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Rheem Furnace Prices – Is There Good Value in Rheem?

Rheem Furnace Prices – Is There Good Value in Rheem?

People used to ask us all the time about furnace prices, so we started this series of articles.  Today, we will discuss Rheem furnace prices.  Those of you who have read our articles, know that we are a small, U.S. Veteran-Owned heating and air conditioning company located in Southern California, and have built our reputation by giving straight, honest answers – this article will be no different.  You might also know that we are no fan of Rheem air conditioners, but rest assured, that opinion extends to their AC technology only – Rheem furnaces are reliable and provide some decent value to our customers.  In this article, we will discuss Rheem as a company, then we will discuss the Rheem furnace price value index, we’ll take a look at some actual Rheem furnace prices, and then we’ll finish off with the average Rheem furnace cost of installation.

Rheem furnace prices - logoRheem Furnace Prices – A Little About Rheem

Before we delve too deeply into analyzing Rheem furnace prices, let’s take a moment and look at Rheem as a company.  Those of you who have read our articles, know that we are NOT fans of Rheem air conditioners.  This stems specifically from the fact that they use a unique, “zig-zag” coil configuration, rather than the standard “A-frame” coil.  This leads to increased incidents of coil freeze-up, and makes it extremely difficult to clean them properly.  Further descriptions of why we do not recommend Rheem air conditioners is beyond the scope of this article, but if you are that interested, the article can be found here: Top 10 Air Conditioner Brands.

However, this analysis applies solely to their air conditioning technology.  Rheem furnaces are a whole different story, and the Rheem company themselves actually built their HVAC reputation with furnaces, not air conditioners.  Rheem was founded in California in 1925 by two brothers, and has been in the industry ever since.  Their furnace technology features all of the high-end options that their competitors do, including:

  • High efficiency furnaces up to 96% AFUE – AFUE stands for: Annual Fuel Utilization Efficiency, and is a measure of how much fuel your furnace translates directly into heat.  For instance, a 96% AFUE furnace transfers 96% of its energy into heating your home.  96%, in general, is a bit low for top-end models, as most competitors offer 98% models, but remember that Rheem specializes in affordable, entry-level products.
  • 20-year warranty on furnace heat exchangers, which matches the industry standard.
  • Available variable-speed, two-stage, and modulating valve technology.

For those looking for the quick answer, Rheem furnace prices range form around $440.00 t0 $2,700, based on models and sizes.

A Note About RUUD Furnace Prices

Those of you who have read through some of our articles, have noticed a trend – there are only a few furnace manufacturing companies, and they use different brand names to differentiate themselves in the marketplace; kind of like Toyota and Lexus – they are the same company!  RUUD furnace prices and specifications are very close to those of Rheem because they are the same company, so what I say today about Rheem, also applies to RUUD furnace prices.  I will not be writing a separate article for RUUD furnaces simply because they are just too similar to provide value in a different article.

Rheem Furnace Price Value Index

I know that you are all here for Rheem furnace prices, but just as I say in all of the articles in this series: hold on a second.  What does a price actually tell you?  A Porsche is an expensive car, but it is also a street-legal race car; faster, and more maneuverable than most others.  So, price doesn’t tell us much…for our customers, we are more concerned with value.  That is to say, is a furnace worth what you paid for it?  Are Rheem furnace prices reasonable for what you get, or are they overpriced?  For that, we’ll have to look at our Rheem furnace price value index.

Fortunately for you, the ASM team has crunched the data already.  We factored in a variety of factors, including: Rheem furnace prices, furnace prices by location, increased price for high-efficiency features, reliability, warranty programs, customer service, and various other inputs.  We then indexed them, and plotted them against the other major furnace brands.  Let’s see how Rheem furnaces did.

Rheem Furnace Prices - Price Value Index

Rheem Price Value Index Analysis

As you can see, the Rheem furnace price value index rated at 1.05, with a score of 1.0 being considered, “a fair price for the value received.”  What this tells me, is that they are priced properly for the value received by you – the consumer – in regards to their furnace products.  If you have read other articles in this series, then you will notice a sharp contrast to some of the other brands, like Lennox and Carrier, which were grossly overprices, or Day & Night and Goodman, which offered a terrific value to our clients.

