Texas pricing

Furnace Replacement Cost Calculator — Texas

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

Verified August 2026

Does furnace replacement cost cost more in Texas?

-5% versus the national baseline

Texas has no statewide contractor licensing for general residential work, so verifying trade licenses and insurance matters more here than in almost any other state. Permit fees here run about -5% off the national average, and Owner-builder permits allowed on owner-occupied property

Heating output

Cost per 1,000 BTU installed($)

Efficiency

Venting changes

Old furnace removal

Permit fee($)

Estimated installed cost

$4,443 – $6,312

Furnace and labor: $4,560
Venting work: $0
Removal and permit: $489

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

What changes the number in Texas

Local cost indexBelow the national baseline	0.95x national
Permit fee index	0.95x national
Code basisStatewide code applies	Statewide IRC adoption for residential construction, amended locally
Owner-builder posture	Owner-builder permits allowed on owner-occupied property
Largest markets	Houston, San Antonio, Dallas, Austin

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

Texas Department of Licensing and Regulation

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.