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8 Factors that Affect the Price of a New HVAC System

8 Factors that Affect the Price of a New HVAC System

If you have ever spent a night or two atop your sheets in an effort to beat the summer heat, you have most likely wondered to yourself how much it would cost you to install a new HVAC system. But as many homeowners know, the cost of a good heating and cooling system can be substantial. 

There are many factors that go into the cost of a new system. The following will take a look at eight of these factors. 

Home Size

It should be no surprise to learn that larger homes will require larger systems with more potential output to provide you with adequate heating and cooling. When a system is installed that is not large enough for the home, it will work harder, suffer from a lack of energy efficiency, and in all likelihood show signs of wear sooner than it should. Similarly, a system that is too large for the home presents its own set of complications that include uneven temperatures, maintenance problems, and humidity issues. 

Type of System
There are a number of ways to provide adequate heating and cooling to your home, with choices range from gas versus electric furnaces, to air conditioners with split systems, to packaged cooling and heating systems. In most cases, a person or family seeking to replace their heating and cooling system will prefer the same type of system they are re[lacing. But since it may be beneficial to heat and cool the home with a different type or size of system, you will need to do some research to settle on the best system to provide heating and cooling for your home. 

Existing System
The presence of a current HVAC system can have a major impact on the final cost to install a new system. Most homes built in recent years come with a heating system, and many have both heating and cooling. However, older homes may require prep work before the system can be installed. 

Older homes may have ductwork that is too small, worn out, or not insulated well enough to accommodate the new system. This condition can result in an HVAC system that produces excess noise and does not work as efficiently as desired. It can also cause your energy bill to become more expensive. The cost of a new duct system in many cases can actually be similar to the cost of the system, which means the overall cost of the system can potentially double. 


The do-it-yourself approach is not realistic for most homeowners looking to install a new HVAC system. The installation process is complicated and includes handling high voltage wires, electronic circuitry, and the ability to stabilize the central air unit somewhere outside the home. It may also require a complete reworking of the home’s duct system. 

A skilled and competent contractor will possess the knowledge and experience to select the appropriately sized equipment for the home so that the system as a whole will perform in a manner that is both dependable and energy efficient. A homeowner should expect to spend hundreds of dollars on labor costs of the HVAC installation, which will increase significantly if it is necessary to install a new duct system. 

As just mentioned, it is important that the ducts in the home are compatible with the type of HVAC system being installed. It is also important that the ductwork was installed properly and received regular maintenance. A number of problems can arise from a duct system that is inappropriate for the HVAC system to be installed. A few possible problems are locations in the home that are cold or hot, poor overall system efficiency, and the accumulation of condensation and mold. You should have a professional assess your home’s duct system before committing money to the HVAC installation. 

Features and Accessories
Your HVAC system cost can be greatly affected by the accessories and features you choose to have installed. For example, a home with a 20-year-old HVAC system will likely have a thermostat that is just as old. It will need to be replaced. An automated thermostat can be obtained at a reasonable price and will add to the efficiency of your HVAC system. Other popular accessories are electronic air cleaners and whole-house humidifiers, both of which can improve the air quality in your home and efficiency.

Another important consideration is the SEER (Seasonal Energy Efficiency Ratio) rating. HVAC units with higher SEER rating often cost more than units rated lower for energy efficiency. However, this higher upfront cost will be offset over time by savings to your energy bill. In some states, tax credits can be obtained when installing units with a higher SEER rating. 

Energy Efficiency

A new HVAC system will allow you the opportunity to improve the overall energy efficiency of your home. In the process, your monthly energy costs will be lowered. This increased efficiency may increase the initial HVAC cost but the benefits will be experienced for many years. 

There are a few things to consider regarding the energy efficiency of your heating and cooling system. Multi-stage systems have proven to perform with greater efficiency than single stage systems. The system’s stage is the level of power used when affecting the climate in your home. A system with multiple stages will better adapt to energy needs at a particular time in your home. Similarly, a system with a variable speed blower possesses a fan motor that adjusts power settings to operate in a more energy efficient manner. 

Payment Method

The cost of replacing a heating and cooling system in your home can be thousands of dollars. If you do not possess or wish to spend the cash necessary to pay this cost outright, you may have to finance your new heating and cooling system. You might choose to use a credit card but you should be certain that the interest rates do not cause excessively high dollars to be spent on the purchase. You may be able to save on the cost of financing by seeking financing from a manufacturer or dealer. Many companies are flexible in regard to different rates of interests and may even eliminate interests cost altogether if the bill is paid within a certain amount of time. 

Final Thoughts

A home can become quite uncomfortable and even dangerous when it does not have a system for proper heating and cooling, or one that is not functioning properly. As a new HVAC system can cost a considerable amount of money, we hope the eight factors detailed above will help you determine the right balance between cost and operational features of a new system.

At LegendAir Heating and Cooling, we offer full-service installation, repair, maintenance, and emergency services for residential and commercial clients in Philadelphia, Bucks County, Montgomery County, and the surrounding areas. If you have a home or business in need of a new air conditioning and heating system or would like maintenance or service on your existing system, please contact LegendAir today.

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