How Much Does It Cost to Install or Replace a Boiler?

New Boiler Costs

Installing a new boiler costs $5,758 on average with a typical range between $3,677 and $8,261. A standard-efficiency model (80%-89% AFUE) runs an average of $3,000 to $6,000. High efficiency models (90%+ AFUE) cost $6,000 to $11,000. Of that, labor costs $1,000 to $2,500. The main cost factors you’ll need to consider include brand, BTU needs, type of boiler, and what you can reuse from your existing heating system.

Boilers are an energy-efficient and environmentally friendly mode of heating your home. They work by boiling cold water by passing it through a series of heated pipes. Then, they distribute the water or steam throughout the pipes in your home.

Boiler Installation Cost

Boiler Replacement Cost

The cost of replacing a standard gas boiler is about $4,000. A high-efficiency model costs about $7,500. This cost estimate usually includes removal and disposal of the old unit, as well as all necessary lines and wiring needed for the new system to run properly.

Corrosion-resistant materials in new tanks help give them an expected lifespan of about 30 years. Removing and replacing an oil tank requires permits, which your local fire department usually issues

Changing Boiler Types

Gas boilers are the most common and efficient on the market. If you have gas running to your home, it might make sense to make the switch. There are several costs to consider before you go this route.

• Gas-fired equipment: up to $5,000 less than oil-fired equipment.

• Gas delivery requires piping directly to your home. Oil gets delivered by truck.

• Gas line installation costs $2,500 on average. If you don’t already have a gas hookup, your local utility company will have to install one. They may offer a discount to win you over as a customer.

• Gas line hookup: $500–$1,000. A contractor will have to hook up the gas lines between the meter and your house.

• Chimney Liner: $750–$2,000. Your chimney will most likely need a new liner to accommodate the gas boiler exhaust.

• Old tank removal: $500–$1,500. Buried tanks need excavation. Removal then costs from $1,500 to $3,000.

Repair vs. Replace

Most boiler issues come down to weighing the costs and benefits of repair versus replacement. Boiler repairs cost $200 and $600 on average vs a new install costing 10 times as much. So how do you know what to do?

Follow the $5,000 rule to determine if you should repair or replace it.

Multiply the cost of repairs by the number of years you’ve owned the boiler. If it exceeds the price of a new install, or $5,000, replace it. If it’s less, then do the repair.

Three questions you should also ask yourself:

• How often has it needed repairs? If this is your first repair, your boiler may not need replacing just yet. Compare the cost of the repair to the cost of replacing by finding a boiler repair company near you.

• Has it been working fine otherwise? If your boiler has been providing comfort at appropriate levels and you’ve been maintaining your home’s insulation and seals at doors and windows, then there’s probably no need to replace it.

• Have you been inspecting it? Professionals recommend a yearly inspection. If an inspection uncovers multiple issues, consider replacing your system if it’s out of warranty.

The typical boiler has a life expectancy of 15 years. Boilers, like everything else, don’t last forever. With good maintenance and care, they can last a very long time. There are gas units still humming after 40 years and a coal-fired steam boiler still functioning after 134 years.

Add Zones in Hot Water System

Adding a second zone to an existing system costs $1,700 to $2,800, and another $350 to $500 per added zone. This involves extra wiring and hookups as well as cutting open walls, running electrical, and even sweating copper.

Residential Boiler Prices

Boiler prices range from $2,700 to $7,700 on average, not including labor and other costs. These prices typically reflect residential sized systems running between 80,000 and 200,000 BTUs.

It's important to install the right size boiler for your home. If your unit is too big or small, then you won't reap the energy savings benefits, regardless of the AFUE rating. To determine what size boiler you need, use one of the following two calculations.

Simple Calculation

To figure out the simple calculation, multiply the total square footage of your home by:

• Warm Climate: 30–40

• Moderate Climate: 40–50

• Mountain States and Colder Climates: 50–60

• Frigid Northern Climates: 60–70

This is an imperfect way to calculate your BTU needs, but it will keep you from buying a 200,000 BTU boiler when all you need is a 75,000 BTU one. Keep in mind a few things when using this calculation:

• For homes older than 20 years (which usually have less-efficient insulation), use the higher of the two numbers.

