How Much Does an Air Conditioner Really Cost to Install? What to Know

The average air conditioner cost ranges from about $2,500 to $7,500, depending on the size of the system, the type of air conditioner, the efficiency rating, and several other cost factors. Use this guide to find out more about air conditioner cost factors that can impact the price of this home upgrade.

Type of Air Conditioner

The cost of an air conditioner can range significantly depending on the type of air conditioner. Investing in an air conditioner that is too small will only result in a costly purchase and minimal cooling, while installing an air conditioner that is too large will cost more than necessary.

Portable air conditioning units cost about $100 to $500 to purchase without installation and about $600 if installation is included. These small units are good for apartments, condos, and small homes.
Window air conditioning units are commonly used to help keep small- to medium-size homes cool during the warmer months of the year. This type of air conditioner costs about $1,300 including professional installation, or about $150 to $800 without the installation costs.
Central air conditioning is another common choice and may be installed in apartment buildings or condo buildings as well as homes. This type of air conditioner works with the existing HVAC system to direct cool air throughout the home. Central AC will cost about $2,500 to $4,500 for the appliance and materials, or about $6,000 to purchase the appliance and have it professionally installed.
Ductless split systems cost a bit less than central air conditioners, ranging from about $2,000 to $3,000 for the unit, and about $4,000 if you include the cost of professional installation. The main difference between a ductless split system and a central AC system is that ductless systems do not rely on ductwork. Instead, the outdoor unit connects directly to an indoor, wall-mounted unit to cool the space directly, so they’re better for smaller homes.

Geothermal air conditioning is the most expensive option, but a geothermal system can be used for both heating and cooling. The system works by absorbing heat from the home and releasing it into the ground to cool the home. During the colder months of the year, it absorbs heat from deep in the ground to help heat the home. This type of system costs about $4,200 to $12,000 to purchase and about $24,000 when the cost of the installation is included.

Air Conditioner Installation Cost Factors

Air Conditioner Size

Size in this context does not refer to the actual measurements of the air conditioner, but instead it refers to the cooling power of the appliance. Air conditioner cooling power is measured in tons or British Thermal Units (BTUs), with one ton of cooling capacity equal to about 12,000 BTUs. The more powerful the air conditioner, the higher the cost of the unit.

Home Size (Sq. Ft.)	Tons	BTUs	Average Cost
500 to 1,000	1.5	18,000	$2,000 to $5,000
1,000 to 1,500	2	24,000	$2,500 to $5,500
1,500 to 2,000	2.5	30,000	$2,700 to $6,000
2,000 to 2,500	3	36,000	$3,000 to $6,500
2,500 to 3,000	4	48,000	$3,500 to $7,500
3,000 to 3,500	5	60,000	$4,000 to $8,000

Air Conditioner Efficiency

The more efficient the unit, the lower the operating costs. However, more efficient air conditioners will also typically come with a higher initial cost, so it’s a good idea to shop around to find a model that both fits the budget and is efficient.

Air conditioners have an efficiency rating system known as SEER (seasonal energy efficiency ratio). The higher the rating, the more efficient the air conditioner. New air conditioner units should have a minimum SEER rating of 13 to 15 depending on local regulations. Though top-efficiency models can reach up to 24 on the SEER rating, indicating a very high efficiency output.

SEER 13 to 14: $3,200
SEER 15 to 16: $4,600
SEER 17 to 18: $4,700
SEER 19 to 21: $6,900
SEER 22 to 24: $7,700

Air Conditioner Brand

Common air conditioner brands include Aire-Flo, American Standard, Carrier, Lennox, York, and Frigidaire. Expect to pay about $1,700 on average for a standard Aire-Flo AC unit, while a Lennox air conditioner will cost about $3,400. Similarly, American Standard and Carrier air conditioners cost about $3,200. Trane AC units cost a bit more at $3,300, while Frigidaire air conditioners cost a bit less, at $2,900. If you are looking for a bargain, go with a Goodman AC unit that costs about $2,100, or invest a little more for a $2,800 York air conditioner.

