Is a 95% furnace worth the extra money and explain your reasoning?

Author: Darrell Predovic  |  Last update: Tuesday, November 4, 2025

In our expert opinion, if you are planning to live in your home for 5+ years, the 95% furnace is the clear winner, as you may already recoup savings in energy costs within the first 3-5 years of operation that offset a higher purchase price.

Is it worth upgrading to a high efficiency furnace?

A furnace with an AFUE rating of 95% will require significantly less fuel (natural gas) to heat your home than a unit with an 80% AFUE rating. While higher-efficiency furnaces tend to cost more upfront, they allow homeowners to save money on heating costs every year.

Is it worth replacing a 20 year old furnace?

Older furnaces need annual check ups. Main thing is the heat exchanger getting a crack, which could lead to fire or carbon monoxide poisioning. 20 years is a good time to start considering a new one but not essential, if the tech that comes to clean the burners sees an issue they will point it out to you.

Is a 2 stage furnace worth the extra cost?

Two-stage furnaces cost more to purchase and install than traditional models. But factoring in their 20-25 percent fuel efficiency advantage, and assuming a normal lifespan of about 20 years, the extra cost will be more than erased by the cumulative energy savings.

Is a high efficiency HVAC system worth extra cost?

Are the fuel and other savings from installing a high efficiency system worth the extra cost? In short, yes, but let's look at the facts. Fuel savings: Going from a 70 AFUE old unit to a 90 will instantly give you a 14% savings on fuel usage. Go to 95 AFUE, and you'll net a nice 18%.

What Does 95% Efficient Really Mean?

What are the disadvantages of high efficiency furnaces?

Disadvantages of high-efficiency furnaces
  • Higher purchase cost – Energy-efficient models typically have a higher price tag than standard models.
  • Compatibility issues – Newer, more efficient models may be incompatible with your existing HVAC system or infrastructure.

What is the most expensive part in an HVAC unit?

Usually, it is a quick fix, but sometimes the failure can be caused by a much bigger problem. The most expensive part of an AC unit to replace and repair is the air compressor.

What is the disadvantage of a two-stage furnace?

Cons. Two stage furnaces are generally a solid choice for most homeowners, but they cost more than single stage. They also will require a new thermostat if you are transitioning from a single stage furnace in order to control the additional low-to-high fan options being added to your home.

What is the most expensive part of a furnace to replace?

Identifying the Priciest Component: The Heat Exchanger

Due to its complex role, a failure or crack in the heat exchanger can lead to serious issues, including dangerous carbon monoxide leaks. This makes furnace repair essential to maintain safety and functionality.

What is the most reliable gas furnace brand?

The 5 Best Furnace Brands
  • Carrier Furnace: Best Warranty.
  • Lennox Furnace: Best Company Reputation.
  • Bryant Furnace: Best for Durability.
  • Trane Furnace: Most Years of Experience.
  • Amana Furnace: Best for Efficiency.

What time of year is cheapest to replace furnace?

For people taking a proactive approach, doing a furnace replacement during the “shoulder seasons” of spring and autumn may offer lower prices, shorter lead times, and a better selection of products and service appointment availability.

Is it better to oversize or undersize a furnace?

Even a slightly undersized furnace will accomplish the job the majority of the time. Taking things down a few sizes will more than likely solve some of your common heating problems like too high of a utility bill while half of your house is blazing and the other half is an icebox.

Why is replacing a furnace so expensive?

Installation Entails More than Just the Furnace

For a gas-powered furnace, a contractor must set up a gas connection and vent. Installing an electric furnace requires running wiring, adding a circuit breaker, or perhaps updating an electrical panel. Holes are often drilled for pipes and wires.

Is a 95 furnace worth the extra money?

In our expert opinion, if you are planning to live in your home for 5+ years, the 95% furnace is the clear winner, as you may already recoup savings in energy costs within the first 3-5 years of operation that offset a higher purchase price.

What is the average cost of a new high efficiency furnace?

While high-efficiency furnaces with an AFUE of 96% or more cost between $2,000 and $6,000, standard-efficiency units with an AFUE of 80% to 89% are priced from $500 to $1,500. Upgrading to a high-efficiency furnace with a higher AFUE rating can lead to significant energy cost savings.

Can you write off high efficiency furnace?

Known as the Energy Efficient Home Improvement Tax Credit, this program allows you to earn a tax credit of up to $3,200 a year. The program started on January 1, 2023, and will run until December 31, 2032, which means you may be eligible if you upgrade or replace any HVAC unit within the next decade.

How much should I budget for a new furnace?

A new furnace costs $4,799 on average, but the final total for parts and labor will depend on type of furnace, size of your home, and other factors, like efficiency and brand. Rates may range from $150 to $13,100.

How many quotes should I get for a new furnace?

Most experts recommend getting three to five HVAC quotes from licensed, insured, reputable local heating and cooling companies. Getting multiple detailed HVAC quotes (but not too many) lets you compare the equipment, services, and prices of several contractors without being overwhelmed by options.

How much does it cost to replace a furnace for a 2000 sq ft house?

This can lead to a wide range of installation costs. The national average cost for installing a gas furnace in a 2,000 sq. ft. home is $4,000 to $8,000, with most people paying around $6,000 for a high-efficiency gas furnace installed with minor modifications to update the vent and drain.

Do 2 stage furnaces break down more?

Although maintenance is always recommended, a two-stage furnace should have better longevity since there's less wear and tear on the unit from less starting and stopping.

Do gas furnaces lose efficiency with age?

Most gas furnaces start to decline in efficiency once they hit the ten-year mark. Although a well-maintained gas furnace can last up to 20 years, they won't heat your home as well as a newer model and are more prone to breaking down.

How many BTU furnaces do I need?

It's recommended that a furnace has 30 to 60 BTUs per square foot. The actual number depends on the climate which we will get into in the next section. But, just for example, if you have a 1500-square-foot home and live in a warm climate, you will multiply 1500 by 30.

How much should I pay for an HVAC system?

The cost of replacing an HVAC system typically ranges from $6,224 to $11,434. This HVAC replacement cost depends on your home's size, the system type, and installation requirements. The estimate includes both a central air conditioning unit and a gas furnace, along with standard labor costs.

Does the brand of your HVAC unit matter?

Yes, not all manufacturers of heating and cooling equipment are created 100% equal. Different brands focus on incorporating the latest and greatest technologies to improve how long their systems can last, and some companies stand behind their systems with stronger warranties.

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