Get a quote
Schedule
SCHEDULE ONLINE! NEXT DAY SERVICE AVAILABLE
schedule
now!

The Rising Cost of HVAC Materials & How We Keep Prices Fair for Our Customers

March 25, 2025

If you’ve recently considered repairing or replacing your HVAC system, you may have noticed that prices are on the rise. Whether you’re a homeowner preparing for seasonal maintenance or a small business owner planning an HVAC upgrade, the rising costs can come as a surprise.

At Jacob Heating and Cooling, we see these shifts every day, but we’re also working hard to shield our customers from their full impact. As a locally owned and family-operated business, we understand how vital fair, reliable pricing is. This blog breaks down why HVAC costs are going up and what we do to keep your comfort affordable.

Understanding the Market Shift in HVAC Material Costs

The cost of HVAC systems isn’t only higher due to the labor or installation—it’s heavily affected by the raw materials that go into the manufacturing unit. Over the past few years, these material costs have risen significantly. Here are a few examples:
Copper: Essential for refrigerant lines and coils, copper prices have surged due to limited global supply and increased demand across several industries.

  • Aluminum: Aluminum, used in many components, including heat exchangers and condenser coils, has become more expensive due to processing and shipping delays.
  • Steel: Steel is used in many structural and protective parts of HVAC units. Manufacturing bottlenecks have also driven up prices for this material.
  • Refrigerants: Modern HVAC systems require specific refrigerants to comply with environmental regulations. These refrigerants tend to be more costly, especially as older types are phased out.

These increases mean that the equipment itself—whether it’s an air conditioner, furnace, or ductless mini-split—is more expensive before it reaches your home or business.

In addition, HVAC systems are becoming more sophisticated and energy-efficient, which is excellent for long-term savings but can also contribute to higher upfront equipment costs.

Supply Chain Disruptions & Demand Spikes

Beyond the material costs, the supply chain has created additional challenges for both HVAC providers and their customers. Over the last several years, a combination of factors has disrupted how HVAC parts and systems are manufactured, transported, and delivered:

Global delays in raw material production and factory output
Labor shortages affecting everything from manufacturing to shipping and installation
Higher transportation costs due to fuel prices and limited logistics capacity

At the same time, demand for HVAC systems has continued to rise. With more people working and learning from home, interest in indoor comfort, air quality, and energy efficiency has soared. Many customers are upgrading systems or adding air purification technologies, which has further strained the supply chain.

This combination of high demand and tight supply has resulted in longer lead times and higher prices.

How Large HVAC Providers Are Raising Rates & Reducing Service

Another factor affecting HVAC pricing and service is the growing presence of private equity in the industry. Many local service providers have been bought out by large investment groups aiming to turn a quick profit.

Here’s how that trend affects customers:

  • Price Hikes: Newly acquired companies often raise rates soon after purchase to meet revenue targets. Unfortunately, those price increases rarely come with an improvement in service quality.
  • Loss of Personal Touch: Local teams are often replaced or restructured, leading to longer response times, inconsistent communication, and a less personal customer experience.
  • Focus on Volume, Not Value: Large corporate structures prioritize efficiency and sales goals over long-term relationships and community ties.

While these large firms may advertise big names and flashy deals, many customers end up feeling like just another number in the system. For homeowners and small business owners who value trustworthy, responsive service, that can be a frustrating shift.

Advantages of Working with a Locally-Owned HVAC Provider

At Jacob Heating and Cooling, we’ve made the conscious choice to stay locally owned and family-operated. That means we answer to our customers, not to a boardroom.

Here’s what that means for you:

  • No Outside Corporate Fees: Without pressure from outside investors or franchise fees, we’re able to keep our rates competitive and fair.
  • Long-Term Customer Relationships: We take the time to get to know you, your space, and your HVAC needs. That level of service is hard to find with large, corporate-owned companies.
  • Accountability: When you call us, you’re speaking with someone from your community—someone who cares about the quality of work and the reputation we’ve built over decades.

We’re not trying to grow fast and sell out. Our focus is on serving local homeowners and businesses with honest pricing, skilled technicians, and dependable support. That’s what we’ve always done—and what we plan to keep doing.

How We Combat Rising Costs & Keep HVAC Services Affordable

Even with industry-wide cost increases, we take real steps to help you get the most for your money. Here’s how Jacob Heating and Cooling works behind the scenes to manage rising material costs without compromising quality or service:

1. Bulk Purchasing for Price Stability

We plan ahead. By purchasing materials and equipment in bulk, we can offer lower prices and avoid the last-minute spikes that many companies face. This also helps ensure we have inventory on hand, even when supply chains are tight.

2. Strong Supplier Partnerships

Over the years, we’ve built lasting relationships with trusted suppliers. These partnerships give us access to competitive pricing and priority ordering, which means fewer delays and more consistent service for our customers.

3. Efficient, Local Operations

We keep our team streamlined and focused on providing the best service. This efficiency helps us avoid unnecessary markups and allows us to reinvest in training, tools, and technologies that improve both service and savings.

4. Transparent Pricing

We believe in clear, upfront pricing with no surprises. If we see a potential increase on the horizon, we let you know. Our customers appreciate that honesty—and we think that’s the way it should be.

Experience the Jacob Heating and Cooling Difference

Navigating the rising cost of home services can be challenging, but choosing the right HVAC partner makes all the difference.

At Jacob Heating and Cooling, we’ve weathered market changes and material shortages by staying committed to what matters most: our customers. We don’t believe in cutting corners or hiking prices to protect profits. Instead, we rely on smart planning, community values, and a deep understanding of what local homeowners and businesses need.

If you’re looking for a team that’s reliable, transparent and focused on long-term value, we invite you to give us a call.

Let’s Talk About Your Heating & Cooling Needs

Whether you’re planning a system upgrade or just looking for an honest quote, we’re here to help. Reach out today to schedule a free consultation and experience the difference of working with a family-run HVAC company that puts people before profits.

COMFORT CLUB"Never pay full price for overtime rates in an emergency"

LEARN MORE ABOUT OUR SERVICE AGREEMENTS PROGRAM