Before we get to HVAC installation prices, we will first need to briefly discuss some terms, definitions, and factors that will affect how an honest HVAC installation company determines their prices. Notice that I said honest. Unfortunately, there are dishonest people out there. There always has been, there always will be, and there is a good chance that you had an experience with such a contractor, which drove you to read this article. I can’t teach you how to tell if someone is honest, but I can give you the knowledge to help you decide. Take a look at How to Choose an HVAC Contractor for tips on what to look for.
1. House Size Affects HVAC Installation Cost.
First, you need to understand that central air conditioners come in a variety of sizes, and the size will affect air conditioning installation cost. Air conditioner size is measured in “tons.” However, the tonnage of an HVAC unit is not actually based on its weight. A “ton” is simply a measure of an air conditioner’s ability to cool your home. One ton is the ability of your air conditioning system to cool 12,000 BTUs (BTU stands for British Thermal Unit) in an hour. Likewise, a “2-ton” central air conditioner is able to cool 24,000 BTUs per hour. So, you are likely asking, what the heck is a BTU? A BTU is the amount of energy required to heat or cool one pound of water by one degree Fahrenheit. So a 1-ton air conditioner can cool 12,000 pounds of water by one degree every hour. That’s all it means, so don’t let yourself be told differently! How this affects your HVAC installation cost is that the larger your house, the more tons will be required to heat and cool it.
Typically, one ton is required per 400 sq/ft. of floorspace. So, a 2,000 square foot house would typically take a 5-ton HVAC unit. For more information on how to determine proper size, read: What Size HVAC Unit is Right for my House.
2. Ductwork Affects Air Conditioning Installation Cost
Unfortunately, one of the most heartbreaking things for us is when someone writes us to ask, “Did I pay too much for my new air conditioner?” They tell me they paid $10,500 for a new furnace and AC system installation, and ask if that’s fair. I say, yea, that’s a pretty fair price for an air conditioner installation, what type of ductwork did they install? “Well, they didn’t replace the ductwork, but the system runs like new!”
It will typically cost an additional $2,000-$3,000 for all new, standard, R-6 insulated, Mylar-sheathed flex ductwork. Why so much? Because it is extremely labor intensive to do properly and takes a couple of days (keyword: properly). It should have custom fabricated manual dampers at each T-Y junction for air balancing (if not, one room is blowing like crazy, and one has no airflow – but most people skimp on this to save time and money, so ask questions!), be custom insulated at each T-Y junction to prevent condensation and mold problems each joint should be double sealed and crimped (otherwise the ductwork will separate after a few years, air conditioning your attic instead of your house!), and strapped properly to prevent duct migration. Before you ask, the answer is “no, an inspector will not see most of these things” (except for the strap), as they will mostly be internal to the ductwork, and are mostly concerned with code violations.
Heartbreaking. Look, we will talk more about prices in a bit, but the bottom line is this:
There is a time to replace the ductwork, and there is a time not to replace the ductwork – make sure that your price is reflected accordingly!
More on CMRVA installation services can be found here: Air Conditioning Installation.
3. Type of Equipment Affects HVAC Installation Cost.
Just like the car example above, are you buying a Porsche or a Honda? Both are reliable; their prices are…a bit different. A Carrier is a fantastic HVAC unit, but it is typically going to be $800 – $2,500 more expensive than comparable units, and there are other options out there that are just as reliable.
Lennox, on the other hand, is probably the most expensive unit out there and I can’t stand them – they have a horrible logistics chain, making repair parts difficult to come by (taking weeks sometimes), poor customer service, and the parts cost three times as much.
My point is that the type of equipment you get is going to affect your HVAC installation cost greatly. People often times call us for an air conditioning installation job and say, “I would like to install Carrier equipment.” Now, if you are a future client of ours, I’ll have to warn you – I can be a bit of a smart-ass. Why can’t work be fun? Besides…I was in the Navy for 11 years, what do you expect. So, naturally I respond with, “you don’t tell your doctor which medication to prescribe you, do you?” The point is, on the residential level, who you get to install your HVAC unit is far more important than which unit you choose – keep your options open and let your HVAC contractor make a few recommendations – that’s why you spent time finding a reputable contractor!
4. SEER Value Will Affect Your HVAC Installation Cost.
SEER will affect your HVAC installation cost. Simply put, SEER is a measure of your air conditioning unit’s efficiency. The higher the SEER value, the lower the cost to run it.
I personally recommend getting no more than a SEER-16 unit when you have your new HVAC installation done. “But Tim, Tim! All the other contractors said that SEER-21 is the best, and it will pay for itself!” Once again, being smart, I retort – “If the other contractors are so great, why are you reading this article in the first place?”
Joking aside, here is the reason why I recommend SEER-16 and no more: the reason they are pushing the high-SEER models is because they are a lot more expensive, which makes them more money on their markup. The reason I am against them, is because (since you asked) anything manufactured over 16 SEER works using a variable-speed blower motor. Think of it this way – you have a 5-ton air conditioner, but since it is a SEER-21, it has a variable-speed blower motor which can change its speed based on demand. In other words, if demand is low, it runs at half-speed to save energy. How they get the extra SEER value is primarily because of this motor – A SEER-21 is basically a SEER-16 that has the ability to drop down to half size, changing from a 5-ton to a 2.5 ton.
Sounds great, right? What’s the catch? The catch is that these motors have a propensity towards breaking, are extremely expensive to fix, and will definitely break more often than a single-speed 16-SEER. It’s a reliability issue. Reliability is big with us, so we steer clear of features with reliability issues, and it’s as simple as that. When you factor in the price of repairs and the extra expense of the 21-SEER, you actually lose money. 16 SEER is the sweet-spot, and it is key to reducing your HVAC installation cost.
5. Project Difficulty is a Big Factor in HVAC Installation Cost.
Here’s where we get into the art of HVAC installation – if you have a small, difficult to access attic, or you require many custom fabricated parts (every installation will have some fabricated parts – another reason not to skimp on your contractor), or if you have blown-in insulation, the difficulty increases. Do you live in a historic home and want to tie your new system in to work with existing features? The price will go up to do the job right. All of these things add up to slow down the HVAC company, which takes more time, which costs more money for labor and parts, especially if they are a legitimate company which is licensed, bonded and insured. Simply put, this is the “X-Factor” in your HVAC installation cost. Again, you could get people to do it for cheaper…but you won’y be happy with the results, I promise.
But Tim, doesn’t his mean that a less-than-honest air conditioning company can just charge what he wants and say that it’s a difficult job? No. You see, dishonest contractors, typically, are also very stupid people (I figure if you’re still reading this, you’re warming up to me so I’m taking the training-wheels off). They aren’t smart enough to take difficulty into account, and will probably get confused if you ask them about it. They will tell you things like, “that’s how much the unit costs,” or “Virginia has a new law that magically adds $5,000 to the price.” Trust me, follow your gut, and you’ll be able to tell who the honest contractors are.
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