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Oil Boiler Cost

Oil Boiler Cost

National average
(1500 sq.ft. home - standard oil-fired boiler)
Low: $2,500 - $3,500

(basic oil-fired boiler)

High: $8,000

(high power boiler plus upgrades)

Cost to install a oil-fired boiler system varies greatly by region (and even by zip code).
Get free estimates from air-conditioning and heating contractors in your city.

How Much Does It Cost to Install a Oil-fired Boiler System?

An oil-fired boiler is a popular heating option in regions with limited access to natural gas. Although oil-fired boilers tend to be on the more expensive side to install, they are among the most efficient and powerful and could lower energy costs by up to one third. The cost to install an oil-fired boiler system for a standard 1500 square foot home is $3500-$5500. It is recommended to always hire a professional to install a new boiler.

Cost Breakdown

  • Materials: Plan to spend $2500-$3500 for an average oil-fired boiler. The price depends on the quality of the boiler and how energy efficient it is.
  • If the ductwork in your home is old or leaking, it will cost $35-$55 per linear foot to replace.
  • Labor: Most HVAC installers charge $85-$95 per hour and can install an oil-fired furnace within 8-12 hours ($680-$1140).

Enhancement and Improvement Costs

  • barometric flue damper 1 can help limit the amount of heat escaping through the chimney. This type of barometric damper typically cost $100 or less to install and can lower your energy bill by as much as 5%.
  • A chimney liner can be useful if you are upgrading to a high-efficiency oil-fired burner. They typically add $800-$1800 to your overall cost, but are effective in retaining heat.
  • A time-relay delay can be added to your boiler system that forces the boiler to use all residual water before heating up. This addition costs around $100 but can cut fuel costs by 10%.
  • A new thermostat 2 can increase your costs. Programmable thermostats average $50-$150, while smart thermostats run around $300 but are said to be more energy efficient.

Additional Considerations and Costs

  • Removing and disposing an old boiler system can increase your overall costs by up to $1200.
  • A high-efficiency boiler may be eligible for a tax rebate. Check with your tax specialist or contractor, as the regulations change each year and based on location. In many cases, you may be eligible for a $150 rebate.
  • Larger homes or homes with more heating areas require a more powerful boiler, which can increase your overall cost.
  • Older homes may have asbestos 3 in the ductwork, which will need to be removed and replaced. On average, it costs $400-$700 to remove asbestos from a 10 ft. section of ductwork and replace it with new ductwork.
  • Combination central heat and boiler systems (known as "combi") provide your home with two sources of heat, although they are not as common and may not pass inspection in some areas of the U.S. Combi systems cost on average $5000-$8000, plus the regular cost of installation.
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Remodeling Terms Cheat Sheet

Definitions in laymen's terms, cost considerations, pictures and things you need to know.
See full cheat sheet.
1 Barometric flue damper: A device installed in the flue between the boiler and the chimney to regulate the flow of air up the chimney
glossary term picture Thermostat 2 Thermostat: A device that senses and regulates temperature by turning heating and cooling devices on and off
3 Asbestos: A group of fire-resistant silicate minerals found in construction materials including paint, particularly in older homes. When the asbestos deteriorates, particles can become airborne and this is a serious health hazard.

Cost to install a oil-fired boiler system varies greatly by region (and even by zip code). To get free estimates from local contractors, please indicate yours.

Labor cost by city and zip code

Compared to national average
Akron, OH
Albuquerque, NM
Athens, GA
Atlanta, GA
Bakersfield, CA
Billerica, MA
Bristol, CT
Brooklyn, NY
Charlotte, NC
Chicago, IL
Cincinnati, OH
Cleveland, OH
Clinton, MA
Colorado Springs, CO
Columbus, OH
Corpus Christi, TX
Dallas, TX
Denver, CO
Detroit, MI
El Paso, TX
Epsom, NH
Eugene, OR
Fort Lauderdale, FL
Frederick, MD
Fremont, CA
Granby, MA
Hagerstown, MD
Harrisburg, PA
Houston, TX
Indianapolis, IN
Las Vegas, NV
Littleton, CO
Los Angeles, CA
Meriden, CT
Milwaukee, WI
Minneapolis, MN
Modesto, CA
Oakland, CA
Oklahoma City, OK
Orlando, FL
Philadelphia, PA
Rahway, NJ
Riverside, CA
Sacramento, CA
Saint Louis, MO
San Antonio, TX
San Diego, CA
San Francisco, CA
San Jose, CA
Seattle, WA
Labor cost in your zip code
Methodology and sources