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Furnace Installation & Replacement

Furnace Installation & Replacement in Phoenix, AZ

The Valley built fast between 2000 and 2009. About 23.4% of Phoenix metro homes date to that decade, and the original furnaces in those homes are now 17 to 26 years old, well past the typical 15 to 20 year lifespan. In Gilbert the median build year is 2003, in Chandler it is 1997, and in Mesa it is 1989, according to a 2026 NAHB analysis of ACS data. Whether your home is from that era or your system has simply reached its end, the two things that matter most at replacement time are sizing it right for a Valley winter and having it installed correctly.

Rite Way installs and replaces gas and electric furnaces across the Phoenix area from our Gilbert office. We size every system with a load calculation, handle the gas or electrical connections, remove your old furnace, and test everything before we leave. Most installations are finished in a single day. We have provided Arizona homeowners with heating services since 1959.

View Heating Installation in Tucson.

When to Replace Your Furnace Instead of Repairing It

Most furnace problems are worth repairing. But some situations clearly point to replacement. Consider a new furnace if your system is showing several of the following:

  • The system is more than 15 years old
  • Repair costs are approaching half of what a new system would cost
  • Heating is uneven across different rooms
  • Energy bills have climbed steadily despite normal usage
  • The system needs repairs repeatedly across heating seasons
  • A cracked heat exchanger has been found, which is a replace-now situation at any age

If your home is from the Valley’s 2000s building wave and your furnace has never been replaced, it may be the original equipment and worth evaluating sooner rather than waiting for a breakdown.

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Why Phoenix Homeowners Choose Rite Way

Rite Way has been serving Arizona homeowners since 1959, and more than 5,000 Valley homeowners have reviewed our Phoenix team on Google at a 4.9-star rating. Our furnace installers work out of our office in Gilbert and serve homes across the Phoenix metro.

  • More than 5,000 Google reviews at a 4.9-star average from Valley homeowners
  • Serving Arizona homeowners since 1959, with our Phoenix team based in Gilbert
  • Licensed through the Arizona Registrar of Contractors
  • Background-checked, drug-tested technicians with ongoing training
  • Load-calculation sizing on every installation
  • 24/7 phone availability

Our Commitment to Phoenix Homeowners

Our Phoenix team works out of Gilbert and serves the full Valley, from the newer subdivisions in the East Valley to older neighborhoods in Tempe and Mesa where systems have been in place for decades. The age of your home and how it was built shapes what we recommend, and we take that into account before suggesting anything.

We give you a straight answer on repair versus replacement, walk you through the efficiency trade-offs that are specific to a short Valley heating season, and keep you updated from the first call through installation day. When the job is done, we remove your old furnace, test the new system, and make sure it is heating the way it should before we leave.

How a Furnace Earns Its Keep in the Phoenix Climate

According to NWS 1991 to 2020 climate normals for Phoenix Sky Harbor, the average low in December is 45.3°F and in January is 46.0°F. The heating season is short, and it has been getting shorter. December 2024 set the record for Phoenix’s warmest December on record, and December 2025 broke it.

For homeowners, that means the priority is right-sizing and reliability, not chasing maximum efficiency ratings. An oversized furnace in a mild Phoenix winter will short-cycle, wear out faster, and leave rooms unevenly heated. Getting the size right matters more than the last few points of efficiency, and that is where the load calculation is essential.

Choosing the Right Heating System for Your Valley Home

There is no single right answer for a Phoenix home. Here is how the main options compare.

Gas furnaces: Fast, powerful heat and a lower operating cost in homes with natural gas service. Gas furnaces are a reliable choice for Valley homes with natural gas service. They come in standard and high-efficiency models, and sizing them correctly for Phoenix’s mild winters is the most important decision in the process.

Electric furnaces: For homes without natural gas service, an electric furnace is a reliable option. Electric furnaces are simpler to operate and convert all their energy directly into heat, though they cost more to run than gas in most Valley homes given APS and SRP electricity rates.

Propane furnaces: For homes without natural gas service, a propane furnace delivers the same fast, powerful heat as a gas system. Our technicians work on propane systems and understand the pressure and valve differences involved. 

Heat pumps: A heat pump heats and cools in one system, which makes practical sense in a climate where the cooling season is long and the heating season is short. Heat pumps are efficient in mild temperatures and are worth comparing against a furnace for any homeowner facing a full system replacement.

