HVAC, which stands for Heating, Ventilation, and Air Conditioning, is an all-encompassing term when it comes to talking about your heating and cooling system in its entirety. While the world of HVAC might seem complicated, it doesn’t have to be confusing for homeowners. Let’s break down the basics.
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By Anne Fonda
In this article, you will learn about:
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HVAC is an acronym that stands for Heating, Ventilation, and Air Conditioning. A residential HVAC system is a complete home comfort system that can heat and cool your home, as well as provide improved indoor air quality and humidity control. There are many different types of HVAC systems. They can include individual components such as AC units, heat pumps, air handlers, furnaces, air cleaners, humidifiers, and dehumidifiers.
Today’s heating and air conditioning systems are more efficient than ever. But there’s an alphabet soup of acronyms that you need to understand to make the best choice for your energy efficiency needs.
The more efficient an HVAC unit is, the more it can help you reduce your energy consumption and save on your energy bills. For all of these ratings, the higher the number, the more efficient the unit is.
AFUE stands for Annual Fuel Utilization Efficiency and applies to a gas furnace or boiler’s efficiency. An AFUE rating is expressed as a percentage – a ratio of how much energy is produced via the combustion process and how much fuel burned is lost or wasted. A 97% AFUE rating means 97% of the fuel burned goes directly to heating your home.
HSPF2 stands for Heating Seasonal Performance Factor. This rating applies exclusively to heat pumps, and measures how efficiently a heat pump can heat your home during the colder months. This energy efficiency rating was also recently updated.
SEER2 stands for Seasonal Energy Efficiency Ration. The 2 on the end was added when the efficiency standards were updated. SEER2 measures the AVERAGE cooling efficiency of an air conditioner or heat pump over a range of temperatures from 65-104 degrees Fahrenheit.
Similar to SEER2, EER2 (Energy Efficiency Ratio) measures the efficiency of cooling units, but at a specific temperature of 95 degrees Fahrenheit. This standard was also recently updated from EER. A higher EER2 rating might be more important than the SEER2 rating of an AC unit or heat pump if you live in a hot climate.
BTU stands for British Thermal Unit. A BTU is a measurement of heat energy. Specifically, one BTU equals the amount of heat required to raise or lower the temperature of one pound of water by one degree Fahrenheit. In general, you need an HVAC unit with a higher number of BTUs to heat or cool a larger space. Work with an HVAC professional to determine proper sizing for your home.
Learn more in our HVAC metrics guide.
An additional acronym you may see relates to sound level. dB stands for decibel which is a measurement of sound intensity. Trane outdoor HVAC unit listings will list the product’s dBa level in the technical specifications. dBa refers to the sound the human ear can perceive.
A complete HVAC system has more than one component. It has multiple units and parts, both inside and outside your home, that all work together doing different jobs to bring you the complete home comfort you need. While many different components can be part of an HVAC system, below are a few of the ones you’re most likely to see in your system, plus what they do:
A central air conditioner cools your home by removing heat and humidity from the inside and transferring it outside. A properly sized central air conditioning system can keep you comfortable even in the hottest and most humid conditions. Be sure to keep up with regular air conditioner maintenance to keep your system running at peak performance.
Central air units are available in single-stage, two-stage, and variable-speed systems. Learn about Trane’s best air conditioners to help you decide which central AC unit is best for your home.
Contrary to the name, a heat pump can both heat and cool your home. Heat pumps use refrigerant to absorb, transport, and release heat, and they can reverse the flow of that refrigerant depending on whether you need heating or cooling. Electric heat pumps are more sustainable than systems that burn fossil fuels.
Heat pumps are available in single-stage, two-stage, and variable-speed systems. Learn about Trane’s best-rated heat pumps.
Where air-source heat pumps use electricity to heat (and cool), furnaces create heat by burning a fuel source like natural gas or propane. They then distribute that heat throughout your home, to increase the indoor temperature.
Furnaces are available in single-stage, two-stage, and modulating systems. Learn about Trane’s best furnaces.
Air handlers circulate both warm and cool air throughout your entire home, to reach your desired temperature in every room. Air handlers are most often paired with heat pumps, but can also be paired with an AC unit.
Ductwork is a system of sheet metal or flexible pipes, also known as ducts, that carry and distribute air from HVAC units like your furnace, air conditioner, heat pump, and air handler. Improperly sized or improperly installed ductwork can result in problems, as can leaky ductwork.
Humidity control units can be an additional part of your heating and cooling system. Humidifiers increase humidity in dry air during the winter or year-round in dry, arid climates. Whole-house dehumidifiers can help regulate humidity in humid climates as well as in homes with single-stage AC units.
