How to Boost Property Value with Modern HVAC Upgrades

In today’s competitive real estate market, homeowners and property investors constantly seek ways to increase the value of their properties. An effective yet often overlooked method is to upgrade the HVAC (Heating, Ventilation, and Air Conditioning) system. 

Modern HVAC upgrades not only improve the comfort and energy efficiency of a home, it can significantly boost its market value. In this comprehensive guide, we discuss the various ways how modern HVAC upgrades can enhance property value. We also take a look at the latest HVAC technologies to invest in, and practical tips for making the most of these upgrades.

How HVAC Systems Can Enhance Property Value

The HVAC system plays a crucial role in maintaining indoor comfort and air quality. It regulates temperature, humidity, and ventilation, ensuring a healthy and comfortable living environment. 

More crucially, a 2022 study by the National Association of Realtors found that 30% of home buyers consider heating and cooling costs to be a primary consideration when shopping for a residential property.

Here’s how HVAC upgrades can increase property value and boost its appeal for potential buyers.

1. Improved Energy Efficiency

Heating and cooling accounts for almost 50% of a typical home’s energy consumption according to the US Department of Energy. Modern HVAC systems are designed to consume less energy while providing optimal performance. This leads to lower utility bills, which is a significant selling point for potential buyers.

2. Enhanced Indoor Air Quality

The coronavirus pandemic led to a renewed focus on indoor air quality (IAQ). Previously the realm of commercial and industrial buildings, IAQ has now become important for residential properties over concerns about viruses and pathogens. 

The Environmental Protection Agency says that most people spend 90% of their time indoors, with much of that time being one’s home.

Advanced HVAC systems come with superior filtration and humidity control features, which contribute to better indoor air quality. This increases selling appeal in the post-Covid age. 

3. Increased Comfort

Unless you live in the goldilocks zone of San Francisco, many places in the US experience wild temperature fluctuations. States like Montana, Wyoming and the Dakotas see lows down to -60 degrees F in the winter, to over 100 degrees in the summer.

This becomes even more important in an era of climate change. A 2022 survey by Redfin found that 62% of home buyers were hesitant to move to an area associated with climate risks.

A state-of-the-art HVAC system can maintain consistent temperatures throughout the home, eliminating hot and cold spots and ensuring a comfortable living environment year-round. 

4. Reduced Maintenance Costs

New HVAC systems are typically more reliable and require less maintenance than older units. This can be a major attraction for buyers who are looking for a property with minimal upkeep.

The cost of basic HVAC repairs can range from $100 to $1,200. However, major repairs can shoot up to $2,500 and more, and in some cases cost as much as a new HVAC system.

5. Boost Curb Appeal

Modern HVAC systems are often quieter and more aesthetically pleasing than their older counterparts. This can enhance the overall appeal of the property.

For instance, mini split units tend to be smaller and quieter than their comparable central air counterparts. . Indoor units have greater mounting options ranging from traditional wall to concealed. Home heating can now be accomplished via radiant or even underfloor heat.

A CNBC piece on home remodeling projects that provide the most ROI found that “unsexy” upgrades like HVAC can make a home stand out more in the market, instead of extraneous projects like swimming pools and chef’s kitchens.

7 HVAC Upgrades that Boost Property Value

To maximize the value of your HVAC upgrade, here are some of the cutting-edge HVAC trends that are worth investing in.

1. Smart thermostats

Smart thermostats are among the most popular HVAC upgrades on the market. They allow homeowners to control heating and cooling remotely via smartphones, tablets, or computers. Moreover, they can be integrated with popular smart home devices from Amazon, Google or Apple’s Homepod ecosystem. 

This allows homeowners to create routines, program schedules, and even implement device geo-fencing. The result is convenient control and a more energy efficient home.

2. Inverter AC systems

Variable speed HVAC systems adjust their output to match the exact heating or cooling needs of the home. Unlike traditional single-speed systems, which operate at full capacity regardless of demand, inverters can run at lower speeds for longer periods. This results in more consistent temperatures, reduced energy consumption, and quieter operation.

Check out our comprehensive discussion on inverter ACs and inverter mini splits.

3. Ductless mini-splits

Ductless mini-split systems are ideal for homes without existing ductwork or for adding climate control to expansion areas. They consist of an outdoor unit connected to one or more indoor units, providing zoned heating and cooling. They are highly energy efficient and offer greater flexibility in installation.

