Updated: March 22, 2024
Most homeowners don’t look forward to the realization that the time has come for a new A/C unit. The cost of a new A/C unit depends on a number of different factors, but people can normally count on paying roughly $5,000 on average. The cost may be slightly lower if you only need to cool a small home and don’t care very much about efficiency. If you need to cool a large home and want to save money on utility bills, the upfront cost of a new air conditioner can be much higher.
The cost of installing a new air conditioner in your home will depend on the size of your home. Larger homes need larger equipment. If your unit is especially hard to get to, that can also make the installation more difficult and therefore more expensive. Finally, the cost will depend on which equipment you choose, what kind of SEER rating you want, and the level of performance you expect. A good HVAC contractor should always walk you through all of your options, but this guide can help give you an idea of what to expect in the meantime.
Itemized Cost for New Air Conditioner
To get a more complete understanding of what you’re getting with a new air conditioner, it’s important to have a basic understanding of the different parts. Even though you’re buying a completely new unit, that unit contains multiple different parts that contribute to the total cost. Almost every time you buy a new air conditioning unit, you can expect the price to break down as follows:
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- The outdoor condensing unit alone is normally worth somewhere between $1,000 and $4,000.
- The indoor coil is less expensive but is still likely to cost over $200 at a minimum, often over $1,000.
- New refrigerant lines can cost up to $500 even for fairly basic jobs.
- The labor costs for installation are normally between $1,000 and $2,500 on average.
There may be additional costs if you’re installing central air in a home that hasn’t had it before, or if the system you’re replacing is especially damaged or outdated. In those cases, you may need a new condensing unit pad, new wiring, or even a new permit. Each of those additional components of the installation can carry hundreds of dollars of additional charges. If you need new ductwork or serious ductwork repairs, that can easily add $3,000 to $5,000 of additional charges.
Finally, most homeowners also choose to upgrade the thermostat or thermostat when they’re paying for a new air conditioner installation. Newer thermostats are great because they offer smart home performance in addition to other features. Depending on which kind of thermostat you have currently, you may even need a new one to work with your new air conditioner. Most new thermostats fall between $100 and $300 in cost.
New A/C Unit Cost Factors
As you can see from the section above, even a single component of your air conditioning system can come at a wide range of different prices. To further understand why two versions of the same kind of equipment can have such wildly different price tags, it’s critical to understand why some air conditioners are more valuable than others. Some air conditioners cost much more than the national average, while others cost less. The difference can normally be boiled down to five factors.
1. Air Conditioner Efficiency Rating
An air conditioner’s efficiency is measured and referred to as a SEER rating. The higher the number, the more efficient an air conditioner is, and the less energy it will use to do the job. At a minimum, you should expect a new air conditioner to have a SEER rating of at least 14. Most brands make new air conditioners that could have SEER ratings as high as 20.
Choosing the right SEER rating level is especially important here in Arizona. The bad news is that an air conditioner with a SEER rating of 14 will consume a lot of energy during our hot summers. We normally don’t recommend choosing a new air conditioner with a low SEER rating unless you’re only going to be cooling a very small space. The good news is that a new air conditioner with a high SEER rating will pay for itself by reducing your energy bills for many years to come.
People in the Phoenix area can see their utility bills decrease right away after upgrading to a more efficient air conditioner. When temperatures rise above 100°F in Mesa, Tempe, and Scottsdale, you’ll be happy you paid more for an efficient unit that doesn’t waste so much energy. The other nice thing about more efficient units is that they’re better for the environment.
2. Air Conditioner Size
The capacity of your air conditioning unit will be measured in BTUs or tons. One ton equals 12,000 BTUs, so these measurements are interchangeable. You’ll need a larger condensing unit to cool a larger home.
When you choose a larger condensing unit, you’ll also need a larger evaporator coil. For the air conditioning system to function properly, these two components have to match. The distance from the condensing unit to the evaporator coil will also affect the refrigerant line set length. Longer line sets require extra material and additional refrigerant, so the cost will be greater.
3. Air Conditioner Performance
Air conditioning performance can be either single-stage, two-stage, multi-stage, or variable-capacity (which is also called modulating). To get a more efficient type of performance, you can also count on paying more. A two-stage air conditioner normally costs about 15-20% more than a single-stage model, and upgrading even further may drive the price up an additional 20-30%. The cost of installing a more efficient unit may also be slightly higher. Like upgrading to a unit with a better SEER rating, a more efficient type of performance can pay for itself by reducing energy bills.
4. Air Conditioner Installation Labor Costs
The cost of labor will depend on a variety of factors. Installing a unit in a walkout basement or utility closet is easier than installing it in an attic or crawlspace. You may be able to find a sale when the HVAC companies in Arizona aren’t as busy. Finally, a skilled A/C installer is likely to charge more, but the expertise is usually worth it.
5. Air Conditioner Brand
Like with anything else, the brand will affect cost. Similar units from different brands can come with price differences as large as 20%. An HVAC professional will be able to walk you through the strengths and weaknesses of different brands to help you determine if the additional cost is worth it.
Get Expert A/C Installation In East Valley Phoenix, AZ at Superstition Cooling Today!
Here at Superstition Cooling, our experts will help you determine when it’s worth getting a new A/C unit. That means giving you an honest opinion about whether you should repair or replace your existing unit. When it’s time to install a new A/C system, contact us to discuss how we can meet your needs for less.