Most heating and air salespeople will tell every customer they need to install an ultra high efficiency (and ultra-expensive) central air conditioning unit. The truth is, very few people actually need such a high-end unit. Even many homeowners who ultimately decide to install a 16 SEER (or higher) air conditioner don’t technically need such an ultra efficient unit to cool their homes comfortably. They install them because other considerations can sometimes make upgrading beyond a basic model a no-brainer financially, Don’t get me wrong, I’m not against ultra high efficiency air conditioners. Quite the contrary, I think they’re fantastic. What I am against is salespeople misleading customers in order to sell more expensive equipment just so they can earn higher commissions. So I’d like to arm you with the information that will help you decide 2 things for yourself… Let’s start with this basic premise… when sized correctly, even the most basic 13 SEER air conditioning unit will cool your home.

Despite what any salesperson tells you, a 13 SEER unit will cool just about any home comfortably.This may come as a surprise, but installing a new air conditioner is not high on most people's list of fun ways to spend money. So why not install the air conditioner that makes the most sense for you and your home financially?lg ductless air conditioning prices People who live in larger homes and older homes, especially if they have 2-story ceilings or lots of windows, will usually find it very expensive to keep their home comfortable during the summer. 6 ton rooftop ac unitIf your utility bills are high enough, you might want to consider a 16+ SEER ac unit. sanyo heating cooling unitsThis is especially true if you are replacing your old air conditioner and furnace at the same time so you can potentially qualify for a rebate from Xcel Energy.

A 16 SEER air conditioner is approximately 20% more efficient than a basic 13 SEER unit. A 17 SEER model would be about 30% more efficient than a basic 13 SEER unit, so you can expect to lower your summertime utility bills a good bit by upgrading to one of these ultra high-efficiency air conditioners. it’s worth spending the few minutes it takes to do a rough calculation to see how long it will take to recoup back the additional money you spend on an ultra high efficiency air conditioner. Just multiply the increase in energy efficiency (use .20 for a 20% increase for example) amount of your average summertime utility bill. Then multiply the amount you would expect to save each month during the summer by 4. (4 being the number of months that are hot enough to need your air conditioner every day here in Denver) That will give you a good estimate of your annual utility bill savings with a higher efficiency air conditioner. Say you would save about $300/year by installing a 16 SEER unit instead of a 13 SEER.

If the cost difference after any Xcel Energy rebates is $1,500, it would take you 5 years to recover the additional cost. That’s a very reasonable time frame, and certainly worth installing the upgraded unit. If you’re just replacing your old air conditioner, you can qualify for the $500 Trade-In Rebate from Xcel to offset some of the cost of installing a more efficient unit. If you’re replacing your old air conditioner a new furnace at the same time, you can potentially qualify for both the $500 Trade-In Rebate and the New Equipment Rebate from Xcel. It’s important to keep in mind that the amount of the New Equipment Rebate you’ll actually receive depends on the EER rating of your new system, so you should think of it as being eligible for ‘up to’ the amount listed. For example, even though the New Equipment Rebate for a 16 SEER air conditioner is listed as $500, the amount you’ll actually get back might only be $300, depending on how your new system rates out when tested for the EER.

If you can qualify for both the Trade-In Rebate and at least a portion of the New Equipment Rebate from Xcel, it’s definitely worth considering a more efficient unit. If you’re looking to take advantage of a 0% Financing offer with an extended term (like 0% for 48 or 60 months), you will have to purchase a ‘qualifying system’ to get those terms. You can expect the 'qualifying system’ to include at least a 16 SEER air conditioner, and often times you’ll have to install a 17 SEER unit to qualify for the special financing. Don’t be surprised if you’ll also have to install a new variable-speed furnace at the same time to qualify for most of these financing promotions. Keep in mind that even 0% Interest financing isn’t necessarily free. There will always be an origination fee built into the price of any system you purchase using financing. Typically the origination cost of the financing will range from 10% for 24 Months up to as much 15 - 20% for 48 - 60 Months.

So don’t automatically assume you’ll be coming out ahead by installing an ultra high efficiency air conditioner just so you can get 0% Financing with a longer term. So if you don’t need to install a high-end ac unit to lower your utility bills, and you don’t need extended financing terms, buy a basic air conditioner if that’s all you you need instead. You might also be interested in The Importance of A Matching SystemHome  Resources Tips & ArticlesHigh Efficiency Air Conditioners Drastically Reduce Energy Costs! Calculate How Much You Can Save by Upgrading to a New Energy-Efficient Cooling System We all love air conditioning in the summertime; except, of course, when we see our electric bill! The air conditioning systems we grew up with were extreme energy hogs…and we usually paid a price for the cool comfort they delivered. Fortunately, times have changed, and we can enjoy substantial energy savings by installing and using today’s more technically advanced and efficient cooling systems.

The efficiency at which air conditioners produce cooling is refered to as its SEER rating. SEER stands for Seasonal Energy Efficiency Ratio, and is a ratio of the amount of cooling produced (BTU) divided by the amount of electricity (watts) used. The higher the SEER, the greater the air conditioner’s efficiency. Older air conditioning systems have a SEER rating of 10 or under. Today’s more efficient air conditioning systems have SEER ratings as high as 23.  The United States now requires that residential air conditioning systems manufactured after 2005 have a minimum SEER rating of 13 (window units are exempt from this law, so their SEERs are still around 10). The SEER rating is usually shown on a yellow and black EnergyGuide sticker attached to the outside unit of the air conditioner. How much energy and money can you save by upgrading from your old air conditioner to a modern, more efficient model?  Let’s suppose your older air conditioning system had a SEER rating of 9.

If you were to upgrade to a SEER 13 air conditioner (the lowest efficiency available), you would reduce your power consumption by about 28%.  That can translate to energy savings up to $300 per year (depending on your usage rate and the cost of electricity). The Numbers Don’t Lie! The tables below will give you an estimate of the electricity you can save by upgrading to an air conditioning system with a higher SEER. Existing Air Conditioner Efficiency: New Air Conditioner Efficiency Expected Reduction in Electricity How High a SEER Do You Need? Central air conditioners that are in the top 25 percent of efficient models may carry the Energy Star® label. To qualify, they must have a minimum SEER efficiency level of 14. So, does all this mean that you should get the air conditioner with the highest SEER possible? SEER ratings only represent the potential efficiency of the system under perfect conditions. Over half of the system’s efficiency depends on correct equipment sizing for your home and proper installation. 

So while looking for an air conditioning system with the EnergyStar® label is certainly the right start, what you really want and need is the right sized equipment operating at its optimal ratings within varying conditions, for your optimal comfort and savings. Your Horizon Services comfort specialist will perform a thorough In-Home Energy Analyis to help you identify the most efficient system for your home, your needs and your budget…and see to it that they system is properly installed for optimal performance. Schedule a FREE In-Home Energy Analysis! Learn More About Upgrading to an Energy Efficient Air Conditioner! Learn More About Our Air Conditioning Services! Horizon Services has been proudly meeting the plumbing, heating, air conditioning, drain cleaning and sewer & water line needs of businesses and homeowners in Delaware, Southeastern Pennsylvania and Maryland since 1989. Horizon Supports Local Sports Teams Horizon Services is a Proud Partner of the Wilmington Blue Rocks, Philadelphia Union and the Trenton Thunder.