Tennessee pricing

Furnace Replacement Cost Calculator — Tennessee

Estimate what a furnace replacement should cost by output, efficiency and venting work. Every figure below is already adjusted for Tennessee labor and material pricing.

Verified August 2026

Does furnace replacement cost cost more in Tennessee?

-10% versus the national baseline

Counties may exempt themselves from the state residential code, so the same project can be fully inspected in Nashville and effectively unpermitted one county over. Permit fees here run about -15% off the national average, and Homeowner permits allowed on owner-occupied property

Estimated installed cost

$4,209 – $5,980

Furnace and labor
$4,320
Venting work
$0
Removal and permit
$464

Estimates only. Local pricing, site conditions and code requirements change the real number.

What changes the number in Tennessee

Local cost indexBelow the national baseline0.90x national
Permit fee index0.85x national
Code basisStatewide code appliesTennessee Residential Code, based on the IRC
Owner-builder postureHomeowner permits allowed on owner-occupied property
Largest marketsNashville, Memphis, Knoxville, Chattanooga

The formula

Cost = base unit cost x efficiency multiplier + venting + removal + permit

High-efficiency condensing furnaces (90%+ AFUE) need new PVC venting and a condensate drain, which is why the jump from 80% to 96% AFUE costs more than the equipment difference alone.

Frequently asked questions

How much is a new furnace installed?

Most homeowners pay $4,000 to $8,500 for a replacement gas furnace in 2026. Electric furnaces are cheaper to install but cost far more to run.

How long does a furnace last?

15 to 20 years for a gas furnace with annual service. Past year 15, repairs over about $1,500 usually favor replacement.

Sources

Sources & verification

Last verified August 2026. Cost figures are modeled estimates based on national baselines adjusted for local labor and material pricing — they are not quotes. Permit rules change; confirm with the building department before starting work.