How To Finance Your New Hvac System


Out of all expenses that homeowners face throughout their lifetime, the acquisition of a new HVAC system is one of the largest. Depending on the size and unique needs of the home and those that reside within, a heating and air unit can run anywhere from $2,500 to upwards of $15,000.

“HVAC” stands for heating, ventilation, and air conditioning. While the internal workings and various components of the unit may vary immensely, a standard unit will include a compressor for the air conditioning, air filter, the ductwork, a heat pump device, and similar parts.

Combined, all of this has the capability of becoming quite expensive. One way to successfully obtain your new unit is to finance it. Continue reading to learn about the methods that homeowners use to succeed in this endeavor.

Financing Through Home Equity

If the current value of your home is more than the amount that you owe on it, you have home equity. You may take out a loan against that equity in order to purchase your new HVAC unit.

When you do this, the loan is actually secured by your home. In other words, if you make the payments agreed upon, you are able to obtain a new heating and air system and your home.

Unfortunately, if you fail to make the payments, you could actually lose your home. You may finance your system with your home’s equity through a home equity loan, a home equity line of credit, or through a cash-out refinance.

Personal Loan

If you would like to fund your new HVAC system, you should consider a personal loan for the home improvement. In most instances, these are unsecured loans.

In other words, you do not stand the risk of losing your home should you find yourself unable to make a payment. In most instances, you will be required to pay a certain amount each month for the term of the loan.

The term could be 24 months, 36 months, 48 months, 60 months, or even longer. In addition to the amount you borrowed, you will also be required to pay interest on your loan.

If you fail to make payments as agreed, it will place a derogatory remark on your credit.

Use a Credit Card

Most people opt to use a credit card to pay for home repairs. This provides homeowners with a revolving line of credit that may be utilized over and over – just so long as the balance is available.

If you utilize a specially-designed credit card that allows you to purchase a new HVAC system, the company will work with you to create a monthly payment that fits into your budget.

Yes, you will likely have to pay interest, but the good news is, most credit cards offer incentives such as cash back, travel miles, and points – which can allow you to make other purchases to improve your home.

If you would like to learn more about a credit card that allows the funding necessary for HVAC financing, contact us today at: 770-819-9879

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