 for residential installations. Gas furnaces typically run $3,500 to $9,000 depending on efficiency ratings. Electric furnaces cost $2,500 to $5,000. Commercial systems start around $15,000.
Is it cheaper to repair or replace a furnace?
Replace your furnace if it’s more than 15 years old, needs frequent repairs, or costs more than half the price of replacement to fix. Modern furnaces last 15 to 20 years. Older systems waste energy and break down often.
How long does furnace installation take?
Most residential installations take 4 to 8 hours. Your installer removes the old system, installs the new furnace, connects everything, and runs tests to verify proper operation. Complex installations might take a full day.
Do I need a permit to replace my furnace in Texas?
Yes. Cities throughout DFW require permits for furnace replacements. This ensures your installation meets safety codes, especially for gas connections and carbon monoxide protection. Permits typically cost $100 to $500. Your contractor should handle this paperwork.
What size furnace do I need for a 2,000 square foot home in DFW?
Most 2,000 square foot homes in North Texas need a 60,000 to 80,000 BTU gas furnace. Your actual requirement depends on insulation quality, ceiling height, number of windows, and home layout. A proper load calculation determines the exact size you need.
How does Bolton Heating & Air compare to other DFW contractors?
We’ve served the Dallas-Fort Worth area since 1985. Our technicians are fully licensed and factory-certified. We provide transparent pricing with no hidden fees. We pull all required permits and guarantee your installation passes inspection. Our installations come with a lifetime craftsmanship warranty.
Why Choose Bolton Heating & Air for Your Furnace Replacement
You have dozens of HVAC companies to choose from in DFW. Here’s what makes Bolton different.
Serving DFW Families
We’ve been in business since 2017. We’re not going anywhere. When you need service five years from now, we’ll still be here.
Transparent Pricing
We give you a written quote before we start work. No hidden fees. No surprise charges. You know exactly what you’re paying.
Licensed and Insured
Bolton Heating & Air holds Texas license TACLA81826E. All our technicians are background-checked and drug-tested. We carry full liability insurance and workers compensation coverage.
Factory Certified Installers
Our team is factory-trained and certified by major manufacturers. We install Carrier, Trane, Lennox, Rheem, and other top brands according to manufacturer specifications. That protects your warranty and ensures your system works correctly.
We Handle Everything
You shouldn’t have to deal with permits, inspections, or rebate paperwork. We take care of all of it. From the first phone call to the final walkthrough, we manage every detail.
Same-Day Emergency Service
Furnaces break at the worst times. We offer same-day emergency service when your heating goes out in the middle of winter. Call us any time, day or night.
Stay Warm and Save Money This Winter
A new furnace is a 15 to 20 year investment in your comfort and safety. The average cost in DFW runs around $5,000, but every home is different.
Don’t rely on online estimates alone. Your home deserves a proper assessment that accounts for square footage, insulation, ductwork condition, and your family’s specific needs.
Bolton Heating & Air provides free, no-obligation estimates throughout the Dallas-Fort Worth metroplex. We’ll visit your home, perform a complete heating system evaluation, check your ductwork, and calculate the right size system for your space.
We’ll also help you navigate 2025 Atmos and Oncor rebates, federal tax credits, and financing options. You’ll get the best system at the best price.
Your furnace keeps your family comfortable during Texas winters. It protects your pipes from freezing. It makes your house feel like home.
Let’s make sure you get the right system installed correctly the first time.
Call Bolton Heating & Air at (214) 909-7615 or click here to schedule your free estimate.
We serve Dallas, Forney, Sunnyvale, Terrell, Talty, Rockwall, Rowlett, Mesquite, Garland, Sachse, Kaufman, Royse City, and all surrounding DFW communities.
Get your free estimate today. Stay warm all winter long.