03/22/2024
I get this question a lot- Repair or Replace?
I've always led with how expensive is the bandaid? A few hundred may not be to bad. Adding another 0, might need to consider a new unit and new warranties vs the age- BUT a vendor put out this article on some calculations to help determine.
The $5,000 rule: Multiply the age of your equipment by the estimated repair cost. If the number is more than $5,000, then you should consider replacing your unit. If it’s less, a repair may be the answer. For example:
A system that is 10 years old and has a repair cost of $300 = $3,000. It’s probably best to repair it.
A system that is 10 years old and has a repair cost of $600 = $6,000. You should likely consider a replacement.
Existing warranties: AC warranties from most manufacturers last 5- 10 years. Your repair may be covered. If you are the original owner of the unit, check the paperwork you receive upon installation for warranty information. You may also be able to look up your warranty on the manufacturer’s website using the unit’s serial number. New homeowners should check with the HVAC manufacturer to see if a warranty transferred with the sale of the home.
Financial savings: Regular repairs and maintenance can extend the life of your AC unit. Servicing your AC unit once or twice a year and covering periodic repairs may be more affordable than buying a brand new system. But keep in mind that a new AC unit would likely offer more savings in the long run if you can front the cost.
