Gas vs. Electric Furnaces in Colorado: A Cost & Efficiency Comparison

As crisp autumn evenings give way to the first winter cold snaps of the year, your family can’t afford to have an unreliable furnace. When it’s time to replace your unit, the biggest choice is between getting a gas vs. an electric furnace in Colorado. To help this decision, we’ll review the costs, performance, and long-term value of both options. 

For a professional evaluation and furnace installation in and around Fort Collins, reach out to Balance Point Heating, Cooling & Plumbing today.

Quick Safety Note: Your furnace replacement should only be handled by certified HVAC technicians. Gas furnaces must be properly vented, and gas line connections must be installed correctly. Otherwise, your furnace may develop a carbon monoxide (CO) leak. Electric furnaces involve significant amounts of electricity, so they must be handled by a professional as well. Never install a furnace on your own.

The Upfront Cost: Installation

When getting a furnace, the first thing to consider is the installation cost. Depending on the energy type, the furnace replacement cost in Fort Collins and Larimer County can vary.

Gas Furnace

A gas furnace installation is naturally more complex because it involves connecting natural gas lines and setting up venting. On high-efficiency models, you also need condensation lines. Thanks to all of the added complexity, labor, and components, the upfront price for a gas furnace will typically be higher than the cost of an electric furnace.

Electric Furnace

In comparison, an electric furnace doesn’t need a fuel line or venting. You can think of it like an incredibly powerful hair dryer. It just needs to be plugged into a high-amperage circuit, and it can begin blowing warm air into your home. Because of the more affordable equipment and simpler installation, electric furnaces have a lower upfront cost.

The Long-Term Cost: Monthly Bills

Another major factor in the heating cost comparison is the cost of gas vs. electric heat. Depending on which furnace you choose and the local utility rates, your monthly utility bills will vary.

Gas Furnace

In Northern Colorado, natural gas tends to be cheaper per unit of energy (BTU). Plus, modern, energy-efficient gas furnaces have 95% AFUE or more, so almost all of the gas is turned into heat. As a result, gas furnaces typically have lower monthly costs than electric furnaces. 

Electric Furnace

While electric resistance furnaces are 100% efficient at turning energy into heat, they still typically have higher monthly bills than gas furnaces. The cost to run an electric furnace in winter is higher because the price of a kilowatt-hour (kWh) is higher than the equivalent amount of energy from natural gas.

Performance & Comfort on a Cold Night

When sub-zero nights arrive along the Front Range, you need a furnace that will keep you warm. While both furnace types provide consistent heat, one of them stands out as the clear winner.

Gas Furnace

If you’re looking for a high-efficiency furnace in Colorado that provides hot, powerful heat, gas furnaces are the way to go. When sub-zero cold snaps arrive, these furnaces can quickly raise your indoor temperature level.

Electric Furnace

In comparison, electric furnaces are known for creating a steady, consistent heat. While it can effectively warm your home, it may require longer cycles to match a gas furnace’s powerful performance.

Why the Fort Collins Climate Matters

When considering a gas vs. electric furnace in Colorado, you need to consider the climate. Because of high-altitude considerations, gas furnaces must be precisely tuned for the thinner air. Electric furnaces don’t have the same requirement. 

However, finding the best furnace for high altitude is only one consideration. Powerful gas furnaces are ideal for our dry climate and sudden, deep freezes. Often, older homes in Old Town already have gas lines set up, reducing the cost of a gas furnace installation in Fort Collins. Meanwhile, the all-electric new builds in the Timnath/Windsor corridor are designed to use all-electric home heating, such as a heat pump or electric furnace.

Key Factors To Assess in Your Home

Besides looking at the electric versus natural gas furnace efficiency, it’s also important to consider the performance level you need, your existing setup, climate concerns, and other factors. 

• Existing Gas Lines: If your home doesn’t have an existing natural gas line, getting one installed can be expensive.
• Utility Bills: Check out your utility bills to review your current electricity and gas rates.
• Budget: Review your budget to see if you can spend more upfront on a gas furnace or if you need to get a budget-friendly electric installation.
• Solar Panels: If you plan on getting solar panels, these could offset the operational costs of an electric furnace.
• Sizing: Ask for a professional load calculation because the existing furnace may not be correctly sized. 
• Professional Installation Services: Always make sure your furnace installation and repairs are handled by professionals to ensure your family’s safety.

When To Call a Professional

Are you searching for an HVAC replacement near me? We can help. A new furnace is one of the largest investments you’ll make, which is why you need a professional HVAC technician to perform a detailed load calculation. We can determine the exact furnace capacity you need for a high level of energy efficiency and comfort. Then, we’ll give you a clear, itemized quote that covers all of the installation costs.

Future-Proofing Your Home: Heat Pumps & Dual-Fuel Systems

If you’re considering a heat pump vs. a furnace in Colorado, we can help. Cold-climate heat pumps are incredibly energy efficient and reduce the amount you spend on energy costs. With dual-fuel systems in Colorado, you get the efficiency of a heat pump and the power of a gas furnace. 

Dual-fuel systems are the ultimate heating solution in Colorado. They deliver powerful heat on the coldest days of the year and energy-efficient performance during the rest of the time. For flexibility and long-term efficiency, these systems are the best option in Northern Colorado.

Prepare Your Home for Winter

When choosing between gas vs. electric furnaces in Colorado, you have to decide if you want a gas furnace’s high upfront cost and low monthly bills or an electric furnace’s low upfront cost and higher monthly bills. Our team can evaluate your existing setup and help you make an informed decision. Through our convenient financing plans, we can also make getting a new installation as affordable as possible.

If you’re considering a new furnace, you don’t have to decide alone. Our certified HVAC technicians can help you find the right furnace in Fort Collins and across the Front Range. 

Call today for your free estimate.