Furnace Replacement Cost in Billings, Montana
Expect to pay $3,800 to $9,200 for furnace replacement in Billings, MT. Most homeowners end up near $6,800, depending on the equipment tier and how much of the old setup can be reused.
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Billings Weather and HVAC Load
Billings logs 6,753 heating degree days and 662 cooling degree days in a normal year, based on the closest NOAA weather station. Heating is the bigger job here, and furnaces and heat pumps in Billings put in far more hours than the air conditioner. On average, Billings gets 142 freezing nights and 32 days above 90°F per year. Snowfall averages about 57 inches. For a 2,000 sq ft house, this climate points to a heating load somewhere near 70,000 BTU/h. Treat that as a starting number. A Manual J calculation will move it up or down based on insulation and windows.
| Heating degree days / year | 6,753 |
|---|---|
| Cooling degree days / year | 662 |
| Nights at or below 32°F | 142 |
| Days above 90°F | 32 |
| Average low / high | 37°F / 59.4°F |
Billings Housing Stock
Half the homes in Billings were built before 1979 (Census ACS median), so the typical house is about 47 years old. A lot of these homes are on their second or third system by now. The ductwork is usually original, and leaky joints are common. Owners live in 64.8% of occupied homes, roughly 33,000 households. Homes here have a median value of $311,800 and households a median income of $71,855. Those two numbers drive the labor adjustment in our estimate.
Yellowstone County had 21 hail days and 32 days with damaging thunderstorm winds from 2020 through 2025, according to NOAA storm records. The largest hail reported was 2.75 inches across. Hail flattens the thin aluminum fins on condenser coils and cuts airflow. After a big storm, take a look at the outdoor unit; homeowners insurance often covers the damage. In Billings, 18.4% of residents are 65 or older. For older adults, a house with no heat in January or no AC during a heat wave is a medical risk. Mention it when you call, since many companies put those calls first.
When Replacement Makes Sense
- Some rooms stay cold, the burner short-cycles, or the ignitor keeps failing
- A tech found a cracked heat exchanger, or the CO detector has gone off
- Gas or electric bills keep climbing even though usage hasn't changed
- The furnace is 15 to 20 years old or more
What Moves the Price
- Permit and inspection fees, which the local building department sets
- New PVC venting if you move to a condensing model
- Single-stage, two-stage or modulating gas valve
- AFUE rating: a basic 80% unit vs. a 96% condensing furnace
- BTU size, which should come from a Manual J load calculation
- Condition of the existing ductwork and any changes it needs
We raised the national figures about 18% for Billings using local income, home values and the equipment size this climate needs. Real bids can still come in outside the range, so collect three written quotes.
What the Quote Should Cover
- Removing and hauling away the old furnace
- The permit and the manufacturer warranty registration
- The new furnace, filter rack and thermostat wiring
- Gas line and vent connections
- Combustion and safety tests
Montana Permits, Efficiency Rules and Rebates
Montana falls in the DOE's North region. New split central air conditioners must meet at least 13.4 SEER2, and heat pumps sold anywhere in the U.S. need 14.3 SEER2 and 7.5 HSPF2. Equipment replacements in Billings generally need a mechanical permit, and a reputable contractor will pull it for you. Ask for their Montana license or registration number and a certificate of insurance with the quote. The federal 25C tax credit ended for equipment installed after December 31, 2025, so incentives now come mostly from utilities and state programs. Check your electric and gas utility's rebate page before you pick equipment.
Before You Hire
- Ask for the Manual J load calculation in writing. Oversized furnaces are the most common mistake we see.
- Make sure all three quotes are for the same AFUE and staging, or you can't compare them.
- Look up utility rebates on 95%+ AFUE units before you buy.
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Furnace Replacement Questions from Billings Homeowners
How much is furnace replacement in Billings?
Plan on $3,800 to $9,200, with most jobs near $6,800. Equipment efficiency, house size and the condition of the ducts and wiring decide where your quote falls.
When is the best time to schedule furnace replacement in Billings?
Between late spring and early fall. Billings averages 142 freezing nights a year, and heating calls spike from November through February.
Is a high-efficiency furnace worth it?
In cold climates, a 95%+ AFUE furnace usually earns back the price difference in lower gas bills. Where winters are mild, the payback can take a very long time.
How long does a furnace replacement take?
A straight swap is usually done in one day, somewhere between 4 and 10 hours. Moving to a condensing furnace with new PVC venting can add a few more.
Furnace Replacement Near Billings
- Bozeman $4,600 to $11,200
- Missoula $4,000 to $9,700
- Great Falls $3,600 to $8,700
- Butte $3,500 to $8,600
Sources: U.S. Census Bureau ACS 5-year estimates 2019-2023 and 2024 population estimates; NOAA NCEI U.S. Climate Normals 1991-2020, station Billings Logan International Airport; NOAA Storm Events Database 2020-2025, Yellowstone County. Prices are our estimates, not contractor quotes. Updated 2026.