Checking the Price!
Allow experience to lead the way. These timeless homeowner lessons address the unique ups and downs of being a homeowner. May these articles speed you back to what really matters.
By Ken Willis
We are getting a lot of calls from homeowners regarding pricing for air conditioning, insulation and a number of other summertime home improvements. Probably the biggest concern has been air conditioning. By telling you about our experiences we hope that you will learn how to avoid problems. Here are some examples of situations we have encountered:
(Note: "HVAC" means "heating, ventilation & air conditioning" contractor.)
Homeowner #1: A 20-year-old air conditioning system has gone out. They called just one HVAC contractor. The contractor wanted $4,000 to install an air conditioning system only. This would allow them to continue to operate with the existing heating system. The difficulty with this offer is that the homeowner could get a much better price. We advised the homeowner to contact three more HVAC contractors. By so doing, they were able to get the same work done (and with a better quality unit) for $2,100. That represented savings of $1,900.00.
Homeowner #2: This homeowner decided to add a heating and air conditioning system to a home which was built in 1955. Up until now, they relied upon a floor furnace for heating only. The homeowner called concerning prices for heating, air conditioning and installing a new ventilation system. They were concerned about costs and we were able to advise them of five good HVAC contractors they could call. We also informed them that the overall cost should run anywhere from $5,000 to $8,000, depending upon brand and model of the system, and just how many bells and whistles they wanted to add. The amazing thing about this particular caller was that they had absolutely no insulation in their house! No insulation in the attic or the walls! I pointed out to them that adding a new air-conditioning system to a home without insulation was like offering a bilge pump to the Titanic. No matter how much cold air you pump into the house, you loose all of it without proper insulation! The solution, budget another $1,500 to $2,000 for insulation. By so doing, the homeowner receives real value for the new equipment they want to install.
Homeowner #3: This family responded to a telemarketing call regarding air conditioning. Without talking to any other HVAC contractors, the family signed a contract and had a new heating and air conditioning system installed in their home. The price they paid was about 50% to 75% higher than it should have been. Unfortunately, they realized this only after the system was installed. Actually, the contractor was reputable, but very expensive. The work was done well and the equipment had a terrific warranty. The homeowner was never the less unhappy about paying more than what might be standard. The homeowner had to pay and there was not way to help them get a price cut. Remember, all of this was after the fact. Had the homeowner called other HVAC contractors and done some price comparison they would have saved at least $3,500 to $4,000!
Homeowners need to remember to shop systems among reputable contractors prior to signing any contract. The only way for you to get a good grasp of pricing is to simply ask questions of several people who work in that field. Anytime you are not sure of pricing, you can also give us a call at LCH. We will be glad to give you some tips and direction on any contracting problem or question.