In much the same way that modern automobiles are becoming far more fuel efficient every day, the rising price of energy in the form of oil, natural gas, propane and electricity has driven the market to design more and more efficient heating systems. In fact, today's furnaces can be many times more efficient than the old, outdated system that may be operating in your home!

Comparing Replacement Furnace Options
Of all the energy-consuming systems in your home, your heating and cooling systems account for the most energy use by a long shot. You can usually count on 35%-50% of your total utility expenses being attributable to heating and cooling. The more efficient your furnace is, the more you save as it generates heat for your home.

When shopping for a replacement furnace, bear the following terms in mind:

BTU Output: This describes how much heat (in British Thermal Units) is generated by the furnace.

Annual Fuel Utilization Efficiency (AFUE): This is a standard measure used to denote furnace efficiency, which measures the percentage of input energy the furnace is able to convert to output energy used for warming your home.

Furnace Configuration: A "low boy" furnace has its blower unit, or "air handler," located in the back of the heat exchanger, which allows for a shorter height. A "high boy" furnace has its air handler located underneath the heat exchanger, and is much taller.

Sealed Combustion Furnace: Also called a "high efficiency furnace," this system requires no chimney or indoor air for its combustion. Outside air is drawn in through a small pipe, and flue gases are blown directly outside by a small fan. No chimney is required for exhaust. Instead, flue gasses are cool enough to pass through a plastic pipe. This system is ideal for an energy efficient home that's properly air-sealed and insulated.

Atmospheric Combustion Furnace: This is a more dated system that requires a chimney, and relies on indoor air for combustion.

Furnace Type Breakdown
Furnaces are also categorized by the fuel type that is used to create heat in your home. Each system has its own advantages and disadvantages, which are summarized below:

Electric Furnaces: Electric furnaces are inexpensive to buy and install but notoriously expensive to operate. They'll cost you quite a bit more than other heating options for your home. Many homeowners who are not satisfied with the efficiency and performance of their electric furnaces have them replaced.

Gas Furnaces: Standard gas furnaces that are 10 years old or more may be operating with no malfunctions at all, but may nonetheless be converting gas to heat at 65% or lower efficiency. Modern sealed-combustion furnaces are much more efficient, operating at 90% efficiency or higher.

Oil Furnaces: The highly volatile prices of fuel oil make it very difficult to predict the possible costs of oil heat. ,. Like gas furnaces, outdated oil furnaces may be performing at 65% efficiency or lower, although they provide reliable heat, with few shutdowns. Modern oil furnaces with an Energy Star rating can operate at much higher levels of efficiency, operating at about 85% efficiency.

When Shopping For A New Home Heating System...
When you're considering improving efficiency at the location where heat is created, it's also worthwhile to consider where heat is lost in your home. It may be that the best way to enhance your home's energy efficiency is by air-sealing your home.

It's not uncommon for a home to have a large enough number of tiny gaps, openings, and holes in the "building envelope" to equal the size of a fully open window. Sealing these gaps is a one-time expense that can save you a bundle in your long-term heating costs. Typically, this can be done at a fraction of the cost of installing a new furnace!

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