Learn about Trane’s best humidifiers and dehumidifiers.
Whole-house air cleaners, or air purification systems, can be an additional part of your HVAC system. They help to improve your home’s indoor air quality (IAQ) by capturing allergens, viruses, bacteria, and other pollutants before they can enter your HVAC system and spread throughout your home. They are much more efficient than your standard HVAC air filter.
Learn about Trane’s best air purifiers.
Whole-house ventilation systems provide a regular exchange of stale air for fresh air in your home. Not everyone needs mechanical ventilation, but it can be beneficial for tightly insulated homes.
The thermostat is the brain behind your HVAC system. Located inside your home, it allows you to control your indoor temperature. When you change the temperature on your thermostat, it signals to the rest of your HVAC system your home needs to be warmer or cooler.
Smart thermostats take things a step further, allowing you to create custom temperature schedules, set humidity levels, make changes and monitor your system remotely through the Trane Home App, and give your dealer remote diagnostics capabilities. Learn about Trane’s best thermostats.
A boiler is the heart of a heating system that combusts fuel to heat water. The heated water is then sent through a series of tubes/pipes and radiators to heat a home or commercial building. Boiler systems are more common in older homes and commercial locations in the Mid-Atlantic and Northeastern states. Learn more about these systems at the American Boiler Manufacturers Association.
Unlike common air-source heat pumps we previously discussed, geothermal heat pumps use a series of underground pipes to take advantage of the stable underground temperatures to heat and cool your home. Geothermal systems have a higher upfront cost than standard heat pumps and require a yard substantial enough to house the underground system. Learn more at energy.gov.
Radiant heating uses a series of tubes or panels to provide radiant floor heating or supplemental heat via wall panels. They use electricity or water (in a hydronic system) that pumps heated water through the pipes/tubes. Learn more about radiant heating systems.
There are several types of HVAC systems. Work with an HVAC professional to determine which one is right for your new home or system replacement.
A split system is the most common central heating and air conditioning system in single-family homes in the US. It is a matched system that includes an outdoor unit such as a heat pump or air conditioner and an indoor unit such as an air handler or furnace.
A dual-fuel heat pump system consists of an outdoor electric heat pump and an indoor gas furnace. The heat pump provides cooling in the summer and the furnace circulates the cool air inside your home. In colder weather, you have a dual-fuel heating system.
The heat pump/furnace combo, sometimes called a hybrid HVAC system, chooses the most efficient way to heat your home. In the fall and early spring, the heat pump heats your home until the temperatures drop below 40 degrees. Then the furnace kicks in to keep your home warm and cozy.
Ductless HVAC systems are great for older homes without ductwork, new construction, or areas that need a boost in heating and cooling. A ductless mini-split system has an outdoor condenser/compressor unit (sometimes called a mini-split heat pump) and one or more indoor units.
A true mini-split system has one unit, while a multi-zone ductless system can have up to 8 connected indoor units. You can set each unit at its own temperature or turn it off. You cannot heat and cool at the same time, however.
A packaged HVAC system contains the heating and cooling units in one sleek cabinet. HVAC packaged units are a good solution for smaller homes that don’t have room for a larger split system.
Options include:
The best HVAC system for your home will depend on the size of your home, the climate where you live, if you have existing ductwork, how energy efficient you want your system to be, and much more. For best results, worth with heating and air conditioning contractors who have experience with all types of HVAC systems.
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The goal of your HVAC system is to make your ideal home comfort circumstances become a reality. To do this, a complete system must be built from a basic combination of an air conditioner, furnace, heat pump, air handler, ductwork, and thermostat.
Once the proper HVAC system for your home is selected and installed, you’ll begin controlling the temperature inside with your thermostat. When the thermostat tells the heating and cooling units in your home the temperature needs to change, they will begin the process of producing warm or cool air. That newly warmed or cooled air will be distributed throughout your home with the help of ductwork or an air handler. If your home features a ductless system, refrigerant lines will help move the air through the system.
HVAC systems can be powered by either gas or electricity, though more and more systems are now all-electric. The main exceptions are furnaces and boilers, which tend to be either gas or oil-powered.
Residential HVAC equipment installed in the United States needs to meet certain standards and codes. This is for building safety and your safety, as well as to ensure units meet the stated efficiency requirements. Building codes are required by law and other standards and guidelines have become accepted across the HVAC industry.
Examples include:
Individual HVAC contractors must also adhere to state and local codes and standards as they apply to HVAC installation.
The right HVAC system for you depends on a variety of factors including where you live, the size of your home, your price range, and more. The best heating and cooling system for you also depends on your personal home comfort preferences.
Do you want a system that’s energy efficient? Quiet? Ability to monitor humidity? All of the