San Jose’s climate varies throughout the year and residents are used to cranking up the AC in the warmer months. At IRBIS, we’re often asked about the cost of installing an HVAC system. That’s understandable; an air conditioning and heating unit is a large investment. We will answer common questions about the cost of HVAC in San Jose, to help you plan for your next project.
How Much Should I Spend on a New HVAC Unit?
As of 2022, the average cost of installing or replacing an HVAC system was around $20,000. However, the total price can vary based on several factors, including:
- Type of equipment (central air, heat pump, furnace, etc.)
- Brand and quality of the system
- Size and layout of your home
- Energy efficiency ratings of the unit
- Ductwork length and modifications required
- Labor and installation costs
Are HVAC Costs Going Up or Down?
The COVID-19 pandemic, inflation, increasing materials costs, supply shortages, and environmental regulations have contributed to price increases in recent years. Increased demand has affected prices as well. Meanwhile, dwindling supplies of R-22 Freon and the importing of R-410A refrigerant (now required for all new HVAC systems) are also contributing to rises in prices.
New testing and efficiency requirements are set to take effect in January 2023. All new air conditioners, gas furnaces, and heat pumps must meet SEER2 requirements. Therefore, manufacturing costs are expected to rise. Suppliers, installers, and consumers are likely to see higher prices as well.
Can I Negotiate with My HVAC Installation Contractor?
At IRBIS, we understand that every homeowner has different budget considerations. That’s why we provide multiple proposals—from premium to economy options—so you can choose the solution that best fits your needs and price expectations.
Additionally, rebates and incentives can help you save up to 80% on your HVAC installation project, significantly reducing your out-of-pocket costs.
Is It Worth It to Replace My HVAC System?
If your current HVAC system isn’t that efficient, installing a high-efficiency unit can cut your electric bills by as much as 20%.2 The value of updating your heating and cooling system depends on the seasonal temperatures in your area. The more you need your AC or furnace, the greater the potential to save.
The condition of your ductwork is also a factor. If your system is more than 15 years old, the ducts may also need replacement. This can add thousands of dollars to the project. However, installing the most efficient HVAC but having poorly designed, leaky ductwork won’t enable you to see much improvement in efficiency or performance.
All factors considered, replacing the system is worth it if major repairs are needed within short time spans. Has the unit been serviced two or three times in the past year? If so, investing in a new system will avoid additional repair costs and can result in net savings.
Will Replacing an HVAC System Increase Home Value?
A new HVAC system can increase the value of your home. How much depends on the demand for an effective system. If it’s unbearably hot and humid in the summer, a new AC will increase property value more than one in a moderate climate. In other cases, a prospective buyer may not necessarily look at the age and condition of an HVAC system—unless it’s not working.
Nevertheless, a unit of poor quality and in disrepair can reduce property value. In this case, a replacement system will certainly boost the value of your home. An HVAC system with a high-efficiency rating, that’s the right type, and that’s properly sized can have the greatest effect.
Contact IRBIS for a San Jose HVAC Consultation
IRBIS, a Carrier Factory Authorized Dealer, is known for high-quality HVAC installation throughout the Bay Area. Each project starts with a consultation and whole-house inspection. We then build a custom solution for your needs with every option considered and handle planning, permits, and all installation work. A 12-month 100% Satisfaction Money Back Guarantee is included while 24/7 support is provided during and after installation. online or call (669) 322-8182 to get started.