Ductwork

Only central air conditioners and geothermal AC units need ductwork to function properly, so there is a chance you may not have the proper ductwork for a new air conditioner. If this is the case, then you will need to pay about $500 to $2,100 to install the necessary ducts and vents for the system. This work can usually be completed by the air conditioner installers, though some HVAC companies may have separate workers who will come in to install the ducts.

Labor

If you’re handling the air conditioner installation as a DIY project, then there is no labor cost associated with this job. However, if you have decided to hire a professional HVAC company to complete this work, then you’ll need to pay for the unit, installation materials, and labor.

Typically, the labor cost to install a new air conditioner without installing updated ductwork ranges from about $1,250 to $3,000. If the home requires new ductwork or the existing ductwork needs to be repaired or replaced, then the cost of labor increases to about $2,215 to $5,325.

Cost of Related Services

Maintenance and Repairs

An air conditioner will typically last about 15 to 20 years, so if the air conditioner hasn’t even reached the 10-year mark, then there is a good chance that it will last another 10 years with proper maintenance and repairs. Plan to spend about $390 to have the air conditioner inspected and repaired.

Plumbing and Electrical Work

Air conditioners will usually require some type of electrical connection to function. Additionally, some air conditioners will need plumbing for proper drainage. You will need to pay about $100 to $150 for a plumber to install or repair the drain lines, while an electrician will typically charge about $100 to $150 to add a dedicated circuit to the electrical panel for the AC system.

Old Air Conditioner Removal and Disposal

When the home has an existing air conditioner, the homeowner will need to remove the old air conditioner before the new one can be installed. Some HVAC companies will handle this part of the job for free, though they may charge a disposal fee. Typically, it will cost between $25 to $2000 to have the old air conditioner professionally removed and disposed.

Permits and Warranties

Replacing an air conditioner unit may require a permit depending on the local permitting requirements. Typically, it will cost about $100 to $250 for an air conditioner replacement permit, while a permit to install a new air conditioner and ductwork can cost $250 to $1,500. Given the amount you are investing in a new air conditioner, it’s worth considering paying a bit more to get an extended warranty for the product. Expect to pay between $100 to $500 for a reliable extended product warranty.

Zoning System

A zoning system will better allow for large homes to minimize the required air conditioner size, while ensuring that each zone in the home is kept at a comfortable temperature. However, adding a zoning system will cost between $1,700 to $4,500 on top of the initial cost to purchase and install the air conditioner.

DIY vs. Professional Air Conditioner Installation

DIY installation may be a viable option, depending on the type of air conditioner and the experience of the DIYer. For instance, most DIYers will be able to install a portable or window air conditioner without relying on help from a professional HVAC company. Some highly experienced DIYers may even be able to install a ductless split air conditioner, saving an average of $500 to $2,500 on labor.

However, you will likely need to hire an HVAC crew to install a central air conditioner or geothermal air conditioner due to the complexity of these systems. The pros will have the right tools, equipment, and experience to tackle this type of job. Additionally, trained and experienced HVAC technicians should be able to complete this installation faster and with less issues than the average DIYer.

FAQ

What size air conditioner do I need for a 2000 sq ft house?

For a 2,000 square foot home, you should invest in an air conditioner that can remove about three tons or about 36,000 BTUs of heat per hour. Just keep in mind that the larger the air conditioner, the higher the cost.

Should I replace my 20 year old air conditioner?

Given that an air conditioner will typically last about 15 to 20 years, there is a high chance that a 20 year old air conditioner is not working efficiently. With this in mind, it’s a good idea to replace a 20 year old air conditioner with a more efficient model.

What is the average lifespan of an AC?

An air conditioner has an average lifespan of about 15 to 20 years, though the older the system get, the less efficient it becomes, so once the air conditioner has passed about 10 years of age, it may be time to start shopping around for an upgrade.