Having the furnace go down when it’s cold outside is not my idea of fun. I’m guessing it’s not yours either. But it could be worse. What if the HVAC tech who came out to look at your furnace recommends replacement? Now your physical discomfort is enhanced by the possibility of a huge bill.
A recommendation to replace is just that: a recommendation. It is not gospel. It’s also not set in stone. It is worthwhile to at least step back and assess the situation. If you can get by with a temporary repair for a few days, it is even better to take that time to think the situation through.
Here are four key things to think about:
1. The Age of the Furnace
Furnaces are like anything else. They are more likely to break down the older they get. So your first consideration is the age of your furnace. A modern furnace should last 15-20 years before replacement is even a consideration. Is your current unit that old? If it is, a recommendation to replace would be normal. HVAC contractors don’t see the point in continuing to repair such an old unit.
Maybe your current furnace isn’t quite there yet. It is 12-14 years old. Nonetheless, it seems like you are frequently having it fixed. The combination of its age and its tendency to break down could be sufficient motivation to replace it with something new.
2. The Repair Estimate
Compare the age of the furnace against the repair estimate provided by your technician. How many similar breakdowns would have to occur before you have paid the equivalent of full replacement in repair costs? If the age of your furnace is such that breakdowns are frequent, ongoing repairs might represent throwing money away.
According to Salt Lake City Utah’s SameDay, a general industry rule is to replace a furnace if the cost of repairs exceeds 50% of the replacement cost. Of course there are extenuating circumstances. But the rule offers a good starting point to assess the practicality of repairs versus replacement.
3. Energy Efficiency
In addition to wearing out with age, furnaces tend to lose their efficiency over time. So even if your furnace isn’t on its last legs, consider whether it is efficient enough to keep it going. A new furnace could help pay for itself with better energy efficiency. And for some homeowners, energy efficiency may be the one thing that tips in favor of replacement.
Efficiency saves money in two ways. First, a more efficient furnace does not work as hard to keep your house warm. You are consuming less energy to heat your home. Second, the furnace doesn’t require as much energy to produce the same amount of heat. Again, that’s energy and money saved.
4. Size and Capacity
If you do decide to replace your furnace, you will have yet another consideration: size and capacity. It is important to choose a new furnace appropriate to the size of your home and its layout. Otherwise, you could run into problems.
An undersized furnace probably won’t have the capacity to keep your house warm. It will have to work harder and will wear out faster. An oversized unit will not be as efficient. It will consume energy needlessly and might even make you uncomfortable.
Being faced with the decision to repair or replace can have you seeing dollar signs before your eyes. But it’s a decision nearly every homeowner needs to make at some point. The best advice is that you do not rush into it. Take some time and think about it.