How Much Does an AC Unit Cost in 2024?

AC Unit Cost Factors

Some key factors that influence AC unit cost include home and unit size, AC efficiency, and labor costs for installation.

Home Size

When considering an AC unit for your home, it’s important to assess how much cooling power you’ll need. The following chart shows how many British Thermal Units (BTUs) are required to power different rooms and home areas.

Unit Size

Air conditioner size is typically measured in tons or British Thermal Units (BTUs). A one-ton unit can cool one ton of air in an hour, which is roughly 12,000 BTUs. Both systems measure an AC unit's cooling capability, but central AC units typically measure in tons, while portable units use BTUs. 

Understanding how the two measurements relate to each other can help you select the right size of AC, no matter which system the manufacturer uses on the label.

Labor

Most AC units—with the exception of small portable units—require the expertise of an HVAC contractor for installation. HVAC pros typically charge between $75 and $200 per hour, depending on their experience level and the complexity of the installation.

Installing an AC unit usually takes between four to eight hours, meaning you’ll pay anywhere from $300 to $1,600 in AC unit installation labor costs. These costs increase if duct or vent installation is required.

SEER Rating

Seasonal Energy Efficiency Ratio, or SEER, measures how efficiently an HVAC system operates—the higher the SEER rating, the more efficient the unit. AC units with a SEER rating of 18 or higher are generally considered high-efficiency.

As of this year, the U.S. Energy Information Administration passed a regulation requiring AC units in the northern U.S. to have a SEER rating of at least 14 and those in southern states to have a minimum rating of 15. 

While units with a higher SEER rating cost more upfront, the reduced energy use saves you money in the long run. A higher SEER rating can significantly affect long-term operation costs, particularly for larger units.

Brand

AC unit costs vary by brand, with luxury models offering higher prices. While many brands may use the same parts and technology, a reputation for long-lasting units, good customer service, or brand recognition may drive up the cost.

Additional AC Unit Cost Factors

In addition to the cost of the AC unit, consider upfront costs like duct and plumbing installation and ongoing maintenance and repair costs.

Installing Ducts and Vents

If you’re replacing an existing central AC system, you may be able to use the existing ducts or vents in your home. However, if you’re installing AC for the first time, you’ll likely have to install ducts and vents.

The cost to install new ductwork ranges from $1,000 to $5,000, with most homeowners spending an average of $2,000. If your existing ducts require repairs, these typically cost between $200 and $1,000.

Maintenance 

AC maintenance costs an average of $100 for a basic tune-up, typically much lower than major repairs or replacements. It’s recommended to perform a full HVAC inspection every year, which costs between $150 and $200.

In the event of an issue, regular HVAC inspections can detect the problem before it affects other components and increases the cost of repairs.

Repairs

Most homeowners pay around $400 for AC unit repair costs for common issues like blowers or valves. HVAC system repairs cost $50 to $100 per hour for labor. Some AC warranties cover labor costs, but most only cover the cost of replacement parts. 

Warranty

Most AC units come with a manufacturer’s warranty that covers parts and equipment failures for five to ten years. Some may also cover some labor costs for repairs during that period.

You may have the option to purchase an extended warranty for your unit, which typically costs $100 to $500. It’s important to review the terms of your warranty. For example, many warranties are only valid if a licensed HVAC professional installs the unit and manufacturer parts are used for replacements.

Electrical Work and Plumbing

Installing a larger system like central AC requires significant power to operate. Electricians typically charge between $100 and $150 per hour to upgrade an electrical panel.

Central AC uses drain lines to remove air and moisture, which may require a plumbing upgrade or repair. Expect to pay $100 to $150 per hour for a licensed plumber to install or repair drain lines.

AC Unit Cost by Type

AC costs depend on the type of unit you purchase, with prices ranging from the low $100s for portable units to over $10,000 for high-efficiency heat pumps.

Portable AC

Portable air conditioners are the most affordable type of AC unit. They typically cool between 100 and 1,000 square feet depending on their size and efficiency. Most portable AC units sit on wheels so they can be moved from room to room.

A portable AC unit doesn’t require professional installation, but the tubing needs to attach to an open window. While not usually capable of cooling larger spaces, a portable AC is an affordable solution for compact spaces and one-room cooling.

