Convert Electric Furnace to Gas: Guide to Costs, Steps, and Considerations

Converting an electric furnace to a gas furnace can offer homeowners lower operating costs, improved comfort, and increased home value. This guide explains feasibility, cost breakdowns, required permits, installation steps, safety issues, and incentives to help homeowners make informed decisions.

Factor	Electric Furnace	Gas Furnace
Typical Fuel Cost	Higher In Many Regions	Lower Per BTU
Installation Complexity	Low	Moderate To High
Average Conversion Cost	N/A	$3,500–$12,000
Permits Required	Usually No	Yes—Gas Line & Mechanical
Lifespan	20+ Years (Electric Elements)	15–25 Years

How Converting From Electric To Gas Works

Converting an electric furnace to gas typically requires installing a new gas-fired furnace and associated gas piping, vents, controls, and safety devices. It is rarely a simple conversion of the existing electric unit because the heating technology and combustion requirements differ substantially.

Key Components added during conversion include a gas supply line, gas shutoff valve, gas furnace or boiler, venting/chimney or direct vent, combustion air provisions, and updated thermostat wiring or control interfaces.

Is Conversion Feasible For Every Home?

Feasibility depends on access to natural gas, physical space for a gas appliance and venting, structural layout, and local code requirements. If the home already has a natural gas service line on the street, adding an interior gas line is generally feasible; if the property lacks gas access, propane is an alternate option with different costs and logistics.

Factors Affecting Feasibility include: distance to the gas main, need for trenching or meter location, furnace closet dimensions, chimney condition, and existing ductwork compatibility with a new gas furnace’s airflow requirements.

Typical Costs And Pricing Breakdown

Conversion costs vary widely; a comprehensive budget helps set expectations. Typical U.S. cost ranges are between $3,500 and $12,000, depending on choices and site conditions.

Item	Typical Range
New Gas Furnace (Equipment)	$1,500–$5,000
Gas Line Installation	$500–$3,000+
Venting/Chimney Work	$200–$2,000
Electrical/Control Upgrades	$200–$1,000
Labor & Permits	$800–$3,000
Optional Propane Tank & Fill	$1,500–$4,000+

Gas Types: Natural Gas Vs. Propane

Natural gas runs through a municipal supply and typically offers lower operating cost and continuous delivery. Propane requires an on-site tank and deliveries, suitable where municipal gas is unavailable.

Consider natural gas if the utility is available nearby to save on long-term fuel cost. Choose propane if natural gas access is not possible or if the home is remote.

Permits, Inspections, And Code Requirements

Converting to gas almost always requires permits and inspections. Municipal codes cover gas piping, combustion air, venting, appliance clearances, and safety shutoffs. Work often triggers mechanical and sometimes plumbing permits.

Important Steps include: applying for a gas/mechanical permit, having licensed professionals perform work, and scheduling inspections for the gas line, appliance installation, and final safety checks.

Choosing The Right Furnace And Efficiency Ratings

Gas furnaces are rated by AFUE (Annual Fuel Utilization Efficiency). Higher AFUE percentages mean more efficient conversion of fuel to heat. Common tiers are mid-efficiency (80–85% AFUE) and high-efficiency (90–98% AFUE).

High-efficiency furnaces often require sealed combustion and PVC venting, plus condensate drainage, which may add installation complexity and cost but deliver lower operating bills.

Step-By-Step Conversion Process

Assessment And Planning

A certified HVAC contractor evaluates the home, inspects existing ductwork, determines needed venting and gas line routing, and provides a written estimate and equipment options.

Permits And Utility Coordination

The contractor pulls permits and coordinates with the gas utility for a new meter or service extension if needed. Meter installation may add cost and time.

Gas Line Installation

Licensed plumbers or gasfitters run the gas piping from the meter to the furnace location, install shutoff valves, pressure test the system, and obtain a gas leak inspection.

Removal Of Electric Furnace And Equipment Setup

The old electric furnace is disconnected and removed. The new gas furnace is set in place, connected to the ductwork and electrical controls, and secured per manufacturer specs.

Venting And Combustion Air

Depending on the model, installation will include a chimney liner, direct vent through an exterior wall, or PVC venting for high-efficiency units. Proper combustion air must be provided to prevent backdrafting and carbon monoxide risks.

Testing, Commissioning, And Safety Checks

The system is tested for gas leaks, correct pressure, proper combustion, combustion gas spillage, and thermostat operation. Installers should provide a commissioning report and demonstrate safe operation to the homeowner.

