Propane Furnace Guide for Minnesota: What Rural Homeowners Need to Know

Roughly 400,000 Minnesota households heat with propane — many of them rural homes beyond the reach of natural gas pipelines. If you're one of them, your furnace purchase decision involves a few extra considerations. This guide covers everything Minnesota propane homeowners need to know when buying a new furnace.

Propane vs. Natural Gas Furnaces: The Key Differences

The good news: propane and natural gas furnaces are the same equipment. The difference is in the orifices and gas valve settings that control fuel flow. Modern furnaces — including all Goodman models — can be converted between natural gas and propane with a factory-approved LP conversion kit.

Propane Costs in Minnesota

Propane is significantly more expensive per BTU than natural gas. Minnesota propane prices fluctuate with the market but typically range from $1.50–$3.00/gallon retail, compared to natural gas at roughly $0.70–$1.20 per therm. This means propane heating costs roughly 2–3x more per season than natural gas for the same home.

This cost difference makes high-efficiency equipment even more critical for propane users. Upgrading from an 80% to a 96% AFUE propane furnace saves 20% of your fuel consumption — which is worth considerably more in dollars per year than the same upgrade on natural gas.

See our annual heating cost guide for detailed calculations.

Ordering a Propane Furnace

When ordering any furnace for propane use, you have two options:

Option 1: Order Natural Gas Version + LP Conversion Kit

Most manufacturers ship furnaces configured for natural gas by default. You purchase a factory-approved LP conversion kit (typically $40–$80) and have the installer perform the conversion during installation. This is the most common approach and works fine when done correctly by a licensed installer.

Option 2: Order Propane-Configured from Factory

Some distributors can special-order factory-configured LP units. These are the same equipment, just configured at the factory. Lead times may be longer.

At Furnace Direct, we can advise on the right approach for your specific Goodman model. Call us before ordering to confirm the conversion kit availability.

Goodman Propane Furnace Recommendations for Minnesota

Best Value: Goodman GMVC96 (96% AFUE, Two-Stage)

The GMVC96 is our top recommendation for most Minnesota propane homes. The two-stage operation reduces propane consumption on milder days by running at low fire (65% capacity), and the 96% AFUE efficiency maximizes every dollar of propane you burn. Available in 40K–120K BTU input sizes.

Maximum Efficiency: Goodman GMVM97 (97% AFUE, Modulating)

For large propane bills, the modulating GMVM97 delivers the highest efficiency available. Modulating operation from 40–100% capacity means near-perfect fuel matching to your heat load. Saves the most propane of any model. See our full GMVM97 review.

Budget Option: Goodman GMSS96 (96% AFUE, Single-Stage)

If budget is the primary concern, the single-stage GMSS96 still delivers 96% efficiency at the lowest price point. On propane, even this model saves dramatically over an older 80% unit. See our GMSS96 review.

Propane Furnace Sizing for Minnesota

Sizing a propane furnace uses the same Manual J calculation as natural gas — climate zone, home insulation, window area, and square footage all factor in. Minnesota's design temperature (typically -16°F to -28°F depending on location — see our Minnesota HVAC design temperature guide) drives sizing requirements higher than most states.

One common mistake: oversizing a propane furnace to "make sure it keeps up." An oversized furnace short-cycles, wastes propane, and creates comfort problems. Proper sizing is critical — especially on propane where fuel cost amplifies every inefficiency.

Propane Tank Considerations

Your propane tank size should match your seasonal consumption. As a rough guide:

• Small home (<1,500 sq ft): 500-gallon tank typically adequate
• Medium home (1,500–2,500 sq ft): 500–1,000 gallon tank recommended
• Large home (>2,500 sq ft) or whole-home propane: 1,000+ gallon tank

Running out of propane mid-winter is more than inconvenient — it can damage your furnace and require a system purge and relight by a technician. Keep your tank filled above 20% as a rule.

LP Conversion: What the Process Involves

A proper LP conversion requires:

1. Installation of propane orifices (replaces natural gas orifices in the burner manifold)
2. Adjustment of gas valve to propane pressure settings
3. Verification of manifold pressure with a manometer
4. Combustion analysis to verify proper air/fuel ratio
5. Label change on the furnace indicating LP configuration

This is a job for a licensed installer — incorrect LP conversion is a serious safety hazard. Never attempt to convert a furnace between gas types without proper training and equipment.

Order Your Propane Goodman Furnace Through Furnace Direct

We serve rural Minnesota homeowners with factory-direct pricing on Goodman furnaces. Whether you need natural gas or propane, we can help you select the right model and connect you with a licensed installer. Shop our inventory or call us to discuss your propane application.

Same-day delivery available in the Twin Cities and broader Minnesota market. Don't pay retail HVAC markup — buy factory direct and keep that savings in your pocket.