Gas furnace replacement cost in Houston, TX
Installed, 80,000 BTU, 95%+ efficiency
A typical furnace (80,000 BTU, 95%+ efficiency) costs about $4,800 installed in the Houston area, 1% below the national figure, because HVAC technicians here earn a median $28 an hour against $29 nationally.
Prices by size in Houston
| Size | Low | Typical | High | National typical |
|---|---|---|---|---|
| 60,000 BTU, 80% efficiency | $3,650 | $4,100 | $5,300 | $4,100 |
| 60,000 BTU, 95%+ efficiency | $4,350 | $4,700 | $5,650 | $4,750 |
| 80,000 BTU, 80% efficiency | $3,700 | $4,050 | $4,950 | $4,050 |
| 80,000 BTU, 95%+ efficiency | $4,400 | $4,800 | $5,800 | $4,850 |
| 100,000 BTU, 80% efficiency | $3,900 | $4,200 | $5,400 | $4,250 |
| 100,000 BTU, 95%+ efficiency | $4,550 | $4,950 | $5,900 | $4,950 |
Local labor: what HVAC technicians earn here
| Hourly wage | Houston metro | United States |
|---|---|---|
| 25th percentile | $23 | $23 |
| Median | $28 | $29 |
| 75th percentile | $36 | $37 |
The Houston market
The Houston Permitting Center requires a plumbing permit to replace or install a water heater and a permit to install, repair or replace a condensing unit. Furnaces fall under a separate Replace Heater Only mechanical permit. No homeowner route is stated: water heater permits go to a master plumber registered with the city, and HVAC permits to a contractor licensed by the Texas Department of Licensing and Regulation (TDLR) whose license is registered with the city. Inspections are required, and the city will only schedule one if the mechanical contractor's registration is in good standing. Humidity and heat shape equipment here, and EIA found 83% of Texas homes use central air. Pasadena, The Woodlands (Montgomery County) and Sugar Land handle permits separately from the city.
Gas furnaces in Houston run for a short heating season, while the AC carries most of the yearly load. An older furnace in decent shape can outlast the AC beside it. Ask for the furnace and the AC to be quoted separately so you can see what each part of the job costs. For an attic install, ask the technician to check the flue, the condensate line and the secondary drain pan.
Permits in Houston
| Permit for this job | Yes (condensing units: installation, repair or replacement; 'Replace Heater Only' mechanical permit for heating appliances) (source) |
|---|---|
| Fee | Water heater (plumbing): $34.24 each for first three heaters, $11.41 each additional, minimum permit fee $97.56 (page also states $91.05 elsewhere) plus $33.56 admin fee. Condensing unit: 2% of valuation + $46.35 plus $33.10 admin fee. Replace Heater Only: 2% of total job cost + $47.00 plus $33.56 admin fee. |
| Who can pull it | Licensed contractor only (City-registered master plumber for water heaters; TDLR-licensed mechanical contractor registered with City for HVAC); no homeowner route stated |
| Inspection | Yes |
Rebates in Texas
HEAR: announced, not open yet. HOMES: announced, not open yet. Source: Texas State Energy Conservation Office (Comptroller), checked October 13, 2026.
What these programs cover, and other states
Other systems in Houston
- Gas tank water heater
- Gas tankless water heater
- Central air conditioner
- Heat pump (ducted, outdoor unit + air handler)
Gas furnace cost in other metros
Sources
- Houston Permitting Center: water heater permit (HPWCODE1101)
- Houston Permitting Center: condensing unit permit (HPWCODE1022)
- Houston Permitting Center: Replace Heater Only permit (HPWCODE1031)
- Texas Comptroller: State Energy Conservation Office
- EIA, 2020 RECS: Highlights for space heating in U.S. homes by state
- EIA, 2020 RECS: Highlights for water heating in U.S. homes by state
- EIA, 2020 RECS: Highlights for air conditioning in U.S. homes by state
- BLS OEWS May 2025, Houston-Pasadena-The Woodlands, TX (49-9021 HVAC mechanics and installers)
- DOE Consumer Furnaces Final Rule TSD (Sep 2023), Table 8.2.12 (2022$); labor share from App. 8D (11.97 person-hours, $705 of $2,527)