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in     by Administrator 02/04/2019

If you plan to sell your home, you need to understand what buyers might look at. Apart from a home's roof, an HVAC system is often the most important single component inside of your home. If your HVAC system is old or malfunctioning, this may hinder the sale of your home. Yet with HVAC systems potentially costing tens of thousands of dollars, is a replacement really worth the investment?

How Old Is Your HVAC System?

A standard HVAC system should last about 20 years, but many components still work at around 30 years or more. This really depends on the area your home is in, how often you’ve used the HVAC system, and whether the HVAC has had proper maintenance. The older your HVAC system is, the less value it will have to a prospective buyer. 

If your HVAC system is 20 years old but still works perfectly fine, then a buyer may simply calculate a replacement in their future costs. If your HVAC system is 30 years old and leaking, on the other hand, your HVAC system likely uses an outdated refrigerant that's difficult to purchase and will need replacement soon. Many buyers won’t want to buy a home that has this type of issue.

Can You Repair Your HVAC System?

If many homes in your area are older, they often also have older HVAC systems. Buyers may not look for the newest possible system but may instead just look for a system that works. Providing maintenance records and making sure the system is currently in good repair can help. 

You can also augment your system with some affordable upgrades. A 15-year-old HVAC system can look much newer by introducing something like a smart thermostat. This provides a lot of benefit at a low cost to you.

How Much Room Do You Have in Your Home’s Value?

Is your home worth $200,000 with an old HVAC system? While installing a new HVAC system can cost up to $20,000, will this new system increase the value of your home by $20,000? This depends on the room that your home has to grow. In a neighborhood where other homes have sold for $250,000 or more, you can likely expect that investing more in an HVAC system will increase the value of your property.

But if your home is in a neighborhood where the other homes are $180,000 or less, nothing you do may increase your price substantially beyond $200,000. If a $20,000 HVAC system only increases your listing price by $10,000, then you really don’t gain any money. You only lose it. See if your home can sell at the current listed price before you make any improvements.

That being said, if you still struggle to sell your home, you may need to reevaluate.

What's the Bottom Line?

If your HVAC system holds you back from selling your home, replacing it is better. HVAC systems that use outdated refrigerant, don't function at all, or are more than 30 years old will concern a lot of buyers. This isn't just a matter of selling your house for more but a matter of selling your house at all.

If your HVAC system doesn’t you back that substantially, you may be better to repair it. Buyers may understand that they will need to replace the HVAC system shortly and will factor that into their cost calculations.

Your real estate agent can give you more information about how other homes in your area compare. However, you should start out with a thorough consultation regarding your existing system so you know whether your system should have repairs instead of a replacement. Whatever your choice, contact Arizona Refrigeration Service Inc. to schedule an appointment today at 602-244-9900.