Arizona is one of the hottest places on the planet, so homes must have proper cooling systems. A surprising number of residents rely on evaporative cooling instead of AC, mainly due to the higher cost of air conditioning. The average cost to replace an AC in Arizona can range from $7,000 to over $23,000, an extensive range.
Many factors influence the cost of installing an AC in Arizona, including:
- Type of air conditioner
- Unit size and capacity
- Energy efficiency rating
- Installation complexity
- Tax rebates and incentives
In this article, we’ll examine how each of these factors can affect the total price.
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Type of Air Conditioner
AC replacement costs in Arizona are directly tied to the type of unit you install. Traditional, single-stage central air conditioning systems tend to be the most economical to install but the most expensive to run. Ductless AC units introduce zoned temperature controls and better energy efficiency, but they can be two to three times more expensive.
Most ductless AC units installed in Arizona are heat pumps, some of the most energy-efficient cooling systems on the market. They combine the ability to heat and cool your home into a single appliance.
Unit Size and Capacity
More powerful units that are otherwise comparable cost more. If you have a 3-ton unit with a SEER rating of 15—the new minimum when installing a replacement unit—and a 4-ton unit with the same specs, you’ll pay more for the ‘bigger’ unit.
When shopping for a new AC unit, getting the right size, not just the biggest unit is important. If it’s too powerful, your AC will cost more to run. If it’s too small, your home won’t get cool enough, and your air conditioner will wear out prematurely.
Energy Efficiency Rating
Seasonal energy efficiency ratio (SEER) ratings indicate the amount of energy your unit converts into cooling for your home. Most central air conditioning units fall between 15 and 18 on that rating scale, but ductless and heat pumps can be 20 or higher.
These highly efficient options cost about twice as much as a standard, single-stage air conditioner. However, you’ll see long-term savings on your utility bills. Talk to your Rusty’s Air Conditioning & Heating installer about what units fit within your budget and how the unit you choose might perform in the Arizona heat.
Installation Complexity
Most homes in Arizona already have ductwork and all the infrastructure needed for central air conditioning. However, in homes without existing ductwork or with aging ductwork, the added complexity can increase the cost.
Ductwork installation or replacement can quickly make central air conditioning installation the most expensive option for whole-home cooling. However, leaky ducts can increase cooling and heating costs by 30% or more, making this an essential part of affordable cooling unless you opt for a ductless alternative.
Tax Rebates and Incentives
There are several ways to save on your next AC installation, as long as it’s for your primary residence in Arizona. The first is an extended tax credit benefit offered through the Inflation Reduction Act. It provides up to 30% of the installed HVAC upgrade cost as a tax credit when filing your federal return. However, there are maximum amounts allowed for each type of upgrade, so be sure to check with your installer.
Additionally, if you upgrade your older air conditioner to a unit with a minimum SEER 15 rating, you may be eligible for a $200 rebate from the Arizona Public Service. The unit must be installed by a Qualified Technology Installer, and lower-income families may qualify for up to $1,200 in rebates. Let your installer know if you plan to apply for an APS rebate. They may be able to help you with the process.
At Rusty’s, we are always on the lookout for new rebates and potential savings to offer you the best possible price.
Find out the cost of a new AC installation in AZ from Rusty’s Air Conditioning & Heating.
When you have a Rusty’s tech handle your air conditioning installation, the job is done right the first time. Call 480-631-4244 today or click the button below to schedule an appointment with the most trusted name in Mesa for HVAC repairs, maintenance, and replacements.