96% vs 98% AFUE Furnace: Worth the Upgrade in Minnesota?
A 98% AFUE furnace saves only about 2% more gas than a 96% model. Our condensing furnaces run $6,500–$9,500 installed. See what the extra buys.
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A replacement furnace for a Hudson home costs $4,500–$9,500 installed with us, sized by Manual J and quoted in writing at a flat rate. In the post-2000 subdivisions, the existing PVC venting can often carry over once we check its diameter and length against the new furnace's instructions.
Most Hudson replacements are condensing-to-condensing. The builder furnace from the 2000s comes out, a two-stage or variable-speed 96–98% model goes in, and the air exchanger, humidifier and AC coil get reconnected and rebalanced. Two-stories and walkouts here often have one thermostat for three levels, so a replacement is the right time to talk about zoning or a better return layout.
The older homes near downtown and the riverfront need the chimney conversation: an 80% furnace with a liner, or a condensing furnace with PVC and a plan for the orphaned water heater. Because Hudson is in Wisconsin, gas and electric come from Xcel Energy operating as Northern States Power–Wisconsin. Wisconsin's local building inspector issues the permit for a furnace replacement.
Updated October 27, 2026
By efficiency: 80% AFUE roughly $4,500–$6,000; 96–98% AFUE roughly $6,500–$9,500. See the furnace replacement cost guide.
Often it helps. Zoning adds motorized dampers and a thermostat for each level, so the walkout and the bedrooms call for heat on their own. It works best with a two-stage or variable-speed furnace that can run gently for one zone. Ducts have to be checked first, since zoning can't fix a starved return.
Often, but we check before assuming. The new furnace's manual lists the pipe diameter and maximum length for its size, and a longer run or extra elbows can call for larger pipe. Terminations have to meet clearance rules and sit above the snow line, and older glued joints sometimes leak. When the pipes pass, reusing them saves wall patching. When they don't, the change is in your written quote.
Signs your furnace needs replacing
A 98% AFUE furnace saves only about 2% more gas than a 96% model. Our condensing furnaces run $6,500–$9,500 installed. See what the extra buys.
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