This price value rating for Rheem was due to a variety of reasons, but to get to the point (since my wife, a Germanic-Swede, who believes that the art of writing lies in thrift, and who is constantly commenting on my “rambling articles”), they did a terrific job of pricing their products fairly.  They are not offering you a deal, by any means, but they are not overpricing their furnaces either.  So, if Rheem furnaces made it to your short list, then rest assured that Rheem furnace prices are fair for the value received.  If you’d like to see how the other brands did, take a look at the articles below:

And, if you are seriously in the market for a new furnace, this article will be useful:

Rheem furnace prices - Rheem furnace modelRheem Furnace Prices – The Numbers

Now the part that you’ve all been waiting for… Rheem furnace prices!  Please realize, however, that Rheem (and all of the other brands) have literally dozens of different furnace models, each of which comes in four to seven different sizes…all of which have a different price.  It is impossible for us to list every single model and size, so we picked a couple of the more common furnaces to give you a good idea.

The prices listed below are the actual Rheem furnace prices, called “wholesale contractor prices” – this is what we – as contractors – actually pay.

Rheem 80% AFUE, Classic Series, Single-Stage Gas Furnace – R801T – 40,000 BTU Size

Wholesale Contractors Price: $446.81

This is the workhorse of the Rheem furnace lineup, and I always include these on our furnace pricing articles.  For the majority of you out there, this furnace will more than suffice for your needs.  They are simple, reliable and reasonably priced.  “But Tim, my contractor is charging $5,000 to have this thing installed!”  Sorry, that’s a different problem altogether – today, we are just talking about the actual prices themselves.  This furnace features:

  • 80% AFUE Efficiency – this means that 80% of the fuel that is burned is translated into heating your house, and 20% is wasted.
  • Single-Stage Operation – this means that it is a basic furnace, with one burner.  Some furnaces, have two-stages, or “burners,” and can light them independently based on the needs of your home.
  • 40,000 BTU Size – this is a common size for smaller homes – the prices for your furnace will vary based on your own individual project and the required size.

Rheem furnace cost of installationRheem 95% AFUE, Classic Series, Single-Stage Gas Furnace – R96P – 53,000 BTU Size

Wholesale Contractors Price: $770.45

This furnace is a little bit more efficient than the last one, and I always like to include a furnace that is 90%+ AFUE for the northern states, where it is usually required to pass inspection.  This furnace is also well constructed, and doesn’t have many of the “bells and whistles” that the ultra-high-end models do.  That’s a good thing!  These features, in my opinion, are unnecessary, and just something else to break that will later need to be fixed.  When it comes to furnaces, I’ll use a military phrase – the Navy SEALs have a saying: “Keep it simple, stupid.”  This furnace features:

  • 95% AFUE – 95% is burned to heat your home, and only 5% is wasted.
  • Single-Stage Operation – this furnace only has one stage, vice two.
  • 53,000 BTU Size – again, your size will vary based on your project, and the price will too.

Rheem Furnace Cost of Installation

First, thank you for continuing to read, instead of just skipping to the good stuff.  Remember, the Rheem furnace prices are only part of a bigger picture – you still have to have your furnace installed.  In this section, we will spend a little time talking about the average cost of installation for Rheem furnaces.

Take a look at the graph below from Homeadvisor, and see what you notice…the average reported cost of a new furnace installation is $3,921, with a range of between $2,298 and $5,550.  What you may have also noticed, however, is two problems with this graph that will skew the prices unrealistically: first, it is a national average, and does not account for different prices in your area; second, it does not differentiate between brands.  So, this is the total average, for all brands, in the entire U.S.  Certainly interesting information, but we want to know about the average Rheem furnace cost of installation.

Rheem furnace prices - Rheem furnace cost of installation graph

Fortunately, to draw the conclusions we did in the Rheem furnace price value index above (that you all glazed over for and ignored – I was a flight instructor…teachers always know), we had to differentiate the brands on multiple levels, including the average cost of installation.  Once you differentiate the brands and only look at the Rheem furnace price of installation, you can draw the following observations:

  • Average Rheem furnace price of installation: $3,655
  • The average price of a Rheem furnace installation is 7% cheaper than the national average.

Final Thoughts on Rheem Furnace Prices

In the end, we can give you our opinions, but it is really up to you to decide whether or not Rheem furnace prices meet your budget and project requirements.  We may not like Rheem air conditioners, but their furnaces provide a decent value to our customers.  If you found this article on Rheem furnace prices useful, take a look the other articles in the series as well as additional articles on the ASM-air Blog.  If you live in Southern California, then you might be in our service area!  Click below for more information.

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