Major appliance and system replacement pricing in 2026: gas tank water heater $1,500-$2,800, heat pump water heater $2,800-$4,500 (qualifies for $2,000 federal credit), tankless water heater $3,500-$6,500, gas furnace $3,500-$7,500, AC condenser $4,500-$8,500, electric panel upgrade 100A to 200A $1,800-$4,200, dryer vent replacement $150-$600.
Heat pump water heaters — the obvious 2026 choice
The federal 25C tax credit pays 30% up to $2,000 on heat pump water heaters. A $3,800 install becomes $1,800 net cost. Operating cost is $150-$300/year versus $400-$600/year for gas or electric resistance. Payback over resistance electric: 2-4 years. Payback over gas: 5-8 years. Heat pump water heaters also cool and dehumidify their location — ideal in warm basements and utility closets. Rebates from state and utility often add another $500-$1,500 on top of federal.
Dryer vent replacement — fire prevention
Lint-clogged dryer vents cause 15,000+ house fires annually in the US. Replace or professionally clean dryer vents every 2-3 years ($150-$400). Full vent replacement ($300-$800) required when existing vents use flexible aluminum foil duct (fire hazard), have excessive length (over 25 feet), or have more than 2-3 elbows. Rigid metal duct is the only code-compliant option for new installs.
Permit reality for appliance replacement
Water heater replacement: permit required almost everywhere ($75-$200). Furnace/AC replacement: permit required ($150-$400). Panel upgrade: permit required ($150-$400) plus often separate utility fees. Dryer vent replacement: usually no permit. Unpermitted appliance installs are the #1 cause of insurance claim denials after appliance failures and can void manufacturer warranties. Always pull permits — reputable contractors do this by default and include fees in quotes.