The Cost of Replacing Air Conditioners in 2025

The cost to replace an air conditioner can vary widely, from as low as $150 for a window unit to up to $20,000 to replace an entire central air system with ductwork.

The total cost to replace an AC unit or system depends on factors including the type of unit you choose, the energy efficiency and your existing infrastructure. You may be able to replace your air conditioning for less if you live in a low-cost-of-living area where labor is less expensive, if your home is fairly small or if your ductwork is in great condition. Below are the factors that determine the price.

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1. Type of unit

Depending on what type of system you have, replacing an AC unit can vary in cost. These are the options:

• A window unit costs around $150 to $800 with a DIY installation and can cool a room or two. A central air unit is the most popular choice for homeowners and typically costs $2,500 to $4,500. Central air units can cool an entire house, depending on the square footage, and involve installing an AC unit on the side of the house or in the backyard. 

• A split air conditioning system can cost from $2,000 to $3,000. This type of system has an indoor unit and an outdoor unit, and can be ducted or ductless. Energy-efficient ductless mini-splits are growing in popularity for small homes.

• A geothermal or air-source heat pump can cost from around $4,500 to as much as $12,000. Geothermal pumps transfer heat or cooling from the ground into your home, while air-source pumps remove hot air from the outside and transfer it inside, or vice versa, depending on the season.

» MORE: The cost to install central air

2. Lifespan

Many air conditioners have a lifespan of 15-20 years. However, there have been major improvements in efficiency in the last 10-15 years; many new systems are between 30% and 50% more efficient than older air conditioning units in homes across the United States, which could be a motivating factor to replace your unit sooner.

If you’ve had repeated repairs on your unit, it may be reaching the end of its lifespan. Replacing compressors or blower motors multiple times can add up in terms of cost.

“If the cost of a repair equals half the price of a new unit, choose a complete replacement,” said Keith Wortsmith, President of DASH Heating & Cooling.

3. Efficiency

Air conditioner efficiency is based on seasonal energy efficiency ratios (SEER). A higher SEER is better for the long-term operating cost of your system, but are often more expensive systems upfront^[0]

If you’re looking to save some money upfront and later via lower bills, there are various tax credits and rebates available for buying efficient air conditioner units. Your local electric company may have rebates available, and the DSIRE database may list energy efficiency incentives in your state.

4. Ductwork

Some homes have pre-existing ductwork that is efficient and in good working order. However, many typical homes have substantial leaks and poor connections that, if not repaired, can lower the efficiency of the replacement air conditioning system^[0]

If you need substantial ductwork repair or replacement, you’ll see additional costs in labor and ductwork materials — at least $1,250 for replacement and as high as $16,000 for new installation for a 2,500 square foot home. The cost of removing the old unit and disposing of it can also impact your total quote, so make sure that your estimate includes this service.

5. Infrastructure

The existing draining or wiring in your home can impact the cost to install and protect your new AC unit. “If your current unit is quite old, your new air conditioner is likely to need electrical updates, like adjusting thermostat wiring or upgrading breakers in your panel, and this can add up to $500 to the total cost,” Wortsmith said via email.

“If there are issues with drainage, an HVAC technician may recommend using a condensate pump to prevent water backups or leaks that can lead to property damage or mold growth, which typically costs around $400,” he added.

6. The furnace

If your furnace isn’t compatible with the new air conditioner, you might need to replace the furnace at the same time. When your central air conditioning needs replacing, some people opt to switch to an Energy Star heat pump system, which replaces both your heating and your cooling.

If you aren’t sure whether your furnace needs replacing at the same time as your AC, ask during your estimate request process.

7. Time of year

Labor costs vary throughout the year due to demand. “If it’s not an urgent replacement, wait until fall or early spring to update your current air conditioning system. Fall and early spring are when HVAC technicians are less busy with heating and cooling system installations and often offer discounts on their services to attract customers.

Additionally, AC unit prices tend to drop by the middle of fall and start rising again after April. You can save around 15% this way,” says Wortsmith. Consider whether you can safely wait until early spring or fall (the slow seasons) to replace your air conditioner.

8. Skilled labor

The majority of air conditioner repair and replacement is complex skilled labor for professionals. Most people aren’t equipped to DIY a central air replacement process. If other systems, like plumbing or electrical, also need repair to complete the AC replacement, you’ll need to hire plumbers or electricians as well.

Get quotes from multiple companies, and check their reviews and licensure. You’ll want to know that the company has adequate insurance and a strong reputation.

9. Permits and inspections

Typically, you’ll get estimates for these things from your installer. The estimates include the costs of permits and inspections. Make sure to ask your installer about this if the estimate doesn’t clarify that they handle permits and inspections.

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