A replacement heating and cooling system has always been one of the more expensive items to purchase for home upkeep. Recommendations for the frequency of replacing your heating and cooling system range from 10 years to as much as 20 years. Systems that have been well maintained through routine preventive maintenance may even last a few years longer.

As multiple efficiency improvements have occurred over the past 20 years, the inefficiencies of an older system have made newer systems even more attractive. Not only are newer systems more efficient, but there is good reason to expect that with proper maintenance they will continue to operate efficiently for longer lifespans.

During the early months of the COVID-19 pandemic, many workers and their employers turned to remote working. Initially just to survive, some later made remote work a permanent solution. During 2020 and 2021, many remote workers chose to make their home more comfortable by replacing their heating and cooling systems. The upturn in demand coupled with materials shortages and logistics disruptions resulted in spotty shortages of replacement HVAC systems and parts.

As early as late fall 2020, price increases for heating and cooling systems and the components to service and repair them led to price increases for consumers. Prices continued to rise throughout 2021 and are continuing to increase in 2022 as the shortages of raw materials, parts, and new systems continue. Higher transportation costs and ongoing logistics disruptions are adding to the price increases.

Additional price increases in 2022 are expected by most industry insiders. Many of the major system manufacturers have already announced mid-year price increases ranging up to 20% with no assurance that there will not be additional price increases before the year’s end.

For instance, one major equipment manufacturer announced a 7% increase in June 2021, a 9% increase in April 2022 and a 12% increase for July 2022. Together, they compound to an increase of more than 30%.

Over the past several years, small price increases for HVAC equipment have come to be expected as new models became more advanced, longer lasting and efficient. The post-pandemic increases, however, have been larger and more frequent. The repeated significant increases add up to an overall surge in HVAC equipment prices.

Since the start of the pandemic, commodity raw material prices like copper and steel have increased in the 20% range, and transportation costs have increased by up to 40%. A heating and air conditioning system consists of dozens of additional components, all of which have experienced inflationary increases:

• Wrap insulation +15%
• PVC fittings +15%
• Filters +10%
• Parts and accessories +19%
• Pipe fittings +15%
• Coils +5%

The outlook is for continued price increases through the end of 2022. If you need to purchase a replacement unit, expect to pay more. If you need repair parts for your existing system, you should also expect to pay more. The good news is that these newer, higher-priced systems are generally more efficient and will have a longer lifespan than new systems did 15 to 20 years ago.

Spend a Little – Save a Lot

The concept behind all programmable and smart thermostats is that there are days and partial days when your home does not need to be heated or cooled to the level that you feel is most comfortable. Any properly sized, properly installed, and well-maintained heating and cooling system can keep your home at the preferred temperature all day and all night, at a cost. The cost is higher utility bills.

Does the temperature need to stay the same overnight? Many people turn the heat down overnight. What about when your home is empty when you are away at work or on vacation? Are you heating and cooling more than necessary just so your home will be at your preferred temperature when you return? Do you manually adjust your thermostat multiple times every day? Do you ever forget to make some of your daily adjustments? A programmed thermostat does not forget.

The savings you can expect from a programmable or smart thermostat will vary greatly depending on what you program into the thermostat. In any case, you should expect the cost of the new thermostat to be recovered somewhere between 6 and 24 months. After that, the savings goes on for years.

You can also add to your utility cost savings by setting it for higher and lower temperatures in the summer and winter. ENERGY STAR estimates that for every 1 degree of thermostat change, your energy cost will decrease by 1%.

Programmable & Reliable

Typically, a programmable thermostat can be set to adjust the temperature at different levels for weekly intervals. You might program it for a daily schedule something like this:

1. 6:15 AM, 15 minutes before your normal wake-up time. Raise the temperature to 70 degrees.
2. 8:15 AM, last family member leaves for work or school. Lower temperature to 62 degrees.
3. 4:00 PM, 15 minutes before first family member returns from work or school. Increase temperature to 70 degrees.
4. 10:30 PM, bedtime. Lower temperature to 66 degrees.

For weekend days, you would program in a different schedule. You could achieve the same energy reduction if you manually adjusted the temperature four times every day. For most families, a programmable thermostat is more reliable than counting on someone to adjust the thermostat four times every day.

Smart & Smarter

Smart can do everything that a programmable thermostat can do, and a whole lot more. A Wi-Fi-enabled smart thermostat can be reset or adjusted from anywhere using a mobile device or computer. If you are working late, just tell the app on your phone to warm up the house later. If your smart device is linked to Amazon Alexa, Apple HomeKit, Google Assistant or another smart home service, you can just ask for a little more heat or cooling when you feel it is needed.

A smart thermostat equipped with geofencing can learn to adjust the temperature when a connected smart phone leaves the house or moves from room to room within the house. A smart thermostat that utilizes machine learning can observe your comings and goings over time and create a heating and cooling schedule that reflects your personal lifestyle.

All HVAC systems eventually need to be replaced. Your central heating and cooling system may last for 10 years, 20 years, or more. A well maintained system will have a longer lifespan. Among the most important reasons to install a smart thermostat with learning is that your system can alert you when maintenance or safety repairs are needed. A smart thermostat saves you money every day it operates. It saves you even more when your system continues to operate efficiently for years before needing to be replaced.

In the Valley of the Sun, the average 2,000-square-foot home spends about $160 per month for electrical power, or $1,920 per year. In summer, the cost of electrical usage goes up dramatically with some larger homes paying $500-$600 and more per month. During winter months, the cost of electricity for heating drops significantly unless the home is using electrical power for heating.

