Central Heating System Cost and Installation Price Guide

The cost of installing central heating in your home is a bit more complicated that just looking at your house from the street and ringing off central heating quotes. In fact, in our previous guide about the rough average cost of several different types of home heating systems, we tried to be careful not to nail the price to an exact amount, since there are many variables involved in central heating prices.

In this Heating Systems Guide, we will try to help you understand what goes into home central heating installation cost. We realize that we may miss something, so we hope you’ll join in the discussion at the bottom of the page, and ask questions or share comments about the cost of central heating systems.

The main factors we’ll discuss in this central heating system price and installation guide are:

• The Type and Efficiency of the Central Heating Unit
• Central Heating System Size and Brand of Equipment
• Physical Location of your Central Heating System Main Unit Within Your Home
• Local Contractor Related Variables

Related Central Heating Guides:

• Central Heat and Air Unit Price Guides

Heating System Type and Efficiency

Whether you have a hot water heating system or a high-efficiency geothermal heat pump, the type of system being installed is going to be the first factor in the cost of central heating for your home. Some units, like forced air heating simply cost less than others at the cash register. Learn how to identify the type of heating system in your home.

In addition to the type of system, the efficiency rating, or how effective the heating system is in turning fuel into heat, is going to play a role in the central heating systems cost. Units like the latest Carrier Infinity 98% AFUE ultra high efficiency furnace, are going to cost much more, sometimes 3-4 times as much, as a standard efficiency 80% AFUE model.

A professional contractor will be able to help you understand which system is best, which are the highest efficiency, or even the cheapest heating systems to own, when it comes to your specific needs.

System Size, Accessories,  and Brand

Just like any product, the bigger it is… the higher price you can expect to pay. Larger homes require a much higher BTU rating, or heating capacity, to maintain a comfortable indoor temperature during the winter months. In addition, since the home is larger, forced air systems need bigger fan blowers, more supply and return air ducts, and more parts or components in general, to adequately heat the space.

Think of it this way… You could heat a doghouse with a compact, $35 space heater. However, if you took that same space heater into your home, you will have a hard time heating just one room.

In addition to the size, if you choose to install a central heating humidifier, a clean air system, new duct runs, or any myriad of indoor air quality accessories to the unit, you can expect the central heating quote to go up.

The heating system brand (Brand list at Furnace Compare) you choose to install is going to play an important role in what you ultimately pay for a central heating system cost as well. Manufacturers like Weil-McLane, Trane or Carrier are simply going to cost more than brands like Goodman or Tempstar.

This is not to say that the products are better or worse, however they do have better reputation and a much higher level of support from the contractors and manufacturers. Think of it like Toyota and Lexus… both are good quality and will get you where you want to go, but one is built and marketed for a completely different need than the other.

Location of the Main Central Heating Unit

Consider where your heating system is installed in, or maybe even on the roof, of your home. The physical location of the equipment within your home is going to add another factor to the central heating installation cost. The best possible places are the basement, garage or utility closet, since they are the easiest to access for the heating contractor.

A good way to measure how much this will factor into the cost of central heating, would be for YOU to go right now and put your hand on top of the heating unit in your home. Did you open a utility closet door and touch it in 3 minutes, or did you have to get out a ladder, open an access panel in the ceiling and climb halfway across your attic to get to it?

The easier it is to access your main heating system unit, the less this will factor into the installation cost.

Heating System Contractor Variables

The heating contractor itself is going to account for a large variable in the cost of installing central heating in your home as well. The heating contractors you see on TV advertisements have a much higher overhead cost than some of the smaller shops found in Craigslist or other local review sites.

Along with higher costs however, often comes a different level of service you may not find with smaller companies. Larger heating contractors tend to:

• Hold their employees to higher standards of professionalism.
• Require drug testing and uniforms for all employees.
• Provide 24 hour phone support (less call-backs, lower waiting time) for repair service.
• Get permits and inspections on every job (it’s for your safety)
• Stock more repair parts and equipment on their service vans.
• Stay current on industry trends from continuing education.
• Align themselves with the highest rated brands and equipment.

So, while smaller companies may be able to save a few dollars on the total cost of a new central heating system, you may have to sacrifice some of the benefits you expect from larger contractors. Cutting corners on the installation cost of central heating systems by choosing the lowest bidding contractor is not always a smart move! If “Contractor A” quotes your heating system at $3500, and “Contractor B” comes in at $6,500, there’s probably a very good reason why.

You should ALWAYS get at least 3 competitive heating system quotes, and make sure you understand everything that is being included in the cost.

Share Your own Experience

This page is designed to try to help consumers like yourself understand what goes into the cost of a central heating system for their home. If you recently replaced your system, or just want to share your own industry expertise, please join in the comments below. If you liked this page, feel free to link to it from your own website or share it with friends on Facebook or whichever social network you prefer.

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