3 Ways of Financing a New Air Conditioner

Financing a new air conditioner when yours stops working is a necessary but hefty expense. In Florida, air conditioners aren’t just a luxury, but a necessity during the summer months.  According to Angie’s List, you can expect to pay around $3,000 for a basic, two-ton model, a mid range unit will run approximately $5,000. Top-of-the-line A/C systems can run $10,000. Costs can fall outside of that range depending on the size of your home, the type of unit and any additional work needed during the install process.

So how do you pay for your new HVAC system? Besides paying cash, here are options for financing a new AC unit.

0% APR Credit Card

If your current credit score is close to 700 or above, a new credit card with a promotional 0% purchase APR may be an option for financing a new air conditioner.

Low-interest cards usually come with additional perks, like sign-up bonuses, travel rewards or cash back.  And there is no charge for interest on the purchase if you pay off your balance before the promotional period ends.

The downside of using a 0% APR card is that if you don’t pay it off within the promotional period — which is usually 12 to 21 months — it reverts to the standard APR. This is likely to cost you significant interest for as long as you carry a balance.

Contractor Financing

Air Hawk Heating and Cooling can arrange financing for your AC unit installation through Synchrony Financial.

For over 80 years, Synchrony Financial has helped its customers get the most out of their every dollar. Its subsidiary Synchrony Bank offers award-winning rates with the protection of FDIC Insurance, along with excellent perks and rewards for its loyal customers. Access and convenience are guaranteed by the Bank’s intuitive and secure online and mobile platforms.

For homeowners, HVAC financing is one of Synchrony Financials primary offerings.

Learn more about Synchrony Financial here.

Home Equity Loan or HELOC

Home equity loans and home equity lines of credit are also ways of financing a new air conditioner. Your property secures HELOCs, which means they come with lower rates than other financing options.

A home equity loan is like a mortgage: You get a lump sum of cash, which you repay in equal installments over the life of the loan. But you also must pay closing costs that range from 2% to 5%.

A home equity line of credit is like a credit card. You borrow only what you need and repay what you borrow. HELOCs generally have a draw period, after which you can no longer access your equity, but that’s unlikely to be an issue if you’re using it for a single upgrade such as an AC unit.

If you use your home equity loan or line of credit to improve your property, that interest is likely tax deductible. Another benefit of home equity loans and HELOCs is that they can be used on other projects and improvements besides a new AC unit.

If you need your AC unit replaced, some type of financing is probably preferable to sweating it out. That said, it’s important to consider all your options and calculate how much each will cost you on top of getting your new unit installed. To find out more, contact us at 727-SAME DAY or find us online at www.AirHawkAC.com.


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