In my career I have seen less than 20 heating and cooling systems that were properly installed ultimately costing consumers much more than just the cost of that new system. As of the time this article was written the average cost of a new heating/cooling system in my market ranges from $6k to $20k depending on the need and the type of equipment you purchase. The darker side of this is the fact that I've seen many of those $6k installs cost consumers another $10k to maintain/repair over the next 10 years... Why?
Ductwork Considerations
15 years ago we used different motors in hvac systems and the world was a different place as energy consumption wasn't as big of a concern as it is today. With the newer motors being produced in heating/cooling systems we have to be more mindful of a thing called static pressure. Static means not in motion and this is the metric we use to see the back pressure pushing against a motor. That back pressure reduces the amount of conditioned air actually being delivered to the conditioned space and resulting in longer run times and ultimately increased energy consumption. That means your electric bill can be drastically higher than it should be. I have test new equipment on old and poorly designed duct systems and found that on average, most hvac systems are consuming 30% more energy than they should had they been installed properly. It may surprise you to know that I see this more in new construction than I do on older homes that have equipment that's been changed out a couple of times. Can you imagine how much your equipment is costing you if it's driving your electric bill up by 10% per year. Lets say your electric bill on average is $240 per month, that's $2,880.00 per year, and that equates to $288.00 of waste. You might say that's not that bad, but over the next 10 years that cost you $2,880.00, an entire year of electric bills. This doesn't account for the fact that newer electronically commutated blower motors often fail prematurely in high static pressure situations. I just changed out a 6 year old ECM blower motor on a new construction house 2 days ago that cost the client $1k. That is a realistic expectation of a poorly designed duct system that has now cost that consumer roughly $3,880.00 in the first 10 years of operation. We've only talked about that one part failure, what else could a poor install be costing you?
Equipment Operation/Health
Now more so than ever in the history of the heating and air industry we have access to knowledge and science allowing us to have a deeper understanding of how to protect your investment and make equipment last longer... but it doesn't so why? There are extremely prudent tasks that must be performed when installing/commissioning a new system that will determine the health and longevity of the system. The first thing that must be done when installing a new system is to flow nitrogen through any line sets while brazing. Brazing is the process of heating copper joints above 1100 degrees and using an allow to fill the gaps. Copper, like any metal, will oxidize when heated to these temperatures creating carbon deposits. This can happen inside the pipes if an inert gas like nitrogen is not used to displace the oxygen inside the pipes. That carbon depositing WILL lead to premature compressor and valve failures. Notice I didn't say could, I said will. I can't even begin to remember the number of compressors and thermostatic expansion valves I have replace on equipment less than 10 years old because of this. The next big step is to properly pressure test the refrigerant lines to ensure they are air tight and won't leak. Anytime there's a refrigerant leak in a system it causes strain on the entire system as the equipment has reduced capacity leading to more energy consumption. You have to know also that the compressor (which can get extremely hot very fast) is cooled by the proper amount and flow of refrigerant. A system with a refrigerant leak runs hot and WILL lead to a prematurely failed compressor. The last and probably the most overlooked, but most important step, is to properly evacuate a system before commissioning. This is where we are supposed to pull and measure a vacuum on refrigerant lines to remove as much atmosphere as possible. The refrigerant circuit will form inorganic acids if the elements of the atmosphere are left in the system as the refrigerant oil interacts with oxygen. This is why pulling a vacuum to manufacturer specifications and conducting a rise test is so important. Most manufacturer's agree that a vacuum of 500 microns or less (a measurement of pressure) is required, and a rise test is basically an isolation of the system without an active vacuum pump running to ensure that the refrigerant lines do not rise above 500 microns of atmospheric pressure. The inorganic acids that will develop from oxygen concentration in a refrigerant system ultimately eat away at the compressor windings leading to a failed compressor... oh and a contaminated refrigerant circuit that is very rarely properly rectified before installing a new compressor leading to a viscous cycle of failed components such as compressors.
With all that being said, the price of replacing a compressor and thermostatic expansion valve (TXV or TEV) by todays standards ranges from $2700.00 to $4500.00. Let's assume that mid range of $3600.00 and add that to cost of increased energy consumption from our hypothetically improperly designed duct system from earlier, and that system has now cost a consumer $7,480.00 (not including service fees).
Poor Performance and Service Fees
My entire career has been plagued with responding to calls where clients tell me that they have a new home or a newer hvac system that has never worked right and the original installing contractor either can't fix it or they just make up excuses as to why the system doesn't maintain consistent comfort. 90% of the time these calls are always attributed poorly designed duct systems which leads to hot and cold spots throughout the home or high humidity causing comfort issues. Sometimes we can make minor adjustment to the duct design and get a slightly better balance in the home, but that cost money. Most of the time I find over sized equipment (on top of the fact that the duct design is inadequate at best), and the only reasonable remedy here is to replace the equipment with the properly sized system. By the time a client has contacted me, they likely have had the original contractor out several times and have paid at least $1k in service fees and possibly bogus repairs that did nothing to resolve the issues. Like I mentioned earlier, sometimes we can make some adjustments to the install and get a slightly better balance/performance, usually to the tune of at least $800.00 and that's if the modifications are minor.
By now you can see where this is going, but lets keep a tally of our totals. If we add the new $1,800.00 to our previous total of $7,480.00, the consumer has now spent $9,280.00 in the first 10 years of operation.
What About The Initial Cost?
Whether you bought a new home or paid for a new system in an existing home, you paid between $6k and $15k for your equipment (even if that's in a mortgage which is worse cause then your paying interest as well). Let's assume the lower end of that range and assume only $8,000.00 for your equipment. Our new total for the first 10 years is $17,280.00. At this point I hope you are seeing the value of a good contractor.
What To Look For?
This industry is really tuff and here's why. As the owner of an HVAC business I know that many consumers are shopping for the cheapest price especially when it comes to really big purchases, so there's an internal struggle that all business owners face. First is labor, the best employees with vast knowledge are going to cost the most. That means if you want the best, your labor rates are going to be higher. Likewise, if you want the most reliable tools and equipment to ensure a proper job can be done, that will cost more. To provide the best services and industry practices, you will need constant training through the entire company. Training is expensive for two reasons as it has to be done on company time which means employees will be on payroll and not actually making the company money. That's an overhead cost that must be paid for and it should be a continuous investment. To ensure all the proper practices are being implemented, such as brazing with nitrogen, pressure testing, proper vacuum, more time has to be allowed to do these things and with that highly qualified and expensive labor, this inevitably increase the cost of operation. Basically what I'm getting at is price is often a good indicator of how that company will serve you, not always, but can be. I encourage consumers to be involved and ask meaningful questions about what companies have to offer. Ask for proper load calculations, get qualified assessments of duct systems, and be as educated as possible. That new cheap system can cost you more than you ever expected!
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