10 Ways To Save Money if You Need a New HVAC System

Investing in home upgrades is a smart homeownership move, especially when looking to up your home’s value before a sale. But you often have to spend money to make money, and major upgrades like a new HVAC system can easily cost thousands of dollars.

If you want to keep costs low when installing a new HVAC system, keep reading. These practical, budget-friendly strategies can help you save money while making a wise investment in your home’s value — not to mention your own comfort at home.

Rather than scheduling an immediate installation appointment with the first HVAC company you find online, take the time to compare your options. Getting multiple quotes can help you understand a fair market price for a new HVAC installation. With that information, you can weed out companies that overcharge compared to the competition.

Updating to an energy-efficient HVAC system may come with manufacturer rebates, government incentives, or energy tax credits. For instance, installing an energy-efficient heat pump can qualify you for up to $2,000 worth of tax credits. Energy Star-certified makes and models can also qualify you for a rebate.

Along with manufacturer rebates and federal tax incentives, check to see if your local utility provider offers customer-specific perks to homeowners who update to new HVAC systems.

Additionally, look into any state-level incentives specific to your region. For instance, the Washington State Home Energy Assistance Program helps low- to middle-income households upgrade to energy-efficient heat pumps.

Energy-efficient HVAC systems don’t just save you money during tax season. They can also cut your utility bills year-round by heating or cooling your air more efficiently. According to one study from the federal government, switching to an energy-efficient electric heat pump can save you anywhere from $200 to $1,050 in utility costs per year.

Regardless of brand, the most energy-efficient HVAC system for you is the one that fits your home’s size.

For instance, if you save with a small, efficient air conditioner, you might have to run it more frequently to cool your home effectively. The utility bill costs and overuse will offset the savings you get from the brand and easier installation. Similarly, an oversized system will switch on and off more often, resulting in the same problem.

HVAC companies tend to be busiest during the winter and summer when more households run their heating or air conditioning. In contrast, when systems are used less during the fall and spring, HVAC companies may have more inventory ready to install and more time to schedule an installation. As a result, some companies may offer discounts on labor and materials.

Paying thousands of dollars upfront to install a new HVAC system can be a substantial financial burden, so many contractors and HVAC companies offer financing plans. Talk to your HVAC contractor about any low- or no-interest financing options they offer that will let you spread the cost of the installation over time.

While you should leave the bulk of the new HVAC installation to the professionals, you can tackle a few tasks ahead of time to lower labor costs. For instance, you can remove the old unit or clear the installation area yourself.

By ensuring the path to your old HVAC unit is clear of trip hazards, you’ll save yourself (and your contractors) time and stress during the installation process.

While installing a new air conditioner and heater will cost more upfront in terms of equipment, it can save you money on labor costs since the installation crew will spend less time at your home.

The work doesn’t stop once your new HVAC system is in place. Now, your job shifts from finding the right system to ensuring your new system works as well as possible for as long as possible.

Practice preventative maintenance, such as changing the filter every three months, tuning up your air conditioner every summer and your heater every fall, and cleaning debris from outdoor units throughout the year. This will ensure that you won’t have to replace your HVAC system again for a long time.

Although replacing your entire HVAC system is necessarily expensive, you can still avoid wasting money by following the tips above.

If you’re running short on other ideas for keeping costs low, ask for advice from the HVAC professionals you contact for quotes. As experts in their profession, they’re best qualified to help you understand which other cost-saving strategies will increase your home’s value without draining your budget.