As temperatures become more fall-like, AC installation may not be at the top of your to-do list. Homeowners often wait until their air conditioner fails before considering a replacement. This can mean spending more. But even as the cost of AC equipment and services continues to rise, you can save and stay cool once it’s warm again. The following tips can make AC installation and replacement more cost-effective.
- Know When Your AC Should Be Replaced
- Schedule AC Installation During the Off-Season
- Properly Size a New System
- Invest In a High-Efficiency Unit
- Don’t Be Tempted by the Lowest Bid
- Replace Your AC and Heater Together
- Improve Your Home’s Insulation
- Research Financial Incentives
- Don’t Attempt a DIY AC Installation
1. Know When Your AC Should Be Replaced
Wait too long and you may scramble to find a replacement AC in a hurry. An AC breakdown in the summer heat may contribute to poor decision-making.
However, proper planning allows you to make sound decisions that impact comfort and cooling costs for many years. It also avoids an emergency repair or rush AC replacement service when prices aren’t the lowest. Therefore, consider installing a new AC system if the following signs of trouble occur:
- Energy Bills Spike: A consistent or sudden rise in your electric bill can mean your aging AC is losing efficiency.
- Temperature Control Issues: If the temperature in your home constantly fluctuates, never matches the desired setting, or varies from room to room, replace your AC.
- Declining Performance: Short cycling, constantly running, frozen coils, loud noises, refrigerant leaks, strange odors, or warm air blowing from vents can mean your AC must be replaced.
- Humid or Dry Air: A central air conditioner is designed to manage humidity; it should be replaced if the air is always sticky or excessively dry.
- The Unit Is Old: Older ACs generally need more repairs and are more costly to fix. If the system is near the end of its lifespan, don’t wait. Talk to an HVAC contractor about replacement options.
- Repairs Are Getting Out of Hand: Rising prices and labor rates are making AC repairs more expensive, as are scarce supplies of R-22 refrigerant. Is another repair too costly for your budget? Absorbing the price of repairs into a new AC unit can save you a lot over time. Therefore, replace it if:
- Fixing it costs over half the value of a new unit.
- Multiplying the repair price by the unit’s age equals $5,000+
2. Schedule AC Installation During the Off-Season
Fall is a great time to buy an air conditioner. Most HVAC contractors aren’t as busy as in the summer, so prices tend to be lower. Dealers offer sales as they make room for the newest AC systems. Therefore, models that didn’t sell in the past few months could be steeply discounted. If a dealer is willing to go lower, asking for a larger discount now can yield more savings.
3. Properly Size a New System
Air conditioning systems cost money, but properly sizing one can improve efficiency, which may offset some installation expenses over time. An AC’s size or capacity is measured in British Thermal Units (BTUs), with the ideal size depending on many factors. These can be figured individually or an installer can perform a Manual J load calculation. It considers key aspects of your home such as:
- Square footage
- Ceiling height
- Number/size of windows
- Number of exterior doors
- Number of residents
The larger your home’s interior space, the more BTUs are needed to cool it. A load calculation also factors 1,000 BTUs per window, 1,000 BTUs per exterior door, and 100 BTUs per occupant. You’ll also see AC units are sized by the ton, with one ton equal to 12,000 BTUs. Divide the BTU count by 12,000 to calculate an air conditioner’s tonnage, or how much heat it removes in an hour.
*An oversized system will shut off too soon and short cycle, while an undersized unit will run constantly. Both scenarios increase energy consumption and cause components to wear out sooner, leading to a higher cost of ownership.
4. Invest In a High-Efficiency Unit
New air conditioners are more efficient, and modern systems run more efficiently than those of the past. The Seasonal Energy Efficiency Ratio (SEER) reveals how efficient a unit is. As of 2023, this was upgraded to SEER2. Air conditioners must be rated at least 13.4 SEER2 in Oregon, but ratings go to the high 20s. The higher the number, the more efficient an AC is, and the more it costs (but the more you can save on your energy bills).