• For newer homes, use the lower.

• Well-insulated homes with newer windows can use the lower of the two numbers.

Manual J Calculation

This longer process, sometimes automated with software, uses specific factors of your climate and home to determine exactly how many BTUs your boiler needs to put out. A contractor may include it in his or her estimate, but you can also have it done independently for around $100.

The manual J calculation considers all the factors for your home, including:

• Foundation type

• Roof type

• Roof color

• Insulation values

• Windows

• Exterior doors

• Desired interior temperature

• House location

• House size

• Direction the house faces

• Construction materials used to build the house

• Landscaping that affects how much sun or wind hits the house

Boiler Costs by Fuel Type

Boilers cost anywhere from $3,000 to $11,000 to install but prices vary by type. You might also end up spending more on the fuel you burn. Each of the following choices has specific applications with benefits and drawbacks. These include:

Oil Boilers Price

Oil boilers cost $4,800 to $6,700. They run slightly higher than most gas furnaces because you’ll need an oil supply tank installed. Oil, which was once cheap, has grown increasingly expensive. The oil tank itself occasionally needs replacing, raising the lifetime ownership cost. You might save enough in lower heating costs to convert to a gas or electric boiler.

Propane & Gas Boiler Costs

Propane & natural gas boilers cost $3,700 to $10,000 for the unit and the labor to install it. As the most popular brand, you’ll find cheap parts and service for these systems. You’ll need a gas line running to your home.

• Conversion kits for natural gas to propane tend to vary by brand but run $50 to $300 on average. You can convert most, but not all, boilers from one gas to the other. Talk to your HVAC pro to find out if yours is convertible.

• Propane costs twice as much as natural gas but tends to be almost twice as efficient. Propane offers gas convenience for remote locations and off-grid living. However, you’ll need to pay for delivery fees, which vary by location.

Electric Boiler Cost

Electric boilers tend to run a bit cheaper than most at $1,500 to $6,500. While they’re extremely energy efficient, converting almost all the electricity into heat, they’re slow to do so. While they might be efficient, space-saving units with no flue needed, they have some serious drawbacks. They’re only useful in smaller homes or those in more moderate climates since they don’t generate as much heat as quickly as gas or wood.

Outdoor Wood Boiler

Outdoor wood boilers cost $6,000 to $20,000 for residential customers. Aptly named, they burn wood outside the house to heat water and circulate it throughout your home. These are excellent off-grid systems. Central Boiler specializes in boilers with wood varieties costing $9,000 to $19,000 to install.

Boiler Prices by Type

If you have a boiler installed or replaced, you might pay anywhere between $3,500 to $11,000. On average, homeowners tend to pay $5,500. These prices are highly dependent on the type of boiler you choose.

You have three main options:

• Standard boiler which only heats the home.

• Combi boiler which both heats the home and water for faucets and showers.

• System boiler which does the same as a combi boiler but also uses a tank to keep water hot for larger homes.

Any of these options also come in both standard and high-efficiency models.

Combi Boiler Price

A combi boiler costs $2,600 to $6,800 on average to purchase and install. This small, wall-mounted unit doesn’t have a storage tank so it makes a great solution for small apartments and studios. Think of a tankless water heater combined with a tankless boiler. It heats both the home and water for faucets and showers. But the space savings without the tank also means it works better in moderate climates with low water demands. It’s not a great idea for large homes.

System Boiler Cost

System boilers cost $3,000 to $5,500 on average to install. Also called sealed-system boilers, they maintain hot water in a storage tank to ensure fast delivery to multiple taps and heat the home. They work well in most average and large-sized homes.

Standard Boiler

A standard boiler costs $3,500 on average. Standard boilers are also known as conventional boilers. They heat water rapidly in the pipes that run through the tank and send hot water out to taps as necessary. Larger homes and buildings most often use standard models. These units are also popular for floor heating systems and other larger-scale tasks.

Boiler Costs by Brand

Steam vs. Hot Water Boiler Pricing

Water uses 25% less energy than steam. But steam carries and transfers heat better, meaning it’s better for colder climates and homes without much insulation. Steam boilers produce more heat and more rapidly than almost any other type of heating system.

