- #furnace replacement
- #furnace cost
- #high-efficiency furnace
- #edmonton
- #gas permit
- #venting
Quick answer: A new high-efficiency gas furnace installed in Edmonton typically costs $4,800 to $7,500 for a single-stage 95–96% AFUE straight swap, and $6,500 to $11,000 for a two-stage or modulating 96–98% AFUE unit. Homes switching from an old chimney-vented furnace often add $400 to $1,500 for a chimney liner or re-venting the hot water tank. These are typical Edmonton ranges; your price is confirmed in writing before any work starts.
The rest of this guide is what goes into those numbers, what moves them up or down, and how to read a quote so you are comparing the same job from two contractors.
The 2026 price table
All figures are typical Edmonton ranges for 2026, in Canadian dollars, before GST.
| Item | Typical Edmonton range | Notes |
|---|---|---|
| Single-stage 95–96% AFUE furnace, installed (straight swap) | $4,800–$7,500 | Existing PVC venting, same location |
| Two-stage or modulating 96–98% AFUE furnace, installed | $6,500–$11,000 | Quieter, steadier heat, longer low-fire run times |
| Venting conversion extras (chimney liner or orphaned tank re-vent) | $400–$1,500 | Older homes leaving a chimney |
| Hot water tank replacement, power vent (if chosen instead of a liner) | $2,900–$4,500 | Solves the orphaned tank for good |
| Humidifier install on furnace | $500–$1,100 | Optional, common in Edmonton |
| Central AC installed on the new furnace and existing ducts | $4,800–$8,500 | If you add cooling at the same time |
| Cold-climate ducted heat pump, hybrid with furnace | $9,000–$18,000 | Gas furnace stays as backup |
| Furnace safety inspection with combustion/CO test | $149–$249 | If you want a second opinion before replacing |
The full list, including repairs, sits on the pricing page.
What a “straight swap” means
The low end of each range assumes a straight swap: the old furnace is already a high-efficiency unit with PVC intake and exhaust pipes, the new one goes in the same spot, the ductwork connections line up closely, the gas line and electrical are in reasonable shape, and the condensate drain has an easy path to the floor drain. That describes a lot of 1990s to 2010s houses in Windermere, Terwillegar, Summerside and the newer parts of Spruce Grove, where the builder-grade furnace is now reaching 15 to 20 years.
A straight swap still includes more than the box. The quote should cover removal and disposal of the old furnace, a new plenum transition where the cabinet sizes differ, gas connection and leak testing, new condensate trap and drain, venting checks, thermostat hookup, start-up with combustion readings, and the gas permit and inspection. A furnace replacement done properly takes most of a day for a straight swap.
What pushes the price up
Leaving the chimney. Since the end of 2009, every new natural gas furnace sold in Canada has to be at least 90% AFUE. If your current furnace is an old mid-efficiency unit vented into a brick or metal chimney, the new one vents through PVC pipe, usually out the side wall. That leaves the natural-draft hot water tank alone in a chimney sized for two appliances, where it may not draft properly. This “orphaned” tank is a standard line item in Edmonton homes built from the 1950s to the 1980s. The fix is a chimney liner, re-venting the tank, or replacing it with a power-vent tank, and the quote should name which one and why.
Stages and modulation. A single-stage furnace is either fully on or off. A two-stage furnace runs on a low fire most of the time and steps up on the coldest days. A modulating furnace adjusts in small steps. In a city where January daily means sit around -10°C and the heating season runs from late September to May, low-fire running is where the furnace spends its life, and that is what you pay for with the higher range.
Sizing and ductwork. A furnace should be sized to the house, not to the old furnace. Many older Edmonton furnaces were oversized, and an oversized furnace short-cycles, which is hard on parts and on the heat exchanger. Basement renovations that boxed in ducts or blocked returns can also mean the ductwork needs attention before a new furnace can work the way it is rated to. New ductwork may need its own permit.
