A new heating and cooling unit typically costs $5,000-$14,000 installed, with an average near $9,000 for a standard central system. The heating and cooling unit cost depends most on system type, home size, efficiency, regional labor rates, and whether existing ductwork can be reused.
| Item | Low | Average | High | Notes |
|---|---|---|---|---|
| Central AC and furnace | $5,000 | $9,000 | $14,000 | Installed, typical home |
| Central AC only | $3,500 | $6,500 | $10,500 | Existing furnace and ducts retained |
| Heat pump system | $4,500 | $8,500 | $15,000 | Installed, standard ducted setup |
| Ductless mini-split | $2,000 | $5,500 | $12,000 | One to three indoor heads |
How Much Does a Complete Heating and Cooling Unit Cost?
For a 1,500-2,000-square-foot home with usable ducts and standard equipment, a new central AC and gas furnace commonly totals $7,000-$12,000. A basic replacement may start near $5,000, while premium variable-speed equipment or difficult installation can exceed $14,000. A heat pump that handles both heating and cooling often costs $6,000-$12,000 installed.
Equipment-only prices are lower, but installation, refrigerant handling, electrical work, startup, and contractor overhead make up a substantial share of the final quote. Assumptions: standard residential access, midrange equipment, and no major duct or electrical reconstruction. Compare installed quotes for the same capacity and equipment tier, not the advertised unit price alone.
Where the HVAC Quote Goes in a Standard Replacement
Quotes vary in what they include. The ranges below show common U.S. charges for a central AC and furnace replacement; line items may be bundled rather than billed separately.
| Quote component | Low | Average | High |
|---|---|---|---|
| Furnace and AC equipment | $3,000 | $5,500 | $9,000 |
| Installation labor | $1,500 | $2,800 | $4,500 |
| Equipment, haul-away, and disposal | $150 | $400 | $900 |
| Duct repairs and accessories | $0 | $600 | $2,500 |
| Permits and inspection | $50 | $250 | $700 |
Ask whether the price includes a thermostat, new refrigerant lines, startup testing, permits, and removal of old equipment. Duct sealing may run $1-$3 per square foot of duct area, while replacement ductwork can add roughly $25-$55 per linear foot depending on access and material.
Which System Size and Efficiency Raise the Price?
Capacity and efficiency affect both equipment price and operating expense. A typical 2-ton AC may cost less than a 4-ton system, but the correct size depends on a load calculation, not a simple square-foot rule. Oversizing can cause short cycling and uneven comfort; undersizing may leave rooms warm or cold.
For central AC, moving from a basic 14-15.2 SEER2 model to a higher-efficiency 17-20 SEER2 unit can add about $1,000-$3,500 installed. A 60,000-BTU furnace usually costs less than an 80,000-100,000-BTU model, though fuel type and efficiency also matter. Request the proposed tonnage, furnace BTU rating, and SEER2 or AFUE rating in writing.
How Do Installation Prices Shift Across U.S. Regions?
Labor availability, climate, building codes, and seasonal demand create regional differences. Compared with a national midrange quote, major coastal metros and high-cost Western markets may run 10%-25% higher. Many Midwest and Southern markets fall near the middle, while rural areas can be 5%-15% lower on labor but higher when travel or equipment delivery is substantial.
Cold-climate heat pumps, high-efficiency furnaces, and code-required electrical upgrades may change those comparisons. Local permits can add $50-$700, and some jurisdictions require inspections or updated disconnects. Use local written estimates as the benchmark because national averages do not capture city labor rates or permit rules.
Why Do Labor Hours and Crew Size Change the Total?
A straightforward replacement often takes a two- or three-person crew 8-16 hours, usually within one workday. Difficult attic or crawlspace access, a relocated unit, new refrigerant piping, or duct modifications can extend the job to two or three days. HVAC labor commonly works out to about $75-$150 per technician-hour, although many contractors quote one installed price.
Labor math is only an estimate because the quote may include supervision, tools, insurance, commissioning, and warranty support. Ask how many workdays are expected and which site conditions could trigger an additional charge.
Which Extras Add Charges Beyond the New HVAC Unit?
Electrical work, duct corrections, condensate drainage, and removal can make a low base quote rise quickly. A new circuit or panel work may add $300-$2,000; a new thermostat typically costs $100-$500 installed. Crane service for rooftop or hard-to-reach equipment can add several hundred dollars or more depending on the site.
Old refrigerant equipment should be recovered and disposed of properly; ask if that service is included. Emergency or peak-season replacement may also cost more when a contractor has limited availability. Get each proposed extra priced separately so necessary code work is distinguishable from optional upgrades.
Repair or Replace an Aging Furnace and Air Conditioner?
A diagnostic visit usually costs $75-$200, with repairs ranging from about $150 for a small electrical part to $1,500 or more for a major component such as a compressor. Repair can make sense for a newer system with an isolated fault; replacement becomes more compelling when the unit is around 10-15 years old, repair costs are high, or breakdowns recur.
Replacing only the failed AC or furnace can reduce immediate spending, but mismatched equipment may limit performance and complicate warranty coverage. A full matched system costs more upfront but can address both heating and cooling reliability. Compare the repair estimate with the installed price of a matched replacement before authorizing major work.
How Can Scope Choices Lower the Installed Unit Price?
Keeping serviceable ducts, electrical circuits, and refrigerant-line routes can avoid thousands in reconstruction. Choose equipment that meets local requirements and household comfort needs rather than paying extra for a feature that will not be used. Ask for separate good, better, and premium bids with the same capacity assumptions and clearly listed inclusions.
Scheduling replacement before a complete breakdown may provide more time to compare contractors and avoid rush charges. Bundling a furnace and AC can sometimes reduce combined labor, but it is not automatically cheaper than separate work. Control the quote by agreeing on scope first and comparing at least three itemized local estimates.