If you’ve made it to the installation stage of your HVAC upgrade—congratulations. You’ve done the research, picked the right system, and now you’re ready to bring comfort home. But what exactly happens during installation, and what should it cost?
I’m Mark Callahan, and this guide is for homeowners who like to know what they’re getting into before the tools come out. Let's break down the costs, the permits, and what your first day of installation should look like—without any surprises.
Understanding Installation Costs
Let’s start with the elephant in the room: price.
HVAC installation costs typically include:
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Labor – This is the largest portion. Licensed professionals typically charge $75–$150/hour.
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Materials – Includes line sets, drain lines, pads, fasteners, sealants, and any ductwork adjustments.
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System Commissioning – The testing and tuning after installation to make sure the unit works safely and efficiently.
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Disposal Fees – Hauling away your old unit.
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Warranty Registration & Startup – Often handled by your installer.
Ballpark Cost Ranges:
| System Type | Typical Install Cost |
|---|---|
| R-32 AC & Gas Furnace Combo | $4,500 – $8,500 |
| High-Efficiency Systems | $6,000 – $12,000+ |
Tip: If you're replacing both AC and furnace together, it’s almost always more cost-effective than doing them separately.
Permits and Local Requirements
Yes, you need a permit. A reputable HVAC contractor will pull all the necessary local permits before any work begins. Permits ensure:
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Work is up to building and safety code
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Electrical and gas connections are inspected
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Your home insurance and resale value remain intact
What’s Usually Required:
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Mechanical permit
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Electrical permit (if updating breakers or wiring)
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Gas permit (if furnace line is modified)
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Final inspection from your city or county
Warning: Skipping the permit might save you money upfront, but it could result in fines, failed home inspections, or denied insurance claims later.
What to Expect on Installation Day
A smooth HVAC install generally follows these steps:
1. Arrival and Prep
Installers will typically arrive between 8–9 AM. They’ll lay down floor coverings and protect work areas, especially around the attic, basement, or crawlspace.
2. Old System Removal
Expect a couple of hours to safely disconnect, drain refrigerant (EPA requires proper recovery), and remove old equipment.
3. New System Setup
This includes:
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Installing the outdoor R-32 AC condenser on a level pad
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Connecting the indoor gas furnace to your existing ductwork
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Installing or reconfiguring the evaporator coil
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Running new refrigerant lines and vacuum testing the system
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Sealing and insulating duct connections
4. Electrical and Gas Connections
Electricians or techs will ensure the system is correctly powered and safely tied into your home's gas line if needed.
5. System Commissioning
This step matters. They’ll:
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Measure refrigerant charge and pressure
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Test airflow and temperature differential
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Calibrate the thermostat
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Register the warranty (if offered)
6. Cleanup and Walkthrough
A solid team won’t leave a mess. Before leaving, they’ll walk you through how to operate your system, replace filters, and recommend any service schedules.
How Long Does It Take?
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Standard Replacement: 1 full day (6–10 hours)
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Complex Install or System Relocation: Up to 2 days
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Permit Inspection (if delayed): May add a second appointment
Watch Out for These Red Flags
🚩 No permit pulled
🚩 Rushing through commissioning
🚩 No written estimate with labor/materials breakdown
🚩 Disposing refrigerant improperly (big EPA no-no)
What You Can Do to Prepare
✅ Clear access to work areas
✅ Make pets or children safe and out of the way
✅ Ask about AHRI certificate and manuals
✅ Request a copy of all inspection paperwork and permit numbers
Final Thoughts from Mark
A proper HVAC installation isn’t a one-hour job with a few tools—it’s a detailed process that sets your system up for years of reliable comfort. Cutting corners here (like skipping permits or hiring unlicensed labor) can cost you more in repairs, energy bills, or even fines.
And remember: the team at The Furnace Outlet is here to help you choose systems that install cleanly, meet all codes, and give you the best return on your HVAC investment.
