How to compare AC installation quotes

Side-by-side quote comparison

Why the lowest quote is not always the lowest price

An installation quote is a scope of work with a price attached. A $9,000 quote that excludes the indoor coil, permit and drain pan can end up costing more than an $11,000 quote that includes them, once the "extras" arrive on install day.

Four things usually explain a gap between quotes for the same house:

1. Size. Different tonnage means different equipment. Ask each contractor how they sized it.
2. Efficiency tier. A 14.3 SEER2 single-stage unit and a 17 SEER2 variable-speed unit are different products.
3. The indoor side. Reusing an old coil with a new outdoor unit is cheaper, and can mean a mismatched system.
4. What is excluded. Permit, ducts, electrical and disposal are the common omissions.

A worked three-quote example

The example below is hypothetical. The house, the companies and the totals are invented to show the method; the totals were picked to sit inside the published DFW range for a 3-ton AC-only replacement ($5,500–$16,500, see the cost guide). They are not prices anyone quoted.

Say a 1,900 sq ft house in Mesquite has a failing 3-ton AC on an attic gas furnace. Three contractors visit and leave written quotes.

Quote 1 looks cheapest, but it does not mention the coil, ducts or permit, and its size was copied from the old unit. Before it can be compared, you need written answers on all three. If the coil is excluded, the system may be mismatched, which matters for both performance and the warranty.

Quote 3 is a bigger, more efficient system with a longer labor warranty, but nobody has said why it is half a ton larger. Ask for the load calculation. An oversized unit can short-cycle and leave the house clammy; see oversized AC problems.

Quote 2 is the only one you can fully read today. That does not make it the right choice; it makes it the benchmark the other two have to answer to.

How to normalize quotes

Normalizing means turning three different proposals into three answers to the same question. You do it by asking each contractor to fill the same gaps, in writing, rather than by guessing what the missing items would cost.

1. Fix the size. If the tonnages differ, ask each contractor for the load calculation. If only one did a Manual J, ask the others to quote at that size or explain why not. ACCA Manual J is the American National Standard for residential load calculation.
2. Fix the scope. List every item any quote includes: coil, furnace or air handler, line set, pad, drain and float switch, electrical, duct work, permit, removal, thermostat. Ask each contractor to mark each one included, excluded or priced separately.
3. Separate the efficiency step. If one quote is a higher tier, ask for a price at the lower tier too. Then you can see what the step up costs on its own; published DFW figures put it at about $1,000–$3,000 for 16+ SEER2.
4. Line up the warranties. Parts term, labor term, and whether registration is handled (next section).
5. Compare the totals last. Once scope and size match, a price gap is a real price gap, and it is fair to ask about it.

Duct sealing is a common gap. Published Dallas figures for sealing through partial replacement run $1,300–$8,000, which is wide enough that an unstated duct line can swing the comparison. The ductwork page explains what each level of work involves.

Comparing the warranties

Each quote carries two warranties that are easy to blur together. The manufacturer covers parts; the installer covers labor. Compare them separately, because a long parts term with a short labor term can leave you paying for a technician to fit a free part.

The warranty guide goes through each term in more detail.

Questions to ask every contractor

1. "What is your TDLR license number?" It must be on the proposal and invoice. Check it on the TDLR license search.
2. "How did you size the system?" A Manual J load calculation, not "same as the old one".
3. "What are the model numbers, and are they an AHRI-matched system?" Outdoor unit, coil and furnace or air handler.
4. "What is the SEER2 rating and which refrigerant?" A new split system in Texas must generally meet 14.3 SEER2.
5. "Who pulls the permit, and is the fee in this price?"
6. "What happens to my ducts?" Reused, sealed, repaired or replaced.
7. "What does your labor warranty cover, and for how long?" Separate from the manufacturer's parts warranty.
8. "Who registers the equipment warranty?" Some manufacturers require registration within a set period for the longer term.
9. "What deposit do you take, and when is the balance due?" After the inspection passes is a reasonable answer to ask for.

Take the full list of questions to ask an HVAC installer to each visit, check the contract against the Texas contract checklist, and compare parts and labor warranties.

Not sure what the quote should cover for your system? Start from what an AC installation includes.

Red flags worth a second look

Each of these is a reason to ask a question, not proof of a problem. The license-check guide and the permit guide show how to confirm the answers yourself.

Negotiation questions

Once the quotes cover the same job, a price conversation is fair and usually short. These questions ask for information rather than a discount, which tends to get a more useful answer.

1. "Another quote for the same size and scope came in lower. Is there anything in yours that is not in theirs?" Sometimes there is, and it is worth knowing.
2. "What does the price look like at the next efficiency tier down?" Shows what the upgrade alone costs.
3. "Can you price the duct work as a separate line?" Lets you decide on it on its own merits.
4. "Is there a lower price for a scheduled install date rather than the first available?" Some contractors have flexibility; some do not.
5. "Is the thermostat necessary, or can the existing one stay?"
6. "Does the price change if I pay by check rather than card or financing?" Ask whether the financed price is the same as the cash price.
7. "Can the labor warranty be extended, and at what cost?"
8. "How long does this price hold?"

Avoid asking a contractor to cut a line that protects you, such as the permit or the load calculation. A lower total that removes those is a different job, not a better price.

Common comparison mistakes

Most bad comparisons fail in one of a handful of predictable ways. Each is easy to avoid once you know to look for it.

Two of these mistakes, the AC-only versus full-system mix-up and the heat pump comparison, can each create a large apparent gap between quotes that is really a scope difference. If the systems differ, settle that question first using AC system options, and then come back to the quotes.

Making the final call

When the quotes are normalized, the decision usually comes down to three things: whether the size is backed by a calculation, how complete and specific the written scope is, and the labor warranty. Price breaks a tie between two well-documented quotes; it should not rescue a vague one.

• License number verified with TDLR and matching the contract.
• Size backed by a load calculation you have seen.
• Every model number listed, with a matched coil.
• Permit, removal and duct scope written in.
• Parts and labor terms, and who registers the equipment.
• Deposit and payment schedule in writing.

Under Texas Business and Commerce Code §601.051, a consumer may cancel a consumer transaction until midnight of the third business day after signing, where the sale was solicited and agreed somewhere other than the merchant’s place of business and the price is over $25. Check the signed contract against the Texas contract checklist, then use what to check after installation on install day.

Sources

• 16 Tex. Admin. Code §75.71
• AHRI, "2023 Energy Efficiency Standards"; DOE regional standards
• ACCA, Manual J
• Trane, Warranty and Registration
• Lennox, Extended Limited Warranty FAQ
• Texas Business and Commerce Code ch. 601
• 16 Tex. Admin. Code §75.40
• TDLR license search

Questions

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