Larger homes with multiple heating and cooling systems pay substantially more to stay comfortable year-round. Homes with heating and cooling systems that are more than 10 years old also pay more. Homes with a heat pump heating and cooling system will experience much less variation.

Here are seven steps that a homeowner can take to reduce the cost of electrical usage:

1. Replace HVAC System – If your system is more than 10 years old, if it has been requiring repairs over the past few years, if your summer electrical bills have been going up, or if it is not doing a good job keeping your home comfortable, it may be time for a replacement. Look for a new system with 90% or higher efficiency.
2. Keep System in Good Repair – No matter how old your system is, it needs regular service. Semper Fi Heating & Cooling offers a 29-point tune-up for only $17.75. You don’t drive your car for years without service. Your heating and cooling system needs occasional service too. Your system will operate better and more efficiently. It will have a longer peak operating life if it is properly tuned up.
3. Home Insulation – The amount and quality of insulation in your home makes a big difference in the energy required for heating and cooling. The effectiveness of your insulation goes beyond the basic R-value of the insulation material used. Talk to an insulation expert to determine if your home is properly insulated to maximize energy efficiency. Don’t forget windows and doors; they need to be adequately sealed to avoid air leaks.
4. Smart Thermostat – Are you heating and cooling an empty house for a big part of every day? Do you remember to turn the thermostat down every night? A smart thermostat can adapt to your daily routines and reduce your energy usage when you are away. The cost of a smart thermostat is relatively low compared to the savings in electrical usage that will result.
5. Seal Air Leaks in Ducts – It is not uncommon for as much as one-third of heated or cooled air to leak out of unsealed ducts. If your ducts haven’t been checked for several years, there is a good chance there are leaks. While you are getting the air ducts sealed, it is a good practice to get your air ducts cleaned to improve the quality of the air that you breathe.
6. Lower Hot Water Temperature – Lowering the temperature on your hot water heater will reduce your energy usage. There are no smart thermostats for water heaters; they keep your hot water at a set temperature day and night, whether you’re home or away, on vacation or not. If the temperature is set lower, it will use less gas or electric. Like newer air conditioners, newer water heaters are also more energy efficient. If your water heater is 10-20 years old, you may find that replacing it with a newer one will have a reasonably quick payback.
7. Appliance Replacement – Your water heater is not the only home appliance that contributes to your total utility bill. Appliances such as washers and dryers, refrigerators, and dishwashers are all available in newer energy-efficient models.

Don’t want another summer of $500 electrical bills? There are ways to reduce your utility costs. Call Semper Fi Heating & Cooling to learn about your specific energy efficiency options.

Heating and cooling are major contributors to energy consumption. Keeping your home at a comfortable temperature is expensive.

• Your air conditioner has to run for an extended period of time to bring the indoor temperature of your home from the outside temperature to the temperature you set on your thermostat. If your house is empty during the day, you can save energy by increasing the temperature on the thermostat so that the system does not run as often. If you turn your system off entirely during the day and then at 5:00PM turn the system on and set the temperature in the low 70s, your system may take several hours to cool to that temperature if the outside air is in the triple digits (100 degrees +). In this situation your system may actually run for a longer total amount of time as in the evening the system will run for several hours continuously as it tries to achieve the desired indoor temperature. When a system is set to a normal indoor temperature in the 70s, the system will run for a period of minutes until the thermostat is satisfied and then turn off for several minutes such that the system is not running continuously. Programmable thermostats have the ability to be adjusted to cool less during the day and more at day’s end as well as keeping the temperature at the same level on weekends when someone is home all day.
• To reduce energy usage, think optimal room temperature, not most comfortable. 70 to 72 may seem like the best temp year-round. But 67 in winter and 75 in summer will reduce your utility bill. Better yet, can you be comfortable with 65 or 66 in winter and 76 to 78 in summer?
• If you love to get the AC working on the first warm day in spring, your utility bill is going to remind you that it wasn’t worth the cost. Tolerate and even enjoy the warm or cool weather at the change of seasons and enjoy the lower utility bills.
• If your AC or furnace is 10 years old or more, you could save money by replacing it with a newer, more cost-efficient unit. Chances are that if your system is old, you have been dealing with expensive repairs and rising energy bills for years. Nearly all new systems are more efficient than they were 10 years ago. Getting your system replaced before it completely breaks down is a good move and an immediate energy savings. Utility companies such as SRP also offer rebates for purchasing a new, high efficiency A/C system.
• Ductless mini-splits for heating and cooling also offer substantial saving opportunities. Heating or cooling the entire house more than necessary to keep one room only marginally warmer or cooler is expensive. Put a mini-split in the room(s) that need a little extra and save on utilities. Depending on your house size, it is possibly even better to replace your old central air system with ductless mini-splits. Get the versatility of heating and cooling some rooms more than others at different times and reduce your utility bill in the process.
• Old and leaky duct systems can cause up to $0.30 of every $1.00 of your cooling or heating bill to be wasted. Consider a duct-sealing process like Aeroseal to ensure most of your cooling or heating dollars make their way into the living spaces of your home. Learn more at www.aeroseal.com or call Semper Fi Heating and Cooling today to schedule a free estimate.
• Additionally, inadequate attic insulation can also wreak havoc on your utility bill. Given that heating and cooling costs are responsible for 50 to 70% of the energy bill in the typical American home, call Semper Fi for a free estimate on blown-in attic insulation and start realizing energy savings today!

Talk to the HVAC experts at Semper Fi Heating and Cooling to learn more about how to reduce your utility bills in Arizona and take advantage of lucrative utility rebates associated with the purchase of a new A/C system.