HVAC Price Increase for 2022: What You Need to Know
Whether you have a broken HVAC system or your current system is simply getting a little worse for the wear and will need to be replaced sooner rather than later, it can be tricky to determine the best time to invest in a new air conditioning unit. It’s a significant investment, and it’s essential to choose a timeline when prices are at their most affordable, especially if you are on a budget.
Recent trends and HVAC manufacturers’ announcements indicate that the prices for new systems will go up in 2022. There are several reasons for this, aside from the current price increases in construction industries.
This guide will give you a rundown of why HVAC prices will continue to rise and provide you with details on when to buy to get the best deal.
Why Are HVAC Prices Going Up?
There are several reasons why HVAC systems are rising in price. This is true of not only complete systems but also in the cost of parts and repairs.
For starters, the demand for these materials has increased. Part of this is because manufacturers raise costs yearly anyway. Additionally, the COVID-19 pandemic has also decreased the available raw materials needed and labor shortages in the factories that produce these materials. Many people who have been working from home who previously spent all day in an office. This has given many consumers more incentive to make home repairs, including updating their heating and cooling systems.
Transportation costs are also up, making it more expensive to transport materials from one place to another. High demand for a product combined with short supply means higher prices for the end consumer and HVAC part manufacturers and technicians. When they have to pay more to get the parts you need, the price will undoubtedly rise.
Which Raw Materials Will be Increasing in Cost?
According to the US Bureau of Labor and Statistics, which tracks trends in pricing, the cost of raw materials has gone up over the past year. A few of the materials which have raised in price include:
- Lumber: Systems and equipment are transported on wooden pallets. Lumber is also used to set and position ducts within a structure as the HVAC system is installed.
- Steel: This includes sheet metal. Most of your HVAC system is comprised of steel. This includes the unit itself and ductwork, drain pans, filter cabinets, strapping, motor casing, and more.
- Copper: Refrigerant is housed in copper piping, and copper wiring is used for the motors and control wiring.
- Aluminum: Fan blades can be made from aluminum, as well as the evaporator coil.
The cost of refrigerants is also increasing. R-22, or Freon, has been phased out and replaced with options that are more environmentally friendly. That means older systems in need of R-22 will be more expensive to repair due to the short supply of the coolant. Even newer coolants such as R-410a have been in higher demand, which also raises the prices.
Microchips used in newer systems are also in short demand.
These issues, when combined, mean that you will pay more whether you need an entirely new HVAC system, maintenance, or repairs. The Producer Price Index, which measures changes over time in selling prices, predicts a rise in prices over the next year. Virtually all significant heating and cooling equipment manufacturers have announced price increases since the beginning of 2021, and these increases are projected to continue as raw materials and parts become harder to find.
What Should You Do to Save Money on Cooling?
How should you prepare for these price increases? First of all, be patient with your HVAC technician if parts take longer to arrive than anticipated. You should also understand if the cost of parts is higher since inflation is rising, causing the dollar’s value to decrease. This can result in paying more than previously for the same item.
If your HVAC system is 12 or more years old, then the odds are good it will need to be replaced soon. Why wait until the temperatures are sweltering and prices have already gone up? Buying a new system now, or ensuring that your current system is in good working order, is the best way to ensure you get what you need without having to pay higher prices.
How to Get a New Cooling System in Bakersfield
Whether you need a new system, need emergency repairs, or want to book repairs on your existing HVAC system from the Bakersfield AC repair professionals, turn to the experts at On Time Home Services.
Our trained HVAC technicians will troubleshoot issues with your air conditioning, install a replacement, or recommend an energy-efficient system for your new construction.
We have extensive training and expertise in all stages of installation, repair, and maintenance of most major HVAC manufacturers. We’ll inspect your current unit to help you determine if it can work more efficiently, or whether a replacement is truly necessary.
Get in touch with our team today to schedule a consultation!