Frugal Friday – How I Saved Money On AC Replacement

December 7, 2007

Consumer Reports magazine recently had an article on 10 ways to reduce your energy costs around your home and it reminded me of my recent upgrade to my central heat and air conditioning system. Since I’m kind of a cheapskate, and I like to do home improvement projects, I figured I’d combine the two facets of my personality and try to get a deal on a new Heating/AC system.

The old system was installed in 1983 and was a 8 SEER (Seasonal Energy Efficiency Rating) which, by today’s standards is pretty inefficient. I would have started shopping sooner, but rumors that new AC systems run around $5000 to $7000 scared me into sticking with my current one. My electric bill was high and the unit had to be repaired 3 times in the previous six months, so I figured it was the right time to start shopping around.

I’m a member of Angie’s List, which is a highly regard compilation of competent contractors and service providers, and got some estimates for new systems, both inside (air handler) and outside (condenser/compressor) units. Sure enough, they all ranged from $4800-$7000. That was a no-go for me.

On a lark I looked on eBay to see if they sold such things there. Low and behold. there were tons of sellers for heat pumps and AC units, especiallyfor the southern US. To my happiness, most combo units (inside and outside) for the size I need were around $2300.

A listing just like this caught my eye:

And to my surprise, they were local and I could save another $150 in shipping by picking it up with my trusty trailer.

I went ahead and used Buy It Now and a few days later drove over to pick it up. This was a complete hassle and I’d never do it again. They were extremely unorganized and didn’t have it ready even though I’d called them a day ahead of time to schedule the pickup.

My guess it that their operation is streamlined for shipping, so when a guy like me comes along with his trailer and wants to pick his order up, it completely throws them for a loop. I ended up spending almost 3 hours there waiting for them to get their act together and get the stuff on my trailer. Avoiding that mess would certainly be worth $150.

They also recommended an installer, who came 2 days later and did a great job removing my old systems and installing the new one.

The total price was as follows:

Both Units with tax:…………………… $2130
Misc piping and electrical parts:…. $ 180
Installation Labor Cost: …………….. $1000
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Total:…………………………………………. $3310

By doing a little research and investing a little time, I was able to save around $2000!

Next money saving home improvement project….a tankless water heater.