Prices for a new furnace and air conditioner vary by size, efficiency, and installation complexity. The primary cost drivers include equipment type, efficiency rating, home size, ductwork needs, and regional labor rates. This article outlines typical cost ranges for a complete furnace and AC package and shows how different factors affect the final price.
| Item | Low | Average | High | Notes |
|---|---|---|---|---|
| Furnace cost (gas/electric) | $1,500 | $3,500 | $6,000 | Standard-efficiency to mid-efficient models |
| Air conditioner cost (central) | $2,000 | $4,000 | $7,500 | Mid-SEER models common |
| Labor and installation | $1,500 | $3,500 | $6,500 | Includes removal of old unit and new wiring |
| Ductwork adjustments | $500 | $2,500 | $5,000 | Based on attic/crawl space access |
| Permits and inspections | $100 | $500 | $1,500 | Local requirements vary |
| Freon/refrigerant charges | $0 | $350 | $1,000 | Dependent on system and leaks |
| Delivery/ haul-away | $50 | $300 | $800 | Trash removal and equipment haul |
Typical Total Price for a New Furnace and AC Combo
Most U.S. homes spend between $4,000 and $9,000 for a complete furnace and central air system installation, with mid-range setups around $6,000-$8,000. A high-efficiency, larger home package can reach $12,000 or more. Assumptions: standard 2,000–2,500 sq ft home, gas furnace, SEER 16–18 AC, Midwest-to-Southeast markets, moderate ductwork.
Major Cost Components in a Heating and Cooling System
Prices break down into primary parts. Equipment, labor, and ductwork adjustments drive most of the total. The following table shows typical allocations.
| Component | Low | Average | High | Notes |
|---|---|---|---|---|
| Furnace price | $1,500 | $3,000 | $5,500 | |
| Air conditioner price | $2,000 | $3,800 | $7,000 | |
| Labor and installation | $1,500 | $3,000 | $6,500 | |
| Ductwork and registers | $500 | $2,500 | $5,000 | |
| Permits | $100 | $500 | $1,500 | |
| Wiring and controls | $150 | $600 | $1,200 |
Variables That Most Change the Final Quote
The final price reacts to several concrete factors. System size and efficiency rating (BTU capacity and SEER/HSPF) can shift costs by thousands. Ductwork condition and accessibility also dictate labor and material needs, potentially adding $500–$3,000. Region and crew availability may move the overall price by 10–25%.
How Size, Efficiency, and System Type Influence Cost
Smaller, standard-efficiency packages cost less, while larger homes require higher-capacity equipment. SEER 16–18 air conditioners and gas furnaces with variable-speed operation add upfront cost but deliver longer-term savings. Expect roughly 80–120 thousand BTU total for typical homes, with per-unit costs rising with efficiency and size.
Regional Variations That Impact Price
Labor rates and material costs vary by region. In coastal markets, delivery and permitting may add $200–$600, while the Midwest may be closer to the lower end of ranges. Urban areas typically see higher labor and permit fees than rural settings, affecting the total by approximately 5–20% on average.
Ways to Reduce the Furnace and Air Conditioner Cost Without Sacrificing Quality
Control scope and timing to shave costs. Choose standard-efficiency equipment within your size class, plan installation in off-peak seasons, and consolidate projects when possible. Avoid unnecessary upgrades such as premium smart thermostats if the baseline system already meets comfort needs. A careful comparison of quotes can reveal significant savings.
Common Add-ons and What They Cost
Budget roles extend beyond the core system. Smart thermostats, air scrubbers, and enhanced filtration add $150–$600 each, while a UV light kit ranges $300–$700. Extended warranties typically add 5–10% of the equipment cost but may cover long-term maintenance savings.
Maintenance Costs After Installation
Ongoing service keeps efficiency up. Annual tune-ups generally run $100–$250, with filter replacement costing $5–$20 per filter. Expect a small annual increase if you enroll in a service plan that covers parts and routine inspections.