Furnace Replacement Cost in Minnesota (2026)
A new furnace installed in Minnesota runs $4,500–$9,500 with us: 80% vs 96–98% AFUE prices, what moves a quote, and rebates now that 25C has ended.
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Furnace replacement in Eagan costs $4,500–$9,500 installed with us, sized by a Manual J load calculation and quoted in writing at a flat rate. Before we quote, we confirm your gas utility: depending on the address it's CenterPoint Energy, Minnesota Energy Resources or Xcel Energy, and each runs its own rebate program.
Most Eagan furnace replacements are basement swaps in 1980s and 1990s homes, and the decisions are efficiency, staging and venting. A two-stage or modulating furnace with a variable-speed blower suits the city's two-stories, since long low-fire cycles even out the floors. Many of these houses already vent through PVC, and we check that its diameter and length fit the new furnace's manual, since a longer run can call for larger pipe.
Townhome closets are tighter. The new furnace has to fit beside the water heater with service clearance, and a 96% model needs a vent route through the siding plus a condensate drain, often with a pump. Associations commonly want to approve new wall penetrations. On rebates, the gas bill decides: CenterPoint Energy, Minnesota Energy Resources and Xcel Energy each offer rebates on qualifying high-efficiency furnaces under their own rules, and some programs call for a participating contractor. We pull the mechanical permit.
Updated September 23, 2026
An installed furnace from us runs about $4,500–$9,500 in Eagan: 80% AFUE roughly $4,500–$6,000, 96–98% AFUE roughly $6,500–$9,500. Same prices in Eagan as in every town we serve. See the furnace replacement cost guide. For what drives a quote locally, see HVAC cost in Eagan.
Eagan takes two bills to sort out. Most homes are on Dakota Electric Association, whose Energy Wise Rebates cover heat pumps, ductless systems and AC tune-ups, with quality-installation rebates that need a registered contractor; part of northern Eagan is on Xcel Energy instead. Gas comes from CenterPoint Energy, Minnesota Energy Resources or Xcel Energy, each with its own programs, and CenterPoint lets you use any dealer for its furnace rebates. Which programs apply depends on your address. Rebate programs change every year, so check the utility's current terms before you buy.
Our guides: Xcel and CenterPoint rebates, heat pump rebates.

More detail on our furnace installation page.
Sometimes that's the practical choice. If the closet vents into a metal flue through the roof and there's no workable path for PVC through the siding, or the association won't approve one, an 80% furnace on the existing flue avoids the problem. You give up some efficiency over a long heating season. When a side-wall route is possible, we price both options so you can weigh the difference in writing.
Not necessarily. The buried walls of a lower level lose less heat than the floors above, while the glass on the walkout side loses more, and a Manual J counts both. Finished basements often get their heat from the same trunk as the main floor, so comfort there depends on supply and return registers as much as furnace size. Oversizing to fix a cool lower level usually just makes the furnace short-cycle.
A new furnace installed in Minnesota runs $4,500–$9,500 with us: 80% vs 96–98% AFUE prices, what moves a quote, and rebates now that 25C has ended.
Read the guideFurnace size comes from a Manual J heat loss at a -15°F design day, not square feet. Input vs output BTU, AFUE, why old furnaces run big and what to ask for.
Read the guideBang at startup, squeal, scrape, rattle, hum, click, whistle or a rumble after shutoff: what each furnace noise means and whether it's safe to keep running.
Read the guideFurnace replacement in Eagan? Call or send a request.