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ROI on AC

October 21, 2020

ROI on AC
Buyers in today’s real estate market expect to see Air Conditioning in a home, unless the home is within a few miles of the ocean.  In general it’s a good idea to have have Air Conditioning for resale.  Typically, a buyer is spending all of their money on the purchase and he / she doesn’t have a lot leftover for improvements like adding Air Conditioning.  They can always get a bigger mortgage and pay more for a house that has it though.  That being said, in today’s real estate market sellers are still fetching amazing prices for their homes, even without A/C.  It’s never been a better time to sell due to low rates and low housing supply.
You will make your money back when you add A/C to your home.  However, do not expect to make money on the investment.  I have an outstanding HVAC Professional who has been in the business for decades and offers great pricing.  You don’t need to hire the guys you see advertising on television to get a great product.  Those guys are pricey!   Costs are increasing as production has decreased and created some supply issues in the plumbing and HVAC world as well.
It’s always a good idea to review opportunity costs when investing in your home.  You want to make sure you’re investing your money in the right place.  If you want A/C for your own comfort then add it.  If you really don’t need or want it, then don’t make the investment just for re-sale.  That investment might be placed better with fresh paint and new carpet prior to listing your home for sale.  We’re always happy consult with our clients and make a plan to maximize their return on their home improvement dollar.

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