Smart HVAC and Technology-Driven Growth – The rise of smart home systems and energy-efficient HVAC solutions has created a lucrative new revenue stream. PE-backed firms are betting big on automation, remote monitoring, and AI-driven climate control as demand for tech-integrated HVAC solutions grows.
Starting in 2025, the HVAC industry will shift toward using refrigerants with a lower GWP. Among the most discussed replacements are R-32 and R-454B. These refrigerants perform similarly to traditional refrigerants like R-410A but with a significantly lower environmental impact.
The global HVAC systems industry is forecast to grow at a compound annual growth rate (CAGR) of 6.4% from 2024 to 2031. The market was valued at $218.32 billion in 2024 and is on pace to reach $338.62 billion by 2031.
Employment of heating, air conditioning, and refrigeration mechanics and installers is projected to grow 9 percent from 2023 to 2033, much faster than the average for all occupations.
Several HVAC manufacturers have officially declared upcoming price hikes for 2024, garnering attention as a new wave of increases takes effect. There is a noticeable industry-wide trend of manufacturers elevating the prices of equipment, parts, and supplies.
Heat Pumps are Eligible for Incentives in 2025
Heat pump rebates and tax credits are a big reason why heat pumps are worth it in California. There are several incentives for heat pump installation in California in 2025.
Average Cost of a New HVAC System for 2025
home, the average cost of a new HVAC system is $8,829, covering a combined air conditioning and gas furnace setup.
Customization is a leading HVAC trend in 2024. Systems are becoming more adaptive to specific needs and requirements. Case in point, with solutions like ductless mini-splits and zoning, homeowners can tailor HVAC solutions to their specific home layouts, climate conditions and lifestyle requirements.
Largest steam and air conditioning supply companies worldwide 2022, by revenue. With a revenue of over 36 billion U.S. dollars, the Japanese company Daikin Industries had the highest steam and air conditioning supply revenue in 2022.
Yes, a new HVAC system is a worthwhile investment, increasing your home's value by up to 7%. It's a big value add for potential buyers, as they have the peace of mind that the HVAC system is ready to go and not on the verge of breaking down.
In general, most HVAC systems will last 15 to 25 years, but depending on the type of system and other contributing factors, that estimate can be highly variable. Even with HVAC maintenance and regular repairs, eventually, even the best boilers, furnaces, heat pumps, and air conditioners today will run their course.
HVAC Technicians Are in High Demand
Fortunately, HVAC is one of those careers that is in steady demand. The Bureau of Labor Statistics projects that the jobs in this sector will grow by 9% by 2033. If you want to learn how to become an HVAC technician, this is the right time.
For whole-home systems, Lennox has chosen 2025 Compliant Refrigerant R-454B due to its excellent performance for ducted systems and zero ozone depletion potential. For mini-splits, we selected R-32, designed to optimize efficiency and reliability in ductless systems.
Installing Your New HVAC Unit Replacement
The components installed may include the inside air handler or evaporator, outside compressor or condensing unit, new refrigerant supply lines, thermostat, condensate drain lines, and the condensate pump when applicable.
The future of HVAC will revolve around sustainability, customer-centric services and the integration of smart technologies. The industry's commitment to environmental preservation, combined with innovative business models and automation, will lead to a more efficient, eco-friendly air conditioning experience for users.
Should I wait until 2024 to buy a heat pump? It's not necessary to wait until 2024 to buy a heat pump. The California heat pump rebate program is currently available, offering financial incentives for homeowners who install energy-efficient heat pump systems.
Both HVAC technicians and electricians earn similar compensation, though the average annual salary for electricians is about $5,000 higher than that of HVAC techs. Both have a large disparity in pay between the highest and lowest-earning ten percent of professionals.
With this abundance of geographic options to choose from, it is worth noting that California, Ohio, Florida, Texas and Illinois have been dubbed the five best states for HVAC technicians to work in.
1, 2025, the residential HVAC market will see some big changes in the coming years. As part of the technology transition, newly purchased and installed air conditioners after that date will need to have refrigerants with a lower Global Warming Potential (GWP) than in the past, according to the EPA.
R-410A PHASE-DOWN TIMELINE
We will reach a 70% decrease by 2029. In 2034, we will see 80% less R-410A being produced than it is today, and the phase-down will end in 2036 with another 5% reduction.