More times than not, homeowners are very unsure of themselves when it comes to responding to quotes given by contractors looking to replace the homeowner's air conditioning unit. The "black box" quote, as it is often called, is what they call the load calculation cost. This is the air conditioning unit and the repairs that go along with it. What they do not tell you is that they tack on extra for the ductwork repair, the costs of the warranty, the labor costs and there is always a profit margin that is unspecified. You will HAVE to negotiate in every single circumstance. You never want them to take advantage of you. Always ask for further information because there is usually more to give and the contractor is usually holding out. This article will hopefully help you find ways of getting contractors to open up more freely to you.
How do Central Air Conditioner Prices get as high as they do?
There is always going to be some kind of consistency when it comes to how a contractor or set of contractors bid because each one goes through their own little process. One may lean more towards software to help guide them towards a certain charge and some will determine an amount based on past experience. In either case, both are technically wrong. They should cover all the bases before making a determination because in a good business, the customer is always right. That is how you get a customer to return. If they do not follow this rule, people will never know how contractors go about bidding and figuring their costs and labor. Nor will the consumer know how they markup projects and equipment.
Why does a contractor markup the prices so much when the equipment is a certain price?
It is all about money. When a contractor does his pricing system he will add something called a "diagnostic fee" which is something that is something to, pretty much, get you to say yes to tell you what is wrong with the old AC system (if you have one). At that point, he or she is just going to reel you in with a flat rate and it will not be pretty. It will continue to add and add until your eyes bulge. Actually, there is a better way to do business which is where one contractor will figure up the cost per hour for the job and he will literally "fold" that into his final total. Pretty much he is saying, he is saying it should be tied into the cost of labor, which is fair. Remember that you should always ask questions when you feel like you are being over-charged because 9 out of 10 times you are.