How Much Does a New Furnace Cost in Los Angeles? [2025 Data]

Prepare to spend between $2,962 and $7,315 on new furnace costs in Los Angeles, California, including professional labor and materials. On average, though, Angelenos pay about $5,110 for furnace installation. Ultimately, your costs will depend on the type and size of your furnace, your HVAC contractor’s rates, and several other factors.

New Furnace Cost Factors

From type to size to efficiency rating, there are a number of variables that affect the price of a furnace. Let’s walk through the main cost factors.

Type of Furnace

When you think of furnaces, you might think of gas-powered models, but there are several other types of furnaces—and they come in a range of prices.

In terms of installation, electric furnaces cost less than natural gas and propane units. Oil furnaces—which aren’t as common in Los Angeles—are the highest-priced option.

Size of Furnace

Furnace sizes are listed in British thermal units (BTUs), which measure the unit’s heating capacity. Furnaces with higher BTUs produce more heat and can warm up larger spaces, so they cost more to install.

Here’s what you can expect to pay for the cost of a new gas furnace based on its size, excluding installation.

Keep in mind that most furnaces have between 40,000 and 120,000 BTUs. However, when it comes to furnace sizes, bigger isn’t necessarily better—especially in Los Angeles, where winters are mild. To determine the best size for your house, your HVAC installer will evaluate its square footage, insulation quality, ductwork condition, and multiple other factors. 

AFUE Rating

Furnaces also have different efficiency ratings, known as Annual Fuel Utilization Efficiency (AFUE) ratings, which measure how efficiently they convert fuel into heat. The most efficient furnaces (which have AFUE ratings of 90% or higher) also cost the most to install. 

In many cases, high-efficiency units are several times more expensive than standard or mid-efficiency models (with 80% to 89% AFUE ratings). However, since high-efficiency furnaces require less fuel, you may be able to offset the steeper upfront cost over time.

Ductwork Installation or Replacement

If your current HVAC system doesn’t include ductwork, you’ll need to add it. On average, installing new ductwork costs around $3,500.

Already have ductwork? Your HVAC contractor will check its condition before installing your new furnace, and if there are any gaps, cracks, or other damage, they may need to replace it. In Los Angeles, ductwork replacement costs typically range from $790 to $3,070.

Furnace Removal

If you’re replacing an old furnace rather than installing one for the first time, you’ll need to account for furnace removal and disposal as well. Your local furnace pro can take care of this for you. It should add a few hundred dollars to your project costs.

Furnace Pro Costs 

While the cost of the furnace itself plays a big role in your overall costs, also set money aside for other expenses, including labor, permits, and sales tax.

Licensing and Certification

When hiring an HVAC pro in Los Angeles, California, make sure they have an active C-20 Warm-Air Heating, Ventilating, and Air-Conditioning license from the Contractors State License Board (CSLB). You can look up a contractor’s license standing on the CSLB website.

Ideally, you should also hire a North American Technician Excellence (NATE)-certified HVAC professional. If someone has this nationally recognized certification, it means they have at least two years of industry experience and have passed a series of exams to test their understanding of essential HVAC topics.

Permits

The city of Los Angeles requires a mechanical permit for all furnace installations. Your contractor should obtain the permit and include the cost of the permit and any fees they charge for pulling it in their quote. You can expect to spend several hundred dollars on permit-related costs.

Rebates

SoCalGas customers can apply for a rebate after installing an Energy Star-certified natural gas furnace. Depending on your furnace’s AFUE rating, you can get between $1.40 and $25 back per 1,000 BTUs. For a 50,000-BTU furnace, that would be $70 to $1,250.

Sales Tax

Los Angeles has a higher-than-average sales tax rate of 9.75%, which can affect how much you pay for a new furnace. On a $2,000 unit, for example, you’d pay an additional $195 in sales tax.

Does Installing a New Furnace Increase Home Value?

In Southern California, heating isn’t as crucial as it is in colder parts of the country. However, there are definitely benefits to upgrading your furnace before selling your home. From a buyer’s perspective, it’s helpful to know they won’t have to install a new heating system for 15 or 20 years. Plus, if you choose a high-efficiency furnace, your home will be particularly attractive to buyers who want to cut back on energy bills or reduce their environmental impact.

With that said, a reliable cooling system in Los Angeles is arguably more important than heating, so it’s worth considering upgrading your air conditioner along with your furnace. By putting in an entirely new HVAC system, you could see a 5% to 7% jump in your home’s value.

How Angi Gets Its Cost Data

Home is the most important place on earth, which is why Angi has helped more than 150 million homeowners transform their houses into homes they adore. To help homeowners with their next project, Angi provides readers with the most accurate cost data and upholds strict editorial standards. We survey real Angi customers about their project costs to develop the pricing data you see, so you can make the best decisions for you and your home. We pair this data with research from reputable sources, including the U.S. Bureau of Labor Statistics, academic journals, market studies, and interviews with industry experts—all to ensure our prices reflect real-world projects. 

Want to help us improve our cost data? Send us a recent project quote to [email protected]. Quotes and personal information will not be shared publicly.