Heating
Furnace replacement cost in Pierce County, WA (2026)
What a new gas furnace costs around Puyallup and Tacoma, what pushes the price up, and which rebates are left now that the federal tax credit is gone.
Short answer
A typical gas furnace replacement in Pierce County costs about $3,500 to $7,000. Pinnacle Air Control's estimate tool puts a standard swap at $3,519 to $5,386, depending on home size and equipment tier. New venting, gas line or duct work, and a move to a 95% efficiency furnace push the price up, and Washington sales tax (10.3% in Puyallup) applies to the whole job.
The federal 25C tax credit ended for systems installed after 2025, and Puget Sound Energy's 2026 rebates cover heat pumps, not gas furnaces.
Ballpark ranges by home size
Pinnacle Air Control's estimate tool gives a planning range for a new gas furnace based on home size and three equipment tiers. The low number is the entry tier and the high number is the top tier. Here are the same ranges the tool shows, in one table.
| Home size | Gas furnace | Gas furnace + central AC |
|---|---|---|
| 500 to 900 sq ft | $3,519 to $4,407 | $7,975 to $9,813 |
| 901 to 1,200 sq ft | $3,519 to $4,407 | $7,975 to $9,813 |
| 1,201 to 1,500 sq ft | $3,592 to $4,545 | $7,975 to $9,813 |
| 1,501 to 1,850 sq ft | $3,592 to $4,545 | $8,086 to $9,786 |
| 1,851 to 2,150 sq ft | $3,628 to $4,677 | $8,086 to $9,786 |
| 2,151 to 2,500 sq ft | $3,628 to $4,677 | $8,340 to $10,195 |
| 2,501 to 3,100 sq ft | $3,699 to $5,386 | $8,589 to $10,576 |
Treat these as a starting point. The tool does not know where your furnace sits, what shape the venting is in, or whether the ducts need work, and those are the things that move a real quote. Final pricing is set after Dennis sees the equipment and the space. The tool also shows a single range, so ask whether any written quote you compare includes Washington sales tax, which is covered below.
Get a ballpark for your home
Enter your city, square footage, and what you are replacing. If the range works for you, book a free estimate and Dennis will give you the real quote. There is no obligation.
Prefer the full-page version? The estimate page has the same tool plus notes on what it covers.
How those numbers compare with published data
National cost guides land in the same area. Angi's Seattle page puts the average new furnace at $4,683, with most projects between $2,762 and $6,683. Its national page reports a $4,814 average across 11,869 projects. Trane's 2026 pricing guide runs higher because it quotes its own branded tiers, product and labor, before tax.
| Source | What it covers | Range | Updated |
|---|---|---|---|
| Pinnacle estimate tool | Gas furnace, 500 to 3,100 sq ft | $3,519 to $5,386 | Sep 2026 |
| Pinnacle furnace installation page | Typical gas furnace install in Puyallup | $3,500 to $7,000 | 2026 |
| Angi, Seattle | New furnace, installed (average $4,683) | $2,762 to $6,683 | Jul 9, 2026 |
| Angi, national | New furnace, installed (average $4,814) | $2,823 to $6,896 | Sep 8, 2026 |
| HomeGuide, national | Standard efficiency furnace, installed | $3,500 to $7,500+ | Dec 31, 2025 |
| Trane pricing guide | Trane 80% AFUE furnace, product and labor | $5,093 to $6,386 | May 26, 2026 |
| Trane pricing guide | Trane 96% AFUE furnace, product and labor | $6,630 to $8,390 | May 26, 2026 |
What moves the price
Efficiency: 80% or 90% and up
AFUE is the share of the fuel a furnace turns into heat over a year. An 80% furnace sends hot exhaust up a metal flue or chimney. A condensing furnace, rated 90% or higher, pulls so much heat out of the exhaust that water condenses inside it, so it vents through plastic pipe and needs a drain for that water.
