Is it possible to afford quality heating and air conditioning that won’t break the bank?
Your heating and air conditioning system has been officially declared dead. The repairman has come and read its last rites. You’ve mourned its loss, and now you’re ready to move on. But can you afford to replace it? How will you pay for it?
Before we answer that, the first thing you should do is check your warranty. This seems like a no brainer, but if your system has been properly maintained, and is still covered by the manufacturer warranty, you may be able to replace the system at little-to-no cost.
If your warranty has run out, then you’re back to the question of how to pay for it. We get asked this question a lot. And the answer is…it depends. Only you can decide what your budget will allow and what is right for you and your family. However, we’ve detailed three different options for financing your new HVAC system.
Please note: We deliberately provided alternatives to traditional dealer financing, and borrowing from a friend or relative. Those may still be the best choices for you, but it’s always good to look at all the options when making a large investment in your home.
1. Credit Card
Whether or not you choose this option depends on a few factors. The size of your credit line. The interest rate you will be charged. And how quickly you think you can pay it all back. If your rate is reasonable, this could be a good choice.
2. Home Equity Line of Credit (HELOC)
If you own your home, this may be a good option for you. Because you are using your home as security against the debt, interest rates are often much lower than credit cards or personal loans (depending on your credit score and payment history). Most banks will offer HELOCs even if you don’t have your mortgage with them. But be sure and ask what the minimum line of credit is, and how long it will take to get access to your funds. You may not want a $15,000 line of credit opened for a $3,000 system.
3. Federal Grant
The Low Income Home Energy Assistance Program was created by the government to assist low income Americans with their heating and cooling expenses. While the agency’s main purpose is to help people in danger of having utilities cut off, the local LIHEAP office may also be able to help you pay all or part of the cost for replacing your furnace or air conditioning unit. Qualification is generally based on income and varies by state.
Once you’ve decided on the right type of financing, call around and get quotes from your local professionals. If you’re in Statesville, North Carolina, the pros here at Griffin Heating & Air Conditioning will be happy to assist you. We know replacing your heating and air conditioning system can be a hassle, but click this link or call us today at 704-872-0414 and we’ll walk you through the process step by step.