When you’re buying a new air conditioning unit, the focus is often on choosing a system that will meet your cooling needs. However, with these units costing as much as they do, you’ll want to know if there are other benefits you can possibly enjoy with the investment.
As the leading name for ultimate air conditioning installation services in Bowie, MD, we get questions from many homeowners wondering what a new air conditioner means for the value of their homes. Does a new AC increase home value? We’ll cover the details in this post.
A New AC Can Possibly Increase Home Value
If you’re wondering if a new air conditioner can make your home more valuable, then the answer is “possibly.” If you’re thinking about putting your home on the market anytime soon, a new air conditioner may be an advantage.
Potential buyers and their valuators will most likely choose a home with a new air conditioning system instead of one with an old system for various reasons.
Why a New AC Can Increase Home Value
A new air conditioning system can increase the value of your home because potential buyers will see the following.
Reduced Expenses
Potential homeowners will want to avoid anything that will make them spend a significant sum shortly after buying a new property. An old air conditioning system tells them that they may need to pay for a new air conditioner soon — even if the unit is in decent shape and working fine.
Therefore, a home with a new air conditioner will look more valuable than the one with an old conditioner, assuming everything else is equal.
Improved Energy Efficiency
A new air conditioner will most likely tick all the right boxes as far as the latest energy efficiency requirements are concerned. This means more effective temperature control and reasonable energy bills. Savvy homeowners will prefer having an HVAC unit that will help keep monthly expenditures down.
Eco-Friendly Operation
Older air conditioners have R-22 as the refrigerant flowing through the evaporator and condenser coils. Scientists have since shown that refrigerant leaks are bad for our environment, especially when it’s R-22. Therefore, the chemical has since been banned.
Any air conditioner running on R-22 is a liability, as it’s now increasingly more difficult to buy the chemical for a refrigerant recharge.
More Space
Modern air conditioners are more compact than older ones. This will skew the perception of the property in the minds of potential homeowners. They are likely to value a home they feel has a bit more space than one that feels a bit cramped.
How Does a New AC Increase Home Value in Raw Numbers?
The increase in value you can expect from installing a new air conditioner will vary. However, you can expect to see an uptick in the value of your home, usually to around 50% of the cost of the new air conditioner.
So, if your new AC cost you $5,000, you can expect the value of your home to increase by up to $2,500.
For some homeowners, that number doesn’t matter if the unit can help them sell their home faster.
A new air conditioner could be the difference between selling your home quickly for its asking price or higher and not selling for a long time and having to lower your prices. Therefore, it’s hard to fully quantify how the new unit increases the value of your home.
Will Every New Air Conditioner Increase the Value of Your Home?
No. You have to pay attention to the type of air conditioning system you’re installing if you want the value of your home to increase. First, you need to choose a product from popular manufacturers. Potential buyers will appreciate seeing a brand name they are familiar with than one they don’t know.
Secondly, the air conditioner has to be the right size. If it’s too small for the space, it won’t cool your home properly, and the indoor air quality will decline.
Lastly, you have to consider the state of the existing system. If your existing air conditioner is less than seven years old, you probably won’t see much increase in value following an upgrade.
Get Expert Guidance From Your Heating and Air Conditioning Experts in Bowie, MD
Are you still asking, “Does a new AC increase home value?” We can help.
Call S&L Air Conditioning and Heating at 301-709-3986 to schedule a consultation with our HVAC services team in Bowie, MD, today.
For further reading, check out our blog answering, “How long does it take to install AC units?”