How Much Does It Cost To Install An HVAC System In 2024?

The average HVAC system installation cost can vary depending on several factors. These factors include the size of the home, the type of HVAC system being installed and the complexity of the installation process. House owners can expect to pay around $3 to $7 per square foot for the installation of a HVAC system. These are the average HVAC system installation costs:

AVERAGE HVAC SYSTEM INSTALLATION COST
Average Cost	$10,000
Highest Cost	$15,000
Lowest Cost	$5,000

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Now, let’s delve into the specifics of HVAC system installation and furnace and air conditioning prices, ensuring you can make a well-informed decision tailored to your home’s needs.

Air Conditioner Costs

Air conditioner costs will vary depending on the type of system you choose for your home. We will discuss the different costs of portable AC units, window AC units, ductless mini-splits and central AC units.

Portable AC Unit
Portable air conditioners with wheels can be moved to different rooms. They can only cool one room at a time but don’t require professional installation. This type of system is typically the most affordable, and even with professional installation, they are budget-friendly. The cost of a portable AC unit can range from $100 to $500 on average, depending on the brand and features.

Window AC Unit
Installing a window AC unit costs between $200 and $1,300, depending on size and brand. These units work like central air conditioners, pulling in outside air, cooling it and circulating it into the room through fans. They’re great for cooling a single room or a small space. Remember, though, they might not be as energy-efficient as central AC systems. Additionally, they require a window for installation and may obstruct the view.

Ductless Mini-Split
This type of system is ideal for cooling multiple rooms or larger homes, as it allows for individual temperature control in each room. It is also more energy-efficient compared to window AC units and does not require any ductwork. However, the initial installation cost can be higher and may require professional installation. Installing a ductless mini-split system generally costs between $2,000 and $14,000.

Central AC Unit
The central AC unit is a popular choice, with 66% of homes using it for cooling. However, the installation cost for a central AC unit can be much higher than other options. Additionally, it requires ductwork to be installed throughout the building, which can be time-consuming and expensive.

Despite these drawbacks, central AC units are often considered a long-term investment as they provide consistent and reliable cooling for years to come. The cost of installing a central AC unit ranges between $3,700 and $7,400. You will pay on average around $1,300 to $4,300 extra if new ductwork is needed.

AIR CONDITIONER TYPE	AVERAGE COST
Portable AC	$100 - $500
Window AC unit	$200 - $1,300
Ductless mini-split	$2,000 - $14,000
Central AC	$3,700 - $7,400

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Furnace Costs

Furnaces are an essential component of any heating and cooling system, providing comfortable indoor temperatures. The cost of installing a furnace can vary depending on factors such as the type of fuel it uses.

Electric Furnace
Installation costs for an electric furnace typically range from $2,000 to $6,300. Electric furnaces are a cost-effective and environmentally friendly heating solution, using electrical resistance to generate heat instead of gas. They can last up to 30 years and are easy to maintain. While they offer affordability, it’s essential to note that they may increase your monthly energy bills compared to other furnace types.

Natural Gas Furnace
You can expect to pay between $3,500 and $9,000 to install a gas furnace. While electric furnaces tend to have a lower upfront cost, gas furnaces are generally more energy-efficient. They can save homeowners money in the long run. Gas furnaces also provide a more consistent and powerful heat output, making them popular for colder climates. However, it’s important to consider the availability and cost of natural gas in your area.

Oil Furnace
Oil furnaces are less common among homeowners due to their higher operating costs, environmental impact and fluctuating oil prices. However, oil furnaces are known for their durability and ability to generate heat quickly. Like natural gas furnaces, oil furnaces require proper safety measures to prevent leaks and ensure proper ventilation to avoid carbon monoxide buildup. Installing an oil furnace will cost between $6,000 and $10,000.

FURNACE TYPE	AVERAGE COST
Electric	$20,500 - $6,300
Natural gas	$3,500 - $9,000
Oil	$6,000 - $10,000

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Heat Pump Costs

Heat pumps are another option for homeowners looking to heat their homes. While heat pump installation costs may be higher compared to electric or natural gas furnaces, heat pumps are known for their energy efficiency and lower operating costs in the long run.

Ductless Mini-Split Unit
Instead of circulating hot or cool air through ductwork, the ductless mini-split unit comes in smaller units placed in different rooms in the house. This setup is great for homes without ducts or for those who want to avoid the cost of adding new ones.

While they may have higher upfront costs than traditional heat pumps, ductless mini-split units are highly energy efficient, allowing homeowners to save on their monthly heating and cooling bills. The average price of the ductless mini-split unit falls between $2,000 and $14,000.

Dual Fuel or Hybrid Unit
Another option is a dual-fuel or hybrid unit, which combines a heat pump and a traditional furnace. These units can be more expensive, with average costs ranging from $3,000 to $15,000. However, they offer the advantage of switching between gas and electric heating depending on the outside temperature, providing greater energy efficiency and cost savings over time.

Gas-Fired Unit
A gas-fired unit is a popular choice for commercial buildings and homes larger than 4,000 square feet. They’re similar to air-source heat pumps but use natural gas rather than electricity. Average costs range from $4,000 to $10,000. However, they may not be as energy efficient as a dual-fuel system, and they can be less environmentally friendly due to the combustion of natural gas.

