Homeowners are always looking for ways to save money while also staying comfortable during the year. A big question that usually comes up in a family is if they should rent or buy their air conditioner and furnace units. This question comes up because many HVAC companies advertise their rental options on the web and TV. You may already be renting your water heater, as that has been a popular option for many years, but renting an air conditioner and furnace has only become mainstream in the past couple of years.
If you are reading this article, you are probably looking to replace your old air conditioner and furnace because they are old or broken. The first step in replacing your HVAC units is to decide if you want to buy new ones or rent them. If you are looking for more information regarding renting your air conditioner and furnace, continue reading this article.
Pros of Renting
No upfront costs
When you rent a furnace or air conditioner, you will not be required to pay anything upfront. If you decide to buy your units, you could be looking to spend around $4,000 for each unit. Renting your units is a great option if you don’t want to spend a lot of money all at once.
You won’t have to pay for repairs
When you rent these units, your repairs may be included with your yearly maintenance plan. However, you should double-check the contract and ask the company to confirm that the repairs are included.
Your units will be replaced if they break down
This will also depend on your contract, but a full rental contract should be able to have replacement options that you won’t have to pay for. If you choose a rent-to-own option, you may be on the line when it comes to replacements.
Cons of Renting
Contracts can be long term
If you are looking to rent a furnace or air conditioning unit, you may need to sign a contract that lasts around 15 years. If you want to get out of the contract, you will have to pay the full buyout amount.
Consistent monthly payments
If you do rent your furnace and air conditioning units, you will need to pay monthly payments for as long as the contract specifies. This is not a big con if you are able to keep up with the payments, but if you miss one payment for whatever reason, you may be hit with big interest rates. Before you rent your units, sort out a system that works for you to ensure that you will always pay your monthly bills on time and at the proper amount of money.
Renting may affect the value of your home
When somebody is looking to buy a home, they usually require the purchase price to include owned furnace and air conditioning units. If you are selling your home in the near future and you are renting these units, you may have to buy out of your contract. This is because the new owners may not want to take over your contract and rather buy their own units. If you are committed to renting your air conditioner and furnace, make sure that you will be living in that home for the foreseeable future. Obviously, things in life pop up, like a new job opportunity or family obligations, and you are forced to move, so it is wise to keep a savings account with enough money in case you do need to buy out your contract.
What To Do Before Making A Decision
Before you decide if you want to buy or rent your HVAC units, you will need to decide which option works best for you. The best way to choose the best option is to compare the prices from various companies. Take a look at the total price of buying the units outright and the monthly payments you will make if you rent.
Some reputable rental companies will provide discounts and benefits if you rent a bundle of HVAC equipment, so if you need to replace both your air conditioner and furnace at the same time, look for ways to save on both! Also, check about installation costs, as they could make a big impact on the overall cost of each unit. If you are looking to rent, search for companies that offer free installation with their services.
Here Is What To Do If You Want To Rent
If you feel that renting is the best option for your situation and you have found a great company that offers high-quality heating and cooling solutions, the next step is to go through a few questions and get the answers in writing. Here is a list of questions you should ask before signing the rental agreement contract:
- What is the duration of the contract?
- Is the contract a full rental agreement or is it rent to own?
- If it’s rent to own, will I have to pay for repairs and replacements?
- If any of my units need to be replaced, who will pay the replacement costs?
- What is the yearly maintenance fee, if any?
- What will the cost be if I need to buy out the contract? Does the price fluctuate depending on the duration that I have had the units?
- What is the interest rate for a missed payment?
Renting your air conditioning and furnace units is a great idea if you are in the proper situation. This includes that you plan on living in your current home for over 15 years, you are able to make your monthly payments on time every month and at the right amount, and that you rent both an air conditioner and furnace to save money with a bundle.
We hope that this article has helped you decide whether you should rent or purchase your HVAC units. No matter which option you choose, you and your family deserve to be comfortable with the right heating and cooling solutions!
Author’s Bio
Colin Hegarty is a content writer for BreezeMaxWeb that helps businesses showcase their brand through enticing copy. When he’s not working, you can find him playing net in a local beer league or biking around the city.