Gas vs. Electric vs. Oil: Comparing Types of Furnaces
When comparing Carrier gas, electric, and oil furnaces, the best choice depends on your climate, fuel availability, installation requirements, and long-term operating costs. Carrier gas furnaces offer high-efficiency heating for cold climates, while Carrier electric furnaces provide quiet, low-maintenance operation and Carrier oil furnaces provide a heating option for homes without access to natural gas.
With more choices than ever when buying a new furnace, the decision usually starts with the fuel source. . Carrier offers gas, electric, and oil furnace options designed for different home heating needs.
Carrier Furnace Comparison
| Furnace type | Typical efficiency | Fuel/energy source | Typical heating capacity | Typical installation considerations |
|---|---|---|---|---|
| Carrier gas furnace | Up to 98.5% AFUE, depending on model | Natural gas | Approximately 40,000–155,000 BTU/h, depending on model | Requires gas service and venting |
| Carrier electric furnace | Up to 100% AFUE at the point of use | Electricity | Approximately 9,000–29,000 BTU/h, depending on model | Does not require combustion venting or a gas connection |
| Carrier oil furnace | Up to approximately 86.8% AFUE, depending on model | Heating oil | Approximately 56,000–140,000 BTU/h, depending on model | Requires oil storage and delivery |
AFUE (Annual Fuel Utilization Efficiency) measures how efficiently a furnace converts fuel into usable heat over a typical heating season. Electric resistance heating can approach 100% AFUE because essentially all the electricity entering the furnace is converted to heat at the equipment. However, AFUE does not account for the cost of generating and delivering electricity, so operating costs can vary significantly by location.
Daniel Donahue, general manager of Mullen Refrigeration Service in Latrobe, Pennsylvania explains how homeowners can choose between a gas, electric, or oil furnace.
"The right furnace choice often depends on where you live and which energy sources are available in your area. In many cities and suburban communities, natural gas infrastructure is readily available, making a gas furnace one of the most popular and cost-effective heating options. Natural gas furnaces provide reliable, efficient heating and can offer advanced features such as variable-speed operation, enhanced comfort control, and high-efficiency performance."
Gas vs Electric Furnace
Carrier's gas and electric furnace portfolios provide different approaches to heating: Carrier gas furnaces use natural gas combustion to heat air, while Carrier electric furnaces use electric resistance heating elements.
The gas vs electric furnace comparison obviously starts with fuel source, but there are significant differences in furnace installation, operating costs, and expected lifespan.
Efficiency and Climate Suitability
Carrier gas furnaces are available with AFUE ratings up to 98.5% in the 59MN7 Infinity 98 Gas Furnace. High-efficiency gas furnaces can be particularly well suited to colder climates, where furnaces operate frequently throughout a longer heating season. Learn more about high efficiency gas furnaces.
Installation and Maintenance
When looking at electric furnace vs gas models, Carrier electric furnaces can have a simpler installation because they don't require combustion venting or a natural gas connection.. Electric furnaces don’t require venting systems or gas hookups and can cost less to purchase and install. Gas furnaces require more standard furnace maintenance, so those costs will be higher. However, electric units are often quieter and can last longer due to fewer moving furnace parts.
Gas vs Oil Heating
Comparing an oil furnace vs gas heating often comes down to infrastructure: natural gas requires access to a gas distribution system, while oil furnaces use fuel stored in a tank that can be replenished through local delivery.
"For homeowners in rural areas where natural gas service isn't available, oil heating remains a common solution," Donahue said. "Oil furnaces produce a powerful, comfortable heat that many homeowners appreciate, especially in colder climates.,
Cost and Convenience
Natural gas furnaces typically have lower initial costs for the furnace itself. However, the gas is supplied through a pipeline infrastructure, which is a limiting factor for some homeowners.
Heating oil contains approximately 138,500 BTU per gallon, providing a high amount of energy in a relatively small volume of fuel. However, furnace efficiency determines how much of that energy is converted into usable heat. Carrier oil furnaces offer AFUE ratings of up to approximately 86.8%, depending on the model.
Oil burning furnaces convert more heat per BTU than other heating sources. However, comparing fuels based only on BTUs can be misleading because the amount of usable heat depends on the furnace's efficiency and the cost of each fuel in your area.
"Oil systems typically come with higher operating costs due to fluctuating fuel prices and the need to store and replenish fuel throughout the heating season," Donahue said.
Maintenance Needs
Both types require regular upkeep, but gas furnaces avoid the soot and dirt buildup common in oil furnaces, which can add time and cost for professional cleaning. Learn more about oil furnace cleaning and the importance of regular HVAC maintenance.
Oil Furnace vs Electric Furnace Cost
In an electric vs oil furnace comparison, Carrier oil furnaces and electric furnaces have different installation and operating considerations. Oil systems require fuel storage and delivery, while electric systems require an adequate electrical supply and can avoid combustion-related equipment.
Upfront Investment
Average cost, including furnace installation, is more for an oil furnace compared to electric. If you need to install a tank for fuel oil, add roughly two thousand dollars to that total cost. Both types are often installed as central, forced air systems. Learn more about the cost of a furnace.