Why Load Calculations Matter for a Phoenix Furnace

Sizing a furnace is not guesswork. We use a load calculation on every installation, accounting for your home’s square footage, ceiling height, insulation, window area, and layout.

The Phoenix climate adds a specific wrinkle. Systems are often selected primarily for summer cooling loads, which can leave the furnace component oversized for the Valley’s mild winters. An oversized furnace heats the space too quickly, shuts off before completing a full cycle, and restarts frequently. That short cycling puts unnecessary wear on components, creates uneven temperatures, and reduces efficiency. A load calculation catches this before installation rather than after.

Gas vs. Electric Furnace Efficiency (AFUE) in a Short Heating Season

Furnace efficiency is measured by AFUE, Annual Fuel Utilization Efficiency. A standard gas furnace runs at around 80% AFUE. A high-efficiency gas furnace runs at 90% or higher, with some models reaching 97% or 98%.

In a cold-climate city, upgrading from 80% to 96% AFUE can pay for itself relatively quickly. In Phoenix, because a Valley furnace runs far fewer hours per year, the payback period on a high-efficiency upgrade is longer. It can still make sense for homeowners planning to stay in the home for many years, but it is worth a real conversation about the numbers before upgrading.

Electric furnaces operate at 100% AFUE because all of the energy they use converts directly to heat. However, because electricity costs more per unit of heat than natural gas in most Valley homes, electric furnaces generally cost more to operate. We explain both options plainly so you can make the decision that fits your home and budget.

Our Furnace Installation Process

Here is what happens during a Rite Way furnace installation:

  • Review of your current heating system and a load calculation for sizing
  • Selection of a system matched to your home’s layout and fuel type
  • Removal of your old furnace when replacement is involved
  • Safe connection of gas lines or electrical wiring
  • Installation of filters and airflow components
  • Full system testing to confirm steady, safe heating before we leave

 

Most installations are completed in one day. Before installation day, clearing space around the furnace area, securing pets away from the work area, and removing stored items near vents helps the job go smoothly.

Financing a New Furnace in Phoenix

A new furnace is a meaningful investment, and spreading the cost over time makes sense for a lot of homeowners. Rite Way offers financing for qualified homeowners on new furnace installations. Ask about available plans when you call or visit ritewayac.com/phoenix/financing/ for more information.

New furnace installations come with a manufacturer warranty on the equipment and a 2-year labor warranty on the installation. New systems installed by Rite Way are also eligible for the Total Care Protection Plan, which includes one annual maintenance visit and extends your labor warranty to 10 years as long as you stay enrolled. If you sell your home, the warranty transfers to the new owner. Ask about enrollment when you call.

Thinking About a Heat Pump Instead?

Some Valley homeowners replacing a furnace choose a heat pump for the next system. It handles both heating and cooling in one unit, which makes sense in a market where cooling drives most of your energy costs.

Schedule Furnace Installation in Phoenix and the East Valley

Rite Way answers phones 24/7 and provides clear pricing before any work begins. Contact us to schedule a consultation or start an online heating and cooling estimate from home. For heating services in Gilbert and surrounding East Valley communities, our team is close by. Annual tune-ups after installation keep your system ready for each heating season.

Phoenix Furnace Installation and Replacement FAQs

What factors affect furnace installation cost?

Installation cost depends on system type, home size, efficiency level, and whether updates are needed for ductwork, electrical wiring, or gas connections.

Replacement makes sense when a furnace is more than 15 years old and facing a major failure, when repair costs approach half the price of a new system, or when a cracked heat exchanger is found.

Most furnace installations are completed in one day, though timing can vary based on system type, home layout, and whether any ductwork or gas line work is involved.

Yes. Furnace installation involves gas or electrical connections that require a licensed HVAC professional to ensure safe and code-compliant operation.

Yes. Rite Way offers financing for qualified homeowners on new furnace installations. Ask about available plans when you call or schedule your consultation.

If both are about the same age, it is often worth considering. Replacing them together lets the new equipment be matched and sized as a system. We will walk you through the cost of replacing one versus both.

Yes. From our office in Gilbert, we install furnaces across the Valley, including Chandler, Mesa, Tempe, Scottsdale, Glendale, Fountain Hills, and Sun City.

Standard gas furnaces run at around 80% AFUE, meaning 80 cents of every dollar of fuel becomes heat. High-efficiency models run at 90% or higher. In Phoenix, where the heating season is short, the payback period on a high-efficiency upgrade is longer than in colder climates. We will walk you through whether the difference makes sense for your home and how long you plan to stay in it.