That changes the install. Oak Ridge National Laboratory notes that a condensing furnace cannot use an existing chimney or B-vent. If a gas water heater shared the old flue, it can be left venting alone through a flue now too large for it, which is a carbon monoxide risk, and correcting that adds cost.
Installed gas furnace cost by efficiency tier
Size, not just tier
Bigger is not better. The Department of Energy's Building America program notes that an oversized system cycles on and off too often, which hurts comfort and efficiency, and it points to an ACCA Manual J load calculation to size equipment. A new furnace should be sized to the house, not copied from the old unit's label.
Venting, gas, ducts, and the rest
These line items come up on some jobs and not others. The ranges below are national figures from cost guides; the permit line is Pierce County's own 2026 fee.
| Item | When it comes up | Published range |
|---|---|---|
| Flue pipe replacement | Worn or undersized vent on an 80% swap | $400 to $800 |
| Chimney liner | Water heater left alone on a masonry chimney | $900 to $3,800 |
| Gas line work | New location, larger furnace, or old piping | $350 to $2,000 |
| Duct repairs | Leaks or damaged runs near the furnace | $300 to $1,500 |
| Duct replacement | Undersized or failing ductwork | $1,400 to $5,600+ |
| New thermostat | Old thermostat does not match the new furnace | $200 to $500 |
| Old furnace removal | Usually part of the quote; ask | $50 to $200+ |
| Mechanical permit, unincorporated Pierce County | Every replacement | $75 base (2026) |
Access matters too. Angi's Seattle page puts labor at 20% to 30% of the total, and a furnace in a tight crawlspace or attic takes longer to swap than one in a garage.
Permits in Pierce County, Puyallup, and Tacoma
A furnace replacement needs a mechanical permit in all three jurisdictions. Ask whether the permit is included in any quote you compare. Pinnacle obtains the required permits on its jobs and coordinates the inspections with the city or county.
Unincorporated Pierce County
The county's permit FAQ says replacing these fixtures does require a permit, citing IRC Section R105.1 and UPC Section 103. Pierce County Code 17C.10.070 sets the 2026 fees: a $58 issue fee, $17 for a furnace up to 100,000 Btu/h including its ducts and vents, and $5.80 for one to four gas piping outlets. The issue and furnace fees rise to $63 and $19 in 2027. South Hill, Frederickson, Spanaway, and Graham are unincorporated, so this is the schedule that applies there.
Tacoma
The City of Tacoma's permit FAQ says mechanical permits are required for the replacement of mechanical systems, gas lines included. Its tip sheet G-314 lists a like-for-like furnace or heat pump replacement as eligible for over-the-counter issuance. Fees come from the city's online fee estimator.
Puyallup
Puyallup adopts the International Mechanical Code in Puyallup Municipal Code 17.04 and issues a residential mechanical permit through its online portal. Fees are set in the city's annual fee schedule.
Electrical permits
Electrical work on a furnace falls under Washington's electrical permit rules, separate from the mechanical permit. Washington L&I issues those permits in Puyallup and most of unincorporated Pierce County. Tacoma Power issues them for properties it serves in Tacoma, Fife, University Place, and unincorporated Pierce County as far south as Roy.
Washington sales tax applies to the whole job
Under RCW 82.04.050, installing equipment in an existing home is a retail sale in Washington. WAC 458-20-170 has the contractor collect sales tax on the full contract price, labor included, at the rate for the address where the work happens.
| Job location | Combined rate | Tax on a $5,000 job |
|---|---|---|
| Puyallup | 10.3% | $515 |
| Tacoma | 10.5% | $525 |
| Unincorporated Pierce County, inside the Pierce Transit district | 10.2% | $510 |
| Unincorporated Pierce County, outside it | 9.6% | $480 |
South Hill and the other unincorporated areas fall in one of the last two rows depending on the address.