The Energy Department states that mini splits can save up to 30% on heating and cooling costs, compared to central forced air systems.

Check out our extensive selection of single and multi zone mini split systems, from conventional wall units to concealed duct and ceiling suspended models.

4. Geothermal heat pumps

Geothermal heat pumps utilize the stable temperatures underground to heat and cool homes. Although they have a much higher upfront cost, they offer exceptional energy efficiency and can significantly reduce utility bills over time. They are also environmentally friendly, as they rely on a renewable energy source. 

According to the Energy Department, the higher upfront cost of a geothermal system can be recouped in 5-10 years, while the system itself has an estimated operational lifespan of 24 years for the components, and up to 50 years for the ground loop.

5. Air purification systems

Modern HVAC systems can be equipped with advanced air purification technologies, such as HEPA filters, UV lights, and ionizers. These systems can effectively remove allergens, pollutants, and pathogens from the indoor air, ensuring a healthier living environment.

This can be a noteworthy selling point for individuals with allergies or respiratory issues, families with young children, or the elderly.

We carry a wide selection of indoor air quality products and air purification systems, from humidifiers and dehumidifiers to heavy duty air cleaners.

6. Energy Recovery Ventilators (ERVs)

Energy recovery ventilators (ERVs) are designed to improve indoor air quality by exchanging stale indoor air with fresh outdoor air. They also recover heat and humidity from the exhaust air, which enhances energy efficiency. The DOE estimates that ERVs can recover between 70% to 80% of the energy in the exhaust air, and deliver that energy to the incoming air. 

ERVs are particularly beneficial in tightly sealed, energy-efficient homes, in climates with extreme winters or summers, and areas where fuel costs are high.

7. AC and Heat Pumps with new refrigerants

In January 2025, the EPA will phase out older HFC-based refrigerants from residential AC and heat pump systems.  New HVAC installations should use the new class of A2L refrigerants, which are more energy efficient, less toxic, and carry less global warming potential.

When upgrading your AC or heat pump, make sure it uses newer refrigerants like R32 or the R45 class. 

Check out our selection of cooling and heating systems that use new EPA-approved refrigerants.

Practical Tips for HVAC Upgrades

When considering an HVAC upgrade to boost property value, it’s important to plan and execute the project carefully. Here are some practical tips to ensure a successful upgrade:

✔ Conduct a Professional Assessment

Before making any upgrades, have a professional HVAC technician assess the current system and the home’s heating and cooling needs. This will help identify any issues and determine the most suitable upgrades.

The Energy Department provides useful guidelines on HVAC retrofit assessments for homeowners.

✔ Choose Energy-Efficient Systems

Look for HVAC systems with high SEER (Seasonal Energy Efficiency Ratio) ratings and ENERGYSTAR certifications. Both provide a measure and certification on energy efficiency based on strict performance guidelines set by the DOE and EPA. 

Such systems are designed to consume less energy while providing optimal performance compared to low SEER and non-certified products.

✔ Invest in Smart Technology

Incorporating smart thermostats and other connected devices can enhance the efficiency and convenience of the HVAC system, especially in the age of Alexa, Google and Siri. These technologies are also highly attractive to tech-savvy buyers.

✔ Consider Zoning

Zoning allows different areas of the home to be heated or cooled independently. This can improve comfort and energy efficiency, as it reduces the need to heat or cool unoccupied spaces.

✔ Consider the Aesthetics

When upgrading outdoor units, choose models that are visually appealing and quiet. This can enhance the curb appeal of the property and create a positive impression on potential buyers.

✔ Provide Documentation

Keep detailed records of all HVAC upgrades, including installation dates, warranties, and maintenance records. This documentation can be valuable to potential buyers and demonstrate the care and investment made in the property.

Conclusion

Investing in modern HVAC upgrades is not just about improving your home’s comfort; it’s a strategic move to enhance its marketability and overall value. By incorporating the latest technologies and following best practices, homeowners can also enhance energy efficiency, improve indoor air quality, and create a more comfortable living environment. Whether you’re planning to sell your property soon or simply want to enjoy the benefits of a modern HVAC system, these upgrades can provide substantial returns on investment. 

Future proof your HVAC system and watch your property value soar. Contact us today to help you with your HVAC retrofit.