Natural Gas Furnace Risks

[Matt Brooks]

Good afternoon BiggerPockets! I am closing on my second buy and hold property within the next week. Currently the property utilizes Natural Gas for furnace, water heater, oven, and cooktop. The furnace is 18 years old and I am getting $5k back at closing for updates. I am considering installing a new furnace and transitioning the house to all electric. I will spend an additional $1k to update electrical to support. The house also needs paint, flooring, and updated appliances. Furnace is currently working. Should I update? If so, should I go all electric? Natural Gas and CO just cause me a little more concern with renters. Thank you!!

[Bob Derwin]

I prefer natural gas over any other type of heat.   Is it a baseboard hot water system with a boiler for a forced hot air unit.  I've got a boiler in one of my rentals that is going on 50 years old.  Still works like a champ.  My current home uses gas forced hot air, that unit is 15 years old and still works fine.  I did need to replace a control board in that a unit a few years, it cost me about 400 for the board and labor.

[Jason D.]

@Matt Brooks what is the justification for switching everything to electric? It seems to be a unnecessary expense with no upside.

[Matt Brooks]

@Bob Derwin My properties are located in Texas so it is standard Natural Gas Furnace (no oil/baseboard). I also prefer Natiral Gas heat in my house but was somewhat concerned of the trials of Natural Gas/CO with renters?

[Matt Brooks]

@Jason DiClemente Prinarily it would be for peace of mind to reduce any safety issues with Natural Gas/CO. I may be being overly cautious. So, to your point would you go ahead and replace the unit (18 years old, but working)? Would you replace it with gas?

[Jason D.]

@Matt Brooks I dont feel that gas is any less safe than electric. I dont know that there is any data to make that claim either. On a buy and hold, I would not replace a working furnace unless it was becoming a maintenance nightmare. That's an expense you can reserve for and will give you no return on your money spent. When it is due for replacement, I would replace it with whatever is most economical.

[Matt Brooks]

@Jason DiClemente Thank you for the advice!

[Bart H.]

Originally posted by @Matt Brooks:

Good afternoon BiggerPockets! I am closing on my second buy and hold property within the next week. Currently the property utilizes Natural Gas for furnace, water heater, oven, and cooktop. The furnace is 18 years old and I am getting $5k back at closing for updates.

I am considering installing a new furnace and transitioning the house to all electric. I will spend an additional $1k to update electrical to support. The house also needs paint, flooring, and updated appliances.

Furnace is currently working. Should I update? If so, should I go all electric?

Natural Gas and CO just cause me a little more concern with renters.

Thank you!!

 No, Natural gas is a LOT cheaper than electric.  like a huge difference. (doing it from memory but it was something like 2x's for conventional resistance heating vs electric)

As long as the furnace is properly vented (ie no birds or rodents have climbed into the stack, I would stick with natural gas.)

Contrary to the isolated incidents that hit the news, natural gas is very safe, and carbon monoxide poisoning from a natural gas furnace is almost non existent.  Natural gas itself is one of if not the cleanest burning fuel and generally produces no CO.

I would just make sure you get the furnace serviced on a regular basis, and have CO monitors.   and/Or buy a new gas furnace.

I would not replumb my house to covert to electric.

[Jesse Greider]

@Matt Brooks I would definitely keep the gas furnace. If you were to sell the house down the road, having electric heat could dissuade some buyers from buying the house. I am in PA and electric heating during the winter months is, more often than not, more expensive than gas or oil. Additionally, as someone who was raised by an HVAC technician, newer gas furnaces are way more efficient. With that said, I know your inquiry was focused on safety and if installed properly, you do not need to worry about it.