5. Don’t Be Tempted by the Lowest Bid
Get at least three estimates (based on an in-home evaluation). If prioritizing savings, don’t pick the lowest bid; if quality is your priority, avoid the highest bid. Bids for the same AC system can vary by thousands of dollars. Always know what you’re getting and make sure the contractor provides an itemized list of services and costs.
The contractor should list:
- The type of system
- It’s efficiency rating
- The system size
- Labor rates
- Warranties
- Rebates
Also, ask for the unit’s AHRI Certification if the contractor doesn’t provide one. Certification by the Air-Conditioning, Heating, and Refrigeration Institute confirms the unit’s model number, type, size in BTUs or tons, and efficiency rating. Confirmation of the SEER2 rating avoids being misled by a manufacturer or contractor.
6. Replace Your AC and Heater Together
If replacing your heater, consider an AC replacement at the same time. Being frugal won’t help you save. Replacing the whole system achieves maximum efficiency. It also avoids mismatching the system, which not only increases energy usage but also causes performance issues and conflicts with your warranty.
Therefore, installing a new AC and heater (and indoor and outdoor units) together is more cost-effective. Plus, it saves on additional visits as your HVAC contractor can get it all done at once.
Again, knowing everything included in the project cost helps save. If the final cost doesn’t include a new drain pan/line, thermostat, supply plenum, air ducts, condenser pad, and other components and extras, ask why. It can save on surprise costs later. Bundling services is a great way to spend less.
7. Improve Your Home’s Insulation
Saving on AC installation also requires looking outside your HVAC system. The type and quality of insulation can affect system performance and efficiency. To reduce costs, have a professional evaluate your home’s insulation and, if necessary, make improvements. Poor insulation and aging/deteriorating materials can make even the highest SEER2 systems less efficient. Improving insulation and sealing leaks around doors and windows boosts efficiency, making AC replacement services more worthwhile.
8. Research Financial Incentives
Financial incentives provide another way to save on AC installation. Air conditioners cost money. However, reputable HVAC companies often look to help customers save financially. Your local contractor can provide and help identify cost-saving opportunities like the following:
- Manufacturer Rebates: The manufacturer may provide rebates as an incentive to purchase certain products. A rebate is typically a partial refund on the initial purchase price.
- Utility Rebates: Electric companies often provide incentives for investing in high-efficiency products. Your AC installer can help determine if your local utility has a rebate program.
- Tax Credits: If you install a qualifying energy-efficient AC between January 1, 2023, and December 21, 2032, you can claim a tax credit of up to $600. The unit must be Energy Star-certified; eligible split systems must have a SEER2 rating of 16 or higher.
- Financing: A local AC installation company may offer in-house financing or partner with financing programs. These allow you to pay for a system over time and benefit from low interest rates and other perks.
9. Don’t Attempt a DIY AC Installation
Handy homeowners sometimes try to cut corners by installing air conditioners themselves. High labor costs, which can be thousands of dollars for large systems, can make this seem enticing. But you won’t save by not hiring a trained professional. Chances are, the system won’t work properly or at peak efficiency, and a mistake can require costly repairs. Warranties usually require installation by a licensed professional. Therefore, you void the warranty and must pay for any repairs or services out of pocket.
Hiring an HVAC contractor isn’t cheap, but it does save you on AC installation.
Call Air Stars Today
At Air Stars, we install air conditioners of all types and sizes throughout Salem and the Willamette Valley. Our team of licensed professionals carefully determines the best system for your home, needs, and budget. A seamless and clean installation process shows our commitment to ensuring your satisfaction. When you hire us for AC replacement services, you’ll experience maximized comfort with increased energy efficiency and lower utility costs.
We can also help you save with special offers, financing opportunities, and our Star Treatment maintenance plan. If it’s time for a new air conditioning system, call Air Stars at (503) 455-7311 or book your appointment online.