Safety Considerations And Carbon Monoxide

Gas appliances produce combustion gases; correct venting and annual maintenance are critical. Homeowners should install carbon monoxide (CO) detectors near sleeping areas and follow manufacturer service intervals.

Emergency preparedness includes knowing where the gas shutoff valve is and recognizing CO symptoms: headache, dizziness, nausea, and confusion.

Energy Savings And Payback Period

Energy savings depend on local fuel prices, furnace efficiency, and the home’s heating load. Many households see reduced monthly bills after conversion, with payback typically ranging from 3 to 10 years.

Estimate annual savings by comparing current electric heating costs to projected gas costs using local rates and expected AFUE-based fuel consumption.

Incentives, Rebates, And Tax Credits

Utilities and state programs often offer rebates for high-efficiency furnaces and conversions that reduce energy demand. Federal incentives may apply to certain efficient equipment under current tax or energy programs.

Homeowners should check local utility rebate portals, state energy office sites, and ENERGY STAR listings for eligible models to maximize incentives.

Hiring A Contractor: Checklist And Questions

Choose licensed HVAC or plumbing contractors with gas appliance experience. Verify insurance, local licensing, and references. Ask whether permits, inspections, and warranty registration are included.

• Is the contractor licensed for gas piping and appliance installation?
• Will the contractor handle permits and inspections?
• What is included in labor and warranty coverage?
• Can they provide a written combustion testing report?

When To Consider Alternatives

Alternatives to conversion include upgrading electric systems to heat pumps, which can provide efficient heating and cooling without gas. Heat pumps may be ideal in mild climates or for homeowners prioritizing electrification.

Compare stove-top costs, environmental goals, incentives for heat pumps, and the availability of contractors experienced with modern heat pump installations before choosing a path.

Typical Timeline From Assessment To Completion

Timelines range from a few days for straightforward installs with existing gas service to several weeks for projects requiring meter installation, trenching, or major vent work. Allow time for permit processing and scheduling inspections.

Homeowners should plan for potential delays due to supply lead times for high-efficiency furnaces or local permit backlogs.

Frequently Asked Questions

Will The Ductwork Need Replacing?

Often existing ducts can be reused, but they may need repairs, sealing, or resizing for optimal airflow. A contractor should perform a duct assessment and recommend improvements to maximize efficiency.

Can An Electric Furnace Be Reused With A Gas Burner?

Electric furnaces cannot simply accept a gas burner due to different heat exchangers, venting needs, and combustion safety. Replacing the entire furnace is the standard approach.

Are Gas Furnaces More Dangerous Than Electric?

Gas furnaces have combustion risks that require proper installation and maintenance; electric systems avoid combustion hazards but may cost more to operate. Both can be safe when installed and maintained correctly.

How Long Does A Gas Furnace Last?

Typical lifespan is 15–25 years, depending on maintenance, usage, and equipment quality. Regular annual servicing extends life and preserves efficiency.

Maintenance Tips After Conversion

Schedule annual professional tune-ups, replace filters regularly, keep vents and combustion air openings clear, and test CO detectors monthly. Record service dates and maintain a copy of the installation and commissioning report.

• Replace filters every 1–3 months depending on use and filter type.
• Schedule annual combustion and safety inspection before winter.
• Keep the furnace area clean and accessible.

Conversion Cost Example Scenarios

Scenario	Assumptions	Estimated Cost
Simple Replace With Nearby Gas	Existing gas service, minimal venting, mid-efficiency furnace	$3,500–$6,000
High-Efficiency Install With Meter Work	New meter, high-eff furnace, PVC venting, condensate drain	$6,000–$10,000
Propane Conversion Remote Site	Propane tank installation, long fill line, high-efficiency unit	$7,000–$12,000+

Next Steps For Homeowners Considering Conversion

Begin with an on-site assessment from at least two licensed HVAC contractors, request itemized bids, and verify permit handling. Compare expected energy savings to costs and explore rebates or financing options to improve affordability.

Actionable Steps: confirm gas availability, collect three quotes, check local incentives, and schedule permit application before work begins.

Resources And Where To Learn More

Useful resources include local utility energy efficiency pages, the U.S. Department of Energy guidance on heating systems, ENERGY STAR for furnace efficiency guidelines, and local building department permitting pages.

Contacting a reputable local HVAC contractor and the local gas utility will provide the most relevant, site-specific guidance for an accurate project plan.