Improved efficiency - replacing your AC and furnace at the same time with new, energy efficient equipment can increase your home's energy efficiency and potentially reduce your energy costs.
Making Your Heating and Cooling System Installation Decision
Once again, you can expect to save between $2,000 and $5,000 on total installation costs by bundling both your furnace and air conditioner together.
The $5,000 rule is a rule of thumb in the HVAC industry to help homeowners decide whether HVAC repair or HVAC replacement makes more sense in the long run. The $5,000 rule: Multiply the age of your equipment by the estimated repair cost. If the number is more than $5,000, then you should consider replacing your unit.
It would be fine to mix and match brands, as they all work basically the same. However, the outdoor unit (condenser) and the indoor coil need to be the same tonnage. The company you have installing should be able to match that up for you and get you the right unit.
Companies/Service providers often offer seasonal promotions and discounts for those seeking a new system. The best times to seek out these promotions are the months leading up to summer and the period between the end of summer and the beginning of Autumn.
Furnace and AC replacement costs vary. A new furnace costs $4,800 on average, with an average range between $2,800 and $6,900. The cost to install a new AC unit is between $3,900 and $8,000 on average. However, the cost of a new HVAC system together is $7,500 on average, often in the range of $5,000 to $12,500.
Improved efficiency - replacing your AC and furnace at the same time with new, energy efficient equipment can increase your home's energy efficiency and potentially reduce your energy costs.
While having a matching furnace and AC system is not mandatory, technicians highly recommend it. Aside from reduced efficiency and frequent repairs, a mismatched system could void your warranty. Many HVAC system manufacturers require homeowners to replace their heating and cooling systems at the same time.
How much value does HVAC add to the house? Well, there's no exact and direct answer to that question but most real estate specialists agree that you should expect a 35-50% return on investment (ROI). Furthermore, a new HVAC system in a home can get buyers more interested in buying the house and hence close the sale.
If your aircon is older than 10 years and plagued with ongoing issues, you might want to consider replacing your air conditioner. A benefit of replacing your aircon is that you will get a more energy efficient model which would ultimately save you a lot of money on power bills.
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.
Average New AC Unit Costs
The average cost of installing a new central air conditioner in 2024, including equipment and labor costs, is $5,750 for a 3-ton unit in a 2,000-square-foot home. On average, a new AC unit cost will fall between $3,300 and $7,800.
For starters, HVAC repair experts confirm that any furnace that has been in use for 20 years is nearing the end of its lifespan. The components of a 20-year-old furnace suffer a lot of wear and tear over the years. The aging process plays a significant role in lowering the efficiency of the furnace.
Yes, You Can!
Keep rebates and efficiency in mind when making any decisions on replacing just the AC unit.
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.
The cost to replace a furnace and AC can vary significantly depending on various factors. On average, the cost to install a new furnace and AC unit is typically around $8,000 in 2024. As noted above, the cost often ranges between $5,000 and $15,000 for a new system.
Air conditioners and furnaces over 10 years old are generally what the HVAC industry would classify as “older.” This is also when most indoor and outdoor units stop being under warranty. If both your AC and furnace are more than 10 years old, we would recommend replacing them both at the same time.
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.
Your furnace and AC both use the same ducts, so trouble with your vents could lead to problems for either system. It's important to work with experienced professionals when you're having HVAC issues.
Here are the average life expectancies of different HVAC systems: Air conditioners and heat pumps: 10 to 15 years. Furnaces and boilers: 15 to 20 years. Geothermal: 30 years.
How much value does a new HVAC unit add to your home? A new HVAC unit typically adds about $2,500 to $3,000 to the value of your home or about 5% to 7% of your home's value. Since a new unit can cost up to or more than $10,000 to install, it's up to you to decide if the upfront cost is worth the added value.
While it isn't mandatory to have matching furnace and AC units, poor compatibility can result in limited efficiency, increased wear, and voided warranties.