Comfort and Operating Costs
The cost to operate an electric or oil furnace depends heavily on local electricity and fuel-oil prices, furnace efficiency, climate, and how much heating the home requires. A higher AFUE rating does not necessarily mean lower annual heating costs because the price of the energy source also matters.
"Electric heating systems can also be an option, particularly in areas with milder winters or homes that are paired with a heat pump," Donahue said. "While electric furnaces generally have lower installation and maintenance requirements, operating costs can vary depending on local electricity rates and climate conditions."
Benefits Overview for Types of Furnaces
When comparing Carrier gas vs oil vs electric furnaces, there is no single system that fits every home. Climate, available fuel sources, installation requirements, equipment efficiency, and local energy prices all affect the decision.
Gas Furnaces
Benefits
- Carrier models offer AFUE ratings up to 98.5%, with the 59MN7 Infinity 98 Gas Furnace
- High-efficiency models can help reduce fuel consumption
- Well suited to colder climates
- No on-site fuel storage tank needed when natural gas service is available
Disadvantages
- Requires pipeline infrastructure
- Installation requires outside venting and gas hookup
- Potential for natural gas leak or CO infiltration
Oil Furnaces
Benefits
- Heating oil contains approximately 138,500 BTU per gallon
- Fuel oil can be delivered to homes without natural gas service
- Can provide high-capacity heating for cold climates
Disadvantages
- Higher first cost can result from equipment and fuel-storage requirements
- Fuel prices can fluctuate
- Carrier oil furnace AFUE ratings vary by model and can be lower than high-efficiency gas furnace ratings
- Requires more maintenance associated with oil combustion and fuel storage
Electric Furnaces
Benefits
- Electric resistance furnaces can achieve up to 100% AFUE at the point of use
- No combustion gases or on-site fuel storage
- Quiet operation
- No natural gas connection or combustion venting required
Disadvantages
- Operating costs depend heavily on local electricity rates
- May have higher operating costs than gas in areas where electricity is substantially more expensive than natural gas
- Electric resistance furnaces may be less economical for high heating loads than a heat pump, depending on climate and energy prices
What is a Forced Air Furnace?
You may hear the term "forced air furnace" when comparing models. This simply refers to a heating system that uses a fan or blower to circulate warm air through ductwork. Carrier gas, electric, and oil furnaces are designed as forced-air heating systems that distribute heated air through ductwork.
Let A Carrier Expert Weigh In On Furnace Type
Still deciding between electric vs oil furnace options or gas models? Carrier has you covered. Carrier offers gas, electric, and oil furnace options, along with a nationwide network of Factory Authorized Dealers to help you determine the right type of furnace for your home. Find a local Carrier expert today.
"When deciding between a gas, electric, or oil furnace, it's important to consider fuel availability, operating costs, local climate, and long-term efficiency goals,” Donahue said. “Working with a qualified HVAC professional can help ensure you select the system that best fits your home's needs and budget."
What is the difference between an electric, gas, and oil furnace?
The primary difference is the energy source: gas furnaces burn natural gas, oil furnaces burn heating oil, and electric furnaces use electric resistance heating. Carrier gas furnaces offer models like the 59MN7 Infinity 98 Gas Furnace. offer up to 98.5% AFUE, while electric resistance furnaces can approach 100% AFUE at the point of use. Oil furnace efficiency varies by model, with Carrier models like the Performance™ 80 Oil Furnace OVL and Comfort™ 80 Oil Furnace OBL reaching approximately 87.5% AFUE.
Frequently Asked Questions
Whether a gas vs electric furnace is better depends on your location. Gas furnaces are generally superior for cold climates due to higher heat output and lower fuel costs. Electric furnaces are better for moderate climates where winters are mild, offering lower upfront costs and easier maintenance.
If you want to reduce your carbon footprint, electric heating can be greener, especially if powered by renewable energy. However, consider the higher operating costs associated with electric heat and the availability of natural gas in your area. It's advisable to evaluate long-term costs, energy efficiency, and personal preferences before making the switch.
Heating a house with gas is typically cheaper than using electricity, as natural gas prices are usually lower than electricity rates. Gas furnaces also tend to be more efficient in converting energy into heat, leading to lower overall heating costs.
The main downsides include higher monthly operating bills and slower heating times compared to gas or oil. Additionally, electric furnaces rely entirely on the grid, making you vulnerable to power outages during winter storms unless you have a backup generator.
Electric furnaces typically last the longest—often 20 to 30 years—because they have fewer moving parts and do not involve combustion. Gas and oil furnaces generally last between 15 and 20 years with proper maintenance.
No. Electric furnaces do not create exhaust and do not need a chimney or vent. Gas and oil furnaces burn fuel and require proper venting to the outdoors to safely expel byproducts like carbon monoxide.
About The Expert Reviewer: Seth Faber is a Product Manager for Residential Furnaces at Carrier Corporation, where he helps develop dependable, high-performance heating solutions that deliver reliable comfort while meeting evolving homeowner needs, energy efficiency standards, and industry regulations.
About The Author: Ryan Mayes is a Senior Digital Brand Marketing Manager at Carrier who focuses on creating clear, helpful resources on HVAC topics. Ryan’s goal is to guide readers toward smart, confident decisions about their indoor comfort.