The typical HVAC (heating, ventilation and air conditioning) system lasts for roughly 12 to 15 years. This means that when it’s time to buy an eventual replacement for your current system, increases in the average price since your last purchase may come as a very unpleasant surprise. Fortunately, HVAC financing offers a range of appealing benefits, both for you as a purchaser and for HVAC professionals.
How Does HVAC Equipment Financing Work?
HVAC companies benefit greatly from the financing opportunities available to their potential customers. However, the typical provider does not offer direct financing. Instead, it sets up relationships with lenders in the area in order to facilitate financing through those institutions. When the time comes to pay for your new system, the HVAC provider can walk you through the available options and help you create a plan that best suits your needs. In addition to using financing to pay for your new HVAC system, you can use it to pay for routine system maintenance and any needed repairs.
Key Financing Benefits
One of the most appealing benefits of financing your HVAC system is the ability to afford an energy efficient model that continues to save you money on utility costs throughout its lifespan. Key benefits of well-designed financing arrangements include a typically straightforward application procedure, rapidly resolved decisions on credit eligibility, a generally low monthly payment requirement, the ability to set up a range of payment options and the ability to avoid annual fees and prepayment penalties. Other potential benefits include a lack of closing costs, the ability to keep your current lines of credit intact, the lack of any liens established against your property, the availability of online statements and (in some cases) the ability to take advantage of occasional promotional offerings from a financing institution.
Do You Qualify?
Generally speaking, the average homeowner can meet the requirements for financing at least part of the cost of a new HVAC system. You have the best chances of getting offers from more than one financing institution if you have paperwork that details your financial status, including such things as your current credit score and your monthly income. It also helps to have firm price estimates for the type of system you intend to purchase. If you have a somewhat shaky credit history, you can potentially improve your chances of qualifying for financing by offering a letter of reference from your employer or your utility provider.
For more crucial information on the ins and outs of HVAC purchasing, be sure to follow the pages of this blog.