Rebates and tax credits in 2026
The federal Energy Efficient Home Improvement Credit, Section 25C, is gone for new installs. The IRS instructions for Form 5695 say the credit can't be claimed for property placed in service after December 31, 2025. Until then, a qualifying gas furnace could earn up to $600.
Puget Sound Energy no longer lists a gas furnace rebate; its 2026 heating rebates page covers heat pumps only. Two PSE offers can still matter on a furnace job:
- A smart thermostat rebate of $75, or $175 with PSE's income-based Efficiency Boost, for a qualifying thermostat bought in 2026 when your main heat is PSE gas or PSE electricity.
- A hybrid heat pump rebate of $1,500, or $2,400 with Efficiency Boost, for adding a ducted heat pump to a home heated by a PSE natural gas furnace. The heat pump carries the load until the outdoor temperature drops to a switchover point, which PSE requires to be 30°F or lower, and then the furnace takes over.
PSE requires the installer to be a PSE Recommended Energy Professional or Trade Ally for its heat pump rebates, so confirm that before you sign. If your electricity comes from Tacoma Power, its heat pump rebates run $650 to $2,000 for homes with electric heat, plus $1,000 for a variable-speed heat pump in a home heated another way, and Tacoma Power requires one of its participating contractors. Smaller utilities in the county, such as Elmhurst Mutual, Parkland Light & Water, and Ohop Mutual, post their own programs.
Repair or replace: two quick tests
ENERGY STAR suggests weighing a replacement once a furnace is more than 15 years old. For the close calls, contractors lean on two rules of thumb.
Trane's $5,000 rule multiplies the furnace's age by the repair quote. A result above $5,000 points toward replacing. The 50 percent rule, also on Trane's site, says that when a repair costs near or above half the price of a new system, replacement is worth considering.
| Furnace age | Repair quote | Age × quote | The rule suggests |
|---|---|---|---|
| 6 years | $450 | $2,700 | Repair |
| 12 years | $400 | $4,800 | Close call |
| 16 years | $600 | $9,600 | Price a replacement |
A rule of thumb cannot see the whole picture. A failed part on a young furnace may be covered by the parts warranty, while a cracked heat exchanger on an older unit usually means a new furnace. Pinnacle's position is on its about page: if repair makes more sense than replacement, Dennis says so, even when replacement would pay more. For the warning signs, see how long a furnace lasts.
The federal 95% furnace rule
A Department of Energy rule published December 18, 2023 requires new non-weatherized gas furnaces, the indoor kind most homes use, to reach 95% AFUE, with a compliance date of December 18, 2028. That would end new 80% models for those installs.
The rule is in litigation. On June 8, 2026 the U.S. Supreme Court vacated an appeals court decision that had upheld it and sent the case back for another look. Gas industry groups have also petitioned DOE to push the date to January 1, 2030 at the earliest. As of mid-September 2026, DOE has not announced a change and the standard remains in effect.
If your furnace sits somewhere plastic vent pipe would be hard to route, ask about venting now so a future replacement does not come with a surprise.
How long a furnace replacement takes
Most like-for-like replacements are done in a day. Lennox puts a typical install at 4 to 10 hours, and Angi says 4 to 8. New venting, duct changes, and tight crawlspaces or attics add time.
Frequently asked questions
How much does it cost to replace a furnace in Puyallup?
Pinnacle Air Control's furnace installation page puts a new gas furnace in Puyallup at $3,500 to $7,000, depending on efficiency, brand, and installation details. The estimate tool gives a ballpark of $3,519 to $5,386 for a standard replacement, before any venting, gas line, or duct changes.
Do you need a permit to replace a furnace in Pierce County?
Yes. Unincorporated Pierce County, Tacoma, and Puyallup all require a mechanical permit to replace a furnace. In unincorporated Pierce County the 2026 fees start at a $58 issue fee plus $17 for a furnace up to 100,000 Btu/h.
Is furnace installation labor taxed in Washington?
Yes. Washington treats installing equipment in an existing home as a retail sale, so sales tax applies to the full contract price, labor included. The combined rate is 10.3% in Puyallup and 10.5% in Tacoma as of July 1, 2026.
