However, figuring out estimated AC prices for a 2,000-square-foot home can be tricky. On average, a new AC unit for a house will cost around $5,000, but prices can vary quite a bit. Costs for air conditioning in a home that is 2,000 square feet can range from as little as $2,000 to as much as $15,000.
The $5,000 rule is an industry-accepted rule for determining whether to repair or replace an HVAC system. Multiply the age of your equipment by its estimated repair cost. If the outcome is under $5,000, you should probably repair it. If over $5,000, you should replace it.
HVAC Pro Cost
Most people pay $500 to $2,500 in labor for AC replacement.
The compressor is the most expensive component to replace in an AC unit, and it can cost up to $4,000. It's expensive for two major reasons. First, it's responsible for circulating the refrigerant between the evaporator and condenser coils. Secondly, it's a highly complex equipment with intricate details.
Average Costs for Installing an HVAC System with Ductwork
2-ton HVAC system: $8,000-$12,000, depending on the brand. 3-ton HVAC system: $9,500-$13,500, depending on the brand. 4-ton HVAC system: $11,500-$15,500, depending on the brand.
However, the truth is an oversized system will not do a better job of cooling the house or provide any extra comfort over a properly sized unit. Air conditioner size is calculated in BTU (British Thermal Units) and tons, and measures how much heat the system can remove from the home in one hour.
Federal Tax Credits
The Inflation Reduction Act (IRA) of 2022 makes tax credits available on high-efficiency HVAC units through 2032. It allows you to deduct 30 percent of the purchase and installation costs and caps the amount you can write off: Air conditioners, furnaces, boilers, and water heaters max out at $600.
Adopting the de minimis safe harbor provides several advantages: Simplified tax recordkeeping: Property owners can immediately deduct expenses for purchases like appliances or minor upgrades if they cost $2,500 or less per item. This ease of documentation aids in maintaining straightforward tax records.
While every unit is different, and every homeowner has a different understanding of when their central air conditioner is broken beyond repair, it's fair to say that, with proper maintenance and care, you can expect a good 15 to 20 years of cooling from a new high efficiency air conditioning system.
Homeowners Rate Trane Tops for 10th Year in a Row
The designation comes from the 2024 Lifestory Research Most Trusted® HVAC System Study. Lifestory Research surveyed more than 9,000 American homeowners who were actively researching HVAC systems between January and December of 2023.
While installing a new central air conditioning system will increase your property value by 5 to 7%, our agents modify this a bit. They would price a home with central AC higher than one without, but the pricing depends on other market conditions.
Neither oversizing nor undersizing your AC unit is ideal. Both scenarios can lead to issues with efficiency, comfort, and longevity of the system. Oversizing: If your AC unit is too large for your home, it will cycle on and off frequently, leading to inefficient operation and increased energy bills.
Adjust the thermostat up a few degrees and settle for 76 degrees or 78 degrees inside your home.
How much does a new HVAC system cost for a 2,000 sq. ft. home? The costs range from $6,224 to $11,434, depending on the system type and installation requirements. Key factors include system size, type, efficiency, and local labor rates.
Homeowners insurance covers HVAC systems when the damage is a result of a covered disaster or peril, including high winds, fallen trees, theft, hail or even a fire. So if lightning strikes your unit and damages its electrical components, your homeowners insurance policy would probably cover it.
Better pricing: Since there's less demand for HVAC system replacement in spring and fall, your HVAC contractor might even offer their own savings incentives.
Usually, it is a quick fix, but sometimes the failure can be caused by a much bigger problem. The most expensive part of an AC unit to replace and repair is the air compressor.
Generally, the average cost to replace an HVAC system can run anywhere from $5,000 to $15,000 depending on the customers' needs. We know that putting that much money down on anything can be daunting, but for a system as crucial as an HVAC unit, you can never be too safe.