Window AC

A window AC unit is attached to a window sill, enabling it to vent heat out of the home. While only capable of cooling one room, this AC type is helpful if you have one room that requires more cooling than the rest of your home. Many window AC units don’t require professional installation, but they can be difficult to move if you want to install them in a different space.

Ductless Splits

Ductless split ACs can cool several rooms without the use of ducts. This AC type typically uses one or more outdoor condenser units, which connect to a series of wall-mounted air handlers inside your home. Each air handler can generally cool one room, giving you lots of flexibility in the system size and amount of cooling you require.

Ductless splits take up more space and are more visible than central AC. However, you’ll save money on duct installation if your home doesn’t have pre-existing ductwork.

Central AC

Central AC uses an outdoor compressor and an indoor air handler to move cool air through the ductwork and into your home. The necessity of ductwork makes this AC type more expensive to install, but it’s highly efficient at cooling and dehumidifying your home. Central AC can also cool large spaces, making it popular for houses and apartment buildings.

Heat Pump

Rather than creating cool air, a heat pump moves the warm air out of your home for an overall cooling effect. It can also provide heating in the winter, making it an excellent year-round solution. 

Heat pumps are available in split and ducted systems, so you can choose a configuration to fit your home. They’re also highly energy-efficient, so even though they have a higher upfront cost, the lower utility costs can save you money in the long run.

AC Unit Replacement vs. Repair

In many cases, it’s more cost-efficient and eco-friendly to repair your AC unit. However, if the unit is old or exhibiting multiple problems, the best solution may be to install a new unit. Here are some factors to consider when deciding whether to repair or replace:

• Unit age: Most AC units have a lifespan between 15 and 20 years. Replacing your unit is more efficient if it’s 15 years or older.

• Problem parts: While repairing a broken fan is usually quick and affordable, repairing other parts, like the condenser coil and the compressor, is more costly. Your HVAC inspector can advise you on repair costs and whether purchasing a new unit is more affordable.

• Number of problems: If your AC is running constantly, making unusual sounds, failing to cool your home, or drawing an unusually high energy bill, there’s likely a malfunction. If you notice multiple symptoms, contact an HVAC inspector to determine whether several parts of your AC unit are failing. 

Does an AC Unit Increase Home Value?

Installing an AC often increases your home's resale value and appeal. This is especially true in hot climates where cooling is in high demand. 

While there isn’t a consensus on how much home value an AC unit adds, high-efficiency systems typically deliver the greatest return. In addition to providing strong cooling power, they use less energy and reduce utility costs. Central AC and heat pumps have a higher upfront cost but typically add the greatest value.

Budgeting for an AC Unit

AC unit installation typically requires professional expertise, and your AC warranty may require a licensed HVAC contractor to install the unit. However, there’s plenty you can do to keep your AC installation budget-friendly:

• Plan ahead and book your installation for spring or fall. HVAC pros are busiest in summer and winter, so scheduling for the off-season can save on labor costs.

• Prepare your space ahead of time, moving furniture and other obstacles to allow the contractor easy access to the workspace. 

• Determine the most efficient size of AC unit for your home. Bigger isn’t always better for AC—larger units draw more energy, which can cost you more in utility bills.

• Check your local regulations for energy incentives or rebates for installing an energy-efficient system.

• Get an annual HVAC inspection to stay on top of maintenance and prolong the life of your AC unit.

• Contact several air conditioner installation pros in your area to compare quotes.

• Check if your area requires a permit before booking your HVAC installation.

It’s also helpful to consider long-term questions like home resale value and utility bills. While reputable brands and energy-efficient systems often have a higher upfront cost, the improved warranty, quality parts, and reduced energy bills can save you money in the long run.

How HomeAdvisor Gets Its Cost Data

No place is more important than your home, which is why HomeAdvisor connects homeowners with local pros to transform their houses into homes they love. To help homeowners prepare for their next project, HomeAdvisor provides readers with accurate cost data and follows strict editorial guidelines. We surveyed over 10,000 real customers about their project costs to develop the pricing data you see, so you can make the best decisions for you and your home. We pair this data with research from reputable sources, including the U.S. Bureau of Labor Statistics, academic journals, market studies, and interviews with industry experts—all to ensure our prices reflect real-world projects.