Is there a federal tax credit for a new furnace in 2026?
No. The IRS says the Energy Efficient Home Improvement Credit cannot be claimed for property placed in service after December 31, 2025. Before that, a qualifying gas furnace could earn up to $600.
Does PSE give a rebate for a new gas furnace?
Not in 2026. Puget Sound Energy's heating rebates now cover heat pumps only. PSE still offers a smart thermostat rebate and a hybrid heat pump rebate for adding a heat pump to a home heated by a PSE gas furnace.
How long does a furnace replacement take?
Most like-for-like replacements take one day. Lennox estimates 4 to 10 hours for a typical install, and new venting or duct changes add time.
Get a real number for your home
Dennis quotes furnace replacements across Puyallup, South Hill, Tacoma, and the rest of Pierce County, and he will tell you if a repair makes more sense. Read more about furnace installation and replacement in Puyallup.
Sources 33 sources, click to expand
- Pinnacle Air Control, Ballpark HVAC estimate tool (accessed September 16, 2026).
- Pinnacle Air Control, Furnace installation and replacement in Puyallup, WA.
- Angi, How much does a new furnace cost in Seattle? (updated July 9, 2026).
- Angi, How much does it cost to install a new furnace? (updated September 8, 2026).
- HomeGuide, Gas furnace prices (updated December 31, 2025).
- HomeGuide, New furnace replacement cost (updated December 31, 2025).
- HomeGuide, Furnace flue pipe replacement cost (March 7, 2025).
- Trane, HVAC replacement cost guide (modified May 26, 2026).
- Oak Ridge National Laboratory, Condensing furnace venting, ORNL/TM-2014/624 (October 2014).
- U.S. Department of Energy, Building America, Proper sizing of HVAC systems.
- Pierce County, Permit FAQ: replacing fixtures.
- Pierce County Code, 17C.10.070 fee schedule (Ord. 2025-549).
- City of Tacoma, Permitting FAQs.
- City of Tacoma, Tip sheet G-314, over-the-counter permit requests.
- City of Puyallup, Puyallup Municipal Code 17.04, building codes.
- Washington State Department of Labor & Industries, City electrical permits and inspections.
- Washington State Legislature, RCW 82.04.050, retail sale defined.
- Washington State Legislature, WAC 458-20-170, constructing and repairing structures.
- Washington State Department of Revenue, Local sales and use tax rate table, July 1 to September 30, 2026.
- IRS, Instructions for Form 5695 (updated April 30, 2026).
- IRS, Energy Efficient Home Improvement Credit (reviewed April 28, 2026).
- Puget Sound Energy, Heating rebates.
- Puget Sound Energy, Hybrid heat pump rebate.
- Puget Sound Energy, Smart thermostat rebate.
- Tacoma Public Utilities, Tacoma Power heat pump incentives (modified September 4, 2026).
- ENERGY STAR, When to replace heating and cooling equipment.
- Trane, Should you repair or replace your heating and cooling system? (modified February 2, 2026).
- Trane, Repair or replace (June 18, 2026).
- Federal Register, Energy conservation standards for consumer furnaces, final rule (December 18, 2023).
- ACHR News, 95% furnace efficiency rule to get new hearing (June 9, 2026).
- Federal Register, Petition to extend the consumer furnace compliance date (April 27, 2026).
- Lennox, How long does it take to install a furnace? (November 24, 2025).
- Angi, How long does it take to install a furnace? (July 9, 2026).
Keep reading
-
Heating
How long does a furnace last?
Lifespan figures from ENERGY STAR, DOE, and manufacturers, western Washington factors, warning signs, and repair or replace tests.
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Heat pumps
Heat pump maintenance: what you can do and what a tune-up covers
A homeowner checklist, what a professional tune-up covers, winter defrost and steam, wildfire smoke filters, and warranty registration.