Location and access. A furnace in a tight utility room under a low ceiling in a 1920s Garneau house, or one reached through a finished basement, takes longer to move in and out than one in an open unfinished basement.
Add-ons done at the same time. A humidifier, a new thermostat, a central AC coil, or a heat pump. Adding cooling while the furnace is being replaced often makes sense because the coil sits on top of the furnace, so the work overlaps.
Three example houses
These are typical cases with typical ranges, not quotes.
A 2006 two-storey in Windermere with a builder-grade furnace at 19 years, PVC venting through the side wall, and an unfinished basement. Single-stage straight swap in the same location: roughly $4,800 to $7,500. If the owners want the bonus room over the garage to stop running cold, a two-stage or modulating furnace at $6,500 to $11,000 is the better conversation.
A 1978 bungalow in Mill Woods with a mid-efficiency furnace and a 40-gallon atmospheric hot water tank sharing the chimney. New high-efficiency furnace plus venting conversion extras: the furnace range above, plus $400 to $1,500 for a liner or re-vent, or the owners choose a power-vent tank at $2,900 to $4,500 and solve the tank question at the same time.
A 1955 bungalow in Bonnie Doon on its second furnace, basement finished in the 1990s with returns boxed in. The furnace range above, plus the orphaned tank question, plus whatever the duct assessment finds. This is the kind of job where two quotes can differ by thousands for honest reasons, so read what is included line by line.
Permits, trades and the paperwork
Gas work in Alberta is done by a certified gasfitter, refrigerant work by a certified refrigeration and air conditioning mechanic, and a furnace replacement needs a gas permit that the contractor pulls, followed by an inspection. In Edmonton that goes through the City; in St. Albert, Sherwood Park, Spruce Grove and the other surrounding communities it goes through that municipality or its accredited agency. The permit is part of the job, and it belongs on the quote.
Warranty terms belong to the manufacturer and the installer’s written quote. Ask for both in writing, including whether the parts warranty needs registration after install.
Reading two quotes side by side
Line up the model, the AFUE rating, single-stage versus two-stage or modulating, and the listed extras. A $5,200 quote for a single-stage swap and a $7,900 quote for a modulating furnace with a liner are two different jobs, not one job at two prices. Check that each quote names the venting plan, the condensate drain route, the permit, disposal of the old furnace and start-up testing. If one contractor sized the furnace from the house and the other just matched the old nameplate, that tells you something.
One more rule that matters in Alberta: since 1 March 2019, door-to-door sales of energy-related home products, including furnaces, are banned. Anyone knocking on the door to sell you a furnace is breaking the rule. More on that in how to choose a furnace company in Edmonton.
Should you replace it at all
Not every old furnace needs to go. A 12-year-old furnace with a failed igniter needs a $225 to $450 repair, not a $6,000 replacement. A cracked heat exchanger, a furnace past 20 years, or repeated major failures in the last couple of winters are different stories. The full reasoning is in repair or replace your furnace, and if you are weighing a heat pump alongside the furnace, the heat pump installation page covers how a hybrid system works here.
Rebates and financing
Programs open and close. The federal Canada Greener Homes Grant closed to new applicants in early 2024. The City of Edmonton’s Clean Energy Improvement Program has offered financing for energy upgrades such as heat pumps, repaid through property taxes, in intakes that open and close. Check what is open at the time you buy, and treat any promise of a specific rebate amount at the door with caution.
Timing
Replacing a furnace in October is calmer than replacing one during a cold snap like the one in January 2024, when the region dropped into the -40s with wind chill. If your furnace is near the end of its life, get the quote in late summer or early fall, when you can compare options without a cold house pushing the decision. When a furnace fails outright in January, the replacement still gets done; you just have fewer days to think.
What to do next
Find the furnace’s model and serial number on the rating plate inside the door, note its age, and write down any repairs from the last two winters. Then request a visit. A free written quote for a replacement lists the furnace, the venting plan, the extras and the permit, with the price confirmed in writing before any work starts. If you would rather start with the furnace installation details, that page walks through the install day step by step.
