I have an almost identical setup. House came with oil fired forced air furnace and oil fired hot water heater. I've got 1500 sqft. I stuck with the forced air and am absolutely in love with my Alaska 140. It runs around $4K if I remember right. I've got the auger unit
and my father has the dual feed paddle unit
. He regrets buying the paddle feed and wishes he had the auger feed unit because it seems to burn the coal more completely.
Mine is rated for both wood pellets and coal and I've burned both in it. I like the sense of security I get by being able to choose either fuel. If (heaven forbid) coal prices go up, I have the option of using wood pellets.
It was easy to tie in to my existing ductwork and I kept the existing furnace as a backup for when I'm out of town. I suspect it would be easy to tie in to yours too - probably easier to do the tinwork than to install all of the plumbing and heat exchanger required for a boiler.
I'm still using the oil fired hot water heater, but Alaska does offer a DHW option for the 140.