Repair or Replacement Guide for Air Conditioning & Heating Systems and Water Heaters

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Do you know the signs of an air conditioning and heating system that needs to be replaced, versus one that can get up and running again with a repair? It can be a difficult decision to make. Our guide will help you determine what’s right for your cooling and heating system or water heater – and your wallet.

As an appliance ages, you will eventually be confronted with the decision to either repair or replace the equipment. The decision can be challenging from a financial perspective, where costs can range from hundreds of dollars for a repair upwards to thousands for a new appliance. Below are some general tips to consider when facing the decision to repair or replace a home appliance.

When to Repair Your Cooling & Heating System or Water Heater:

  • The required repair is reasonable. Generally, if the cost of the repair is less than 50% of the cost of a new system, it makes sense to repair it.
  • The system has serviceable life. The average life expectancy of the cooling and heating system or water heater may justify the repair. For air conditioning and heating systems, that’s about 10-15 years. For a water heater, it’s about 8-10 years.
  • The repair is covered. If the part or repair is covered under a manufacturer’s warranty or a home service plan, a repair is usually the best option.
  • Dependable operation. If the system has operated consistently and efficiently in the past, a repair is likely to get it up and running again.

When to Replace Your Cooling & Heating System or Water Heater:

  • The required repair is costly. If the required repair is more than 50% of the cost of a new system, a replacement system will likely save you money in the long run.
  • The system is beyond its serviceable life. The age of the system is a big factor when deciding to upgrade. If the system has surpassed its life expectancy, a repair may not significantly extend its serviceable life.
  • The equipment is out of warranty. If the equipment isn’t covered by a manufacturer’s warranty or a service plan, the cost to repair could be significant. In this case, a replacement might be the best option.
  • Unreliable operation. The system has needed several repairs in the past, frequently breaks down and is overall unreliable.
  • Upgrade to higher efficiency. New equipment typically has improved energy efficiency ratings. The annual savings of a new, high efficiency system can help pay for the new equipment over time.
  • Unavailable replacement parts. As equipment ages, replacement parts becoming increasingly difficult to find. If your equipment is old and the parts are rare, it might be time for a replacement system.

Don’t take the comfort and convenience of cooled air from your air conditioning system or hot water from your water heater for granted. Whether it’s time to repair or replace, make sure you contact a certified professional who will find the right replacement or make the repair correctly the first time. Contact us today to schedule a repair or request a free estimate online.


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Everyone needs to make home improvements from time to time and we are no exception. We are currently upgrading our online service scheduling experience, but you can still schedule service by contacting our Customer Care Center. Call 888.243.HOME to schedule service today.