Air-Source Unit
These units extract heat from the outdoor air to warm the indoor space. Air-source units are highly energy efficient and can save homeowners money on their energy bills. However, they can be more expensive upfront, with average costs ranging from $5,000 to $14,000. Additionally, air-source units may not be as effective in extremely cold climates, as the outdoor air temperature can limit their efficiency.

Geothermal Unit
These units use the heat from the earth to warm the indoor space. Geothermal units are extremely energy efficient and can save homeowners a significant amount on their monthly energy costs. Geothermal units cost, between $10,000 and $35,000, on average. However, they have a longer lifespan, are very eco-friendly and require less maintenance compared to other heating systems.

HEAT PUMP TYPE	AVERAGE COST
Ductless mini-split	$2,000 - $14,000
Dual fuel or hybrid	$3,000 - $15,000
Gas-fired	$4,000 - $10,000
Air-source	$5,000 - $14,000
Geothermal	$10,000 - $35,000

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When it comes to HVAC installation, several factors play a crucial role in determining the overall costs. Let’s break down these key considerations.

Type of Unit

The type of HVAC system chosen for installation is one of the main factors that affects the overall cost. Portable AC units are typically the cheapest option, with prices starting as low as $200. On the other hand, geothermal heat pump systems are the most expensive, with average costs ranging from $10,000 to $35,000.

Cheaper units may have lower efficiency ratings and may not include advanced features such as zoning capabilities or smart thermostats. More expensive units often come with higher efficiency ratings, better warranties and advanced technology that can help save on energy costs in the long run.

Unit Size

Size matters in the world of HVAC installation. Larger units are typically more expensive than smaller ones, requiring more installation materials and labor. However, the size of your unit is directly tied to the heating or cooling capacity it provides. A unit that’s too small may struggle to meet your needs. At the same time, one that’s too large can lead to inefficiencies and unnecessary expenses. Getting the right size is essential for optimal performance and cost-effectiveness.

SEER Value

SEER, or Seasonal Energy Efficiency Ratio, measures an air conditioner or heat pump’s efficiency. A higher SEER value indicates greater energy efficiency, which can positively impact your utility bills over time. While units with higher SEER values may come with a higher upfront cost, they can save homeowners money in the long run by reducing energy consumption and lowering utility bills.

Brand of Unit

The brand you choose can influence both the upfront cost and the long-term performance of your HVAC system. Different brands have various levels of quality and reliability, so it’s important to research and choose a reputable brand. It’s also worth noting that some HVAC manufacturers offer warranties or extended warranties on their units, which can provide peace of mind and potentially save homeowners money on repairs or replacements in the future.

It’s crucial to factor in additional costs beyond the basic unit and labor expenses when considering HVAC installation. Let’s explore two significant elements that can impact the overall installation costs:

House Size

The size of your home will determine the unit’s capacity needed to heat or cool the space effectively. A unit that is too small will struggle to adequately regulate the temperature, while a unit that is too large may cycle on and off frequently, resulting in wasted energy and higher utility bills. On average, homeowners can expect to pay between $3 and $7 per square foot for HVAC systems.

Ductwork

If your home already has ducts in good condition, the installation process may be more straightforward, potentially lowering costs. But modifications may be necessary if the existing ducts are incompatible with the new HVAC system.

You can expect ductwork to cost between $10 and $20 per linear foot, and you’ll likely need an average of 50 and 200 feet. These additional costs should be considered when budgeting to ensure a smooth and efficient installation.

Project Difficulty

The complexity of the HVAC installation project can significantly influence costs. Factors such as structural considerations, modifications and potential obstacles can impact the overall difficulty level. Additionally, your expenses may increase if your contractor finds it difficult to access specific parts of your house or if you decide to hide the unit with a decorative fence.

When it comes to HVAC installation, there are pros and cons to both DIY and hiring a professional. If you have experience with and knowledge of HVAC systems, tackling the installation yourself may seem cost-effective. However, it is important to consider the potential risks, such as improper installation leading to system malfunctions or even safety hazards.

Hiring a professional HVAC company ensures that the job is done correctly, minimizing the chances of future problems and providing peace of mind. Additionally, professionals have the necessary tools and expertise to handle any unexpected challenges that may arise during the installation process.

When looking to cut down on HVAC installation expenses, consider these practical tips:

• Compare multiple quotes: Obtain quotes from multiple HVAC professionals to ensure you’re getting a competitive price.
• Energy-efficient units: Invest in energy-efficient HVAC units with high SEER ratings to save on long-term utility bills.
• Regular maintenance: Keep your existing HVAC system in top shape through regular maintenance to avoid premature replacement.
• Utilize existing ductwork: If your home has existing ductwork in good condition, explore options to utilize it for the new system.
• DIY preparation: To minimize labor costs, clear the installation area, ensuring easy access for professionals.
• Off-season installation: Schedule HVAC installations during off-peak seasons when professionals may offer lower rates.

To hire a reliable HVAC contractor, we recommend checking their credentials and certifications, reading customer reviews and testimonials and getting multiple quotes to compare prices. It is essential to choose a company that has experience and expertise in installing the specific type of HVAC system you need. Additionally, ensure the company offers a warranty on their workmanship to protect you in case any issues arise after installation.

To arrive at the average costs in this article, we surveyed 8 local and national cost databases and 1 organization for home inspectors. All averaged figures were correct at the time of publication and may be subject to change.