If your air conditioner or furnace just died, you’re facing some quick and tough decisions. Now is the time to take a deep breath and not rush to an uninformed decision.  The top mistakes people make when purchasing a new heating or cooling system are: Ignoring SEER – The higher the SEER (seasonal energy efficiency ratio) rating the more efficient the unit, which translates to less money spent each month heating or cooling your home. A 13 SEER rating is the minimum; 15 SEER is good; above 16 is high efficiency. A high efficiency system can cut your energy bills in half when compared to an old 8 SEER unit and also provides many comfort benefits. Missing rebate opportunities – Many states and manufacturers offer rebates to help offset the costs of some systems, particularly those that are higher efficiency.  In fact, some states offer as much as $1500 in rebates. Only getting one estimate – Prices and options will vary, as will service contracts, installation costs, and permits. 

Shop around and compare apples to apples. Going for the lowest price – A low price does not always equal the best value. A higher efficiency system might cost an extra $800 up front, but could save you $300 per year in energy costs. Over the life of the system, typically 12-15 years, you would be saving significant dollars by paying a little more for the higher efficiency system. Not considering maintenance contracts – Maintenance is necessary to keep your system functioning in optimal conditions over the life of the unit.  Over time dirt, debris, and other foreign substances can cause build up in your system, erode electrical connections and cause other damage that is expensive to replace.  In addition, the buildup can cause a 14 SEER unit to perform like a 10 SEER one, making your system work harder and your utility bills higher. Ensuring your system is clean and maintained annually can extend the life of your system and help you avoid expensive and preventable repairs in the future.

Not paying attention to refrigerant – R-22, which might be referred to by a brand name like Freon®, has been restricted from use in all new units produced after 2009. As an ozone-depleting gas, new R-22 refrigerant should not be used in  new systems.  cleaner for ac unitsIf you’re buying a new system make sure it uses R-410A or a similar approved refrigerant. 3 5 ton ac unitIn some cases repairs can be made to existing systems using the R-22 refrigerant that is already in your old system or it can be repaired and recharged with “re-claimed” and recycled R-22 refrigerant from other old systems.ac unit repair or replace Buying a new air conditioner or furnace is a big decision.  Take the time to make it a good one.  Have you recently replaced your system? 

Tell us what you learned before your purchase!Cost to Install a FurnaceUpdated: June 2016 Furnace Installation Cost CalculatorZip Code Furnaces Furnace Labor - Basic Furnace Materials and Supplies Totals - Cost to Install Furnace - Average Cost Per Furnace Get an INSTANT, detailed estimate of the cost to Install a Furnace! Our free calculator uses up-to-date, trusted data to estimate typical subcontractor costs for a Furnace Installation project. For a basic 1 furnace project in zip code 47474, the benchmark cost to Install a Furnace ranges between $2,252.18 - $2,868.54 per furnace. Cost to Install a Furnace - Notes and General InformationExplore the full range of floor furnace new installation labor options and material prices here. Costs to prepare the worksite for Furnace Installation, including costs to protect existing structure(s), finishes, materials and components. Labor setup time, mobilization time and minimum hourly charges that are commonly included for small Furnace Installation jobs.

General contractor overhead and markup for organizing and supervising the Furnace Installation. Cost to Install a Furnace - References Furnace Installation - Average Cost Per FurnaceTo lower Furnace Installation costs: combine related projects, minimize options/extras and be flexible about project scheduling.The Feds allow a suite of energy tax credits for heating and cooling systems and related energy-efficiency improvements.Read on to learn more.The BasicsLifetime credit max of 10% of costs, up to $500 for all energy improvements combined.File IRS Form 5695 with your returns. This can be tricky, so pay attention to the details.You must have installed a relevant heating and cooling system by Dec. 31, 2016.Save manufacturer certifications and receipts in case you need them for filing.Although there is a $500 overall ceiling, some improvements have individual limits below $500:$50 for any advanced main air-circulating fan.$150 for any qualified natural gas, propane, or oil furnace or hot water boiler.$300 for any qualified item of energy-efficient building property, as specified by the IRS.

In previous guidance, this category included certain approved electric and geothermal heat pumps, central air conditioning systems, and natural gas, propane, or oil water heaters.The Energy Star site has guidelines on what heating and cooling systems are covered. It’s your safest bet for information on which kinds of systems and individual products get you the credit.Don’t rely solely on contractors who may not know the details of the energy tax credit program or who promise their products will get the credit in order to make a sale.What Efficiency Means to Your WalletThe tax credit makes it a little easier to do what you should do anyway. Upgrading your heating, ventilation, and air conditioning (HVAC) to energy-efficient units can cut utility costs by about 20%, or $200 annually, on average.However, you need cash to get going — these upgrades aren’t cheap. Although prices vary, keep in mind that:A high-efficiency furnace starts around $3,500, including installation, estimates Corbett Lunsford, executive director of Chicago-based Green Dream Group, an energy-efficiency and eco-consulting firm.

A standard furnace may cost $2,400.Not All Heating and Cooling Systems Qualify for Tax CreditNot even every product with an Energy Star rating will get you the tax credit. Energy Star-rated furnaces must be more efficient than standard units, with annual fuel utilization efficiency ratings (AFUE) of:85% for oil furnaces90% for gas furnacesAFUE ratings must be higher for credit-eligible furnaces:Gas (either natural gas or propane): 95%Oil: 95%Boilers must have an AFUE of 95%.Central air-conditioners:Split Systems:SEER>= 16EER >= 13Package systems:SEER >= 14EER >= 12Note: Energy Star may update these criteria at any time, so check online before making a purchase.Payback and Benefits of HVAC ReplacementIt typically takes about a decade’s worth of energy savings to recoup the investment in a new HVAC system, Dream Group’s Lunsford says, though that time frame can vary greatly depending on fuel price fluctuations.Less apparent in dollar terms — but still valuable — is the increasing comfort level in your home and lowering your household’s drain on non-renewable fossil fuels.