As a consumer you will typically pay an average of $5,500 for the installation of a minimum efficiency replacement Air Conditioning and Heating system. For higher efficient systems, installation cost can climb to $10,000 and above. Often, the higher efficient systems qualify for energy and tax rebates.
When you check out equipment costs online, that $5,500 system shows a cost of $1,500 to $3,500, why?
Those prices represent the cost of the equipment, and may also be by individual piece (outdoor unit, indoor unit, etc.), especially on e-commerce websites.
Those prices do not include the warranty that is offered when a qualified contractor provides and installs the system (usually 10 years with registration on residential equipment).
Just think…a simple repair annually, which has a warranty repair cost of $96 could cost $129 without the warranty. In 10 years, you save $330. If you have a major repair during that time (example, coil replacement), a warranty replacement cost of $923 would cost $1,533, a difference of $610.
But most importantly, it does not include the labor to install the system. Good HVAC installation includes proper county permits (electrical, mechanical, and gas), and installation per the manufacturer’s instructions. Proper design and workmanship accounts for much of the longevity of the system. Labor prices vary by contractor – it is important to make sure that the contractor selected is a stable company that will be there to do your warranty work down the road, as well as provide you a sound maintenance/energy saving plan so that you get the best out of your equipment throughout its entire life.