Boiler Efficiency Ratings

Each boiler unit comes with an AFUE (annual fuel utilization efficiency) rating. Higher ratings mean they transfer energy into heat more efficiently, lowering your heating bills and your environmental impact. An AFUE of 90 means 90% of the energy supplied to the boiler transfers into actual heat in the home.

• High efficiency: AFUE of 90 or higher. They reduce heating costs by up to 30%.

• Standard: AFUE of 80 to 89. It comes standard in most homes. About 30% cheaper than high efficiency.

• Low Efficiency: AFUE of 56 to 70. These aren’t available anymore but still operate in some older homes.

Thermal efficiency represents what the furnace transfers from the heating chamber into the water. Over time, with corrosion, sediment buildup, or design flaws, thermal efficiency declines. So, you might start with a 90% AFUE, but over time, it might only perform at 80%.

Some other factors that affect your boiler's actual ability to heat your home include:

• Insulation costs $1,400–$2,300. Poor or damaged insulation can cause your home to lose heat through its walls and ceilings.

• Windows and door leaks are the single largest cause of heat loss.

If you suspect any of these problems, have your home tested. A home energy audit costs $200 to $600 and shows you how to save on your utility bill over time.

High-Efficiency Condensing Boiler Prices

High-efficiency boilers cost $6,000 to $11,000 on average to purchase and install. It’s more expensive, but you might save enough to offset the initial investment.

How Much Can You Save With a High-Efficiency Boiler?

• The national average monthly utility bill comes to about $120.

• About 60% of that comes from heating.

• Depending on your climate, insulation, and many other factors, you’ll save anywhere from $20-$30 per month.

• Over the 15-year life of your boiler, you’ll save $3,600-$5,400.

• You’ll also reduce your environmental impact by about 1.5 tons of carbon dioxide emissions per year or 22.5 tons over the life of the unit.

Permits

Installation permits run $50 to $300. If you’re installing as part of a new build, it’ll get included in your building permits. Building permits cost $350 to $1,800. Some local governments also require a fire inspection before heating system replacements. The fees for these are dependent on the size of the boiler and tend to run between $40 and $75.

DIY vs. Hire a Professional

You shouldn’t install a boiler yourself. You might damage the boiler or cause water damage to your floors and basement with improper hookups. A licensed HVAC professional can install it quickly and correctly. They also carry insurance, so in the rare case something goes awry, you’re covered. If you want a boiler, find a boiler installer near you for free quotes.

Plus, you’ll typically get a better deal buying from your installer. Some installers won’t put in a unit they don’t supply, and others charge extra. They mark them up from wholesale by about 30% to cover some of their overhead, like insurance, vehicles, and travel expenses.

FAQs

What is the difference between a boiler and a furnace?

The difference between a boiler and a furnace lies in how it heats the air.

• A boiler first heats water which travels through the home in pipes and through radiators to give off heat.

• A furnace heats coils and pushes air over the heated metal and throughout ductwork in your home.

What is the difference between water heaters and boilers?

While both a water heater and boiler heat water, they do it in different ways and for different purposes.

• A boiler heats your home. The boiler pushes water or steam through a closed-loop system or pipes and radiators that release heat in your home. You can outfit it with an indirect water heater or heat exchanger to also heat water for personal and appliance use. This makes it a combi-boiler.

• A water heater only heats potable water for use at faucets, showers, and appliances. It does not heat your home.

• A combi-boiler does both. It heats your home and heats water for use in bathrooms and kitchens.

Can a plumber install a boiler?

In many places, plumbers can install boilers. Usually, it gets done by an HVAC expert.

When should you replace your boiler?

Replace your boiler every 15 years. Also, consider replacing an older low-efficiency model with a high efficiency that reduces both your utility bill and carbon emissions.

How does a boiler work?

A boiler works by heating water as it runs through a series of metal pipes. It then pushes the water throughout pipes in the home, either to radiators or in-floor pipes which then give off heat.

How long do boilers last?

Boilers can last anywhere from 15 to 20 years. If you’re constantly repairing them or noticing they aren’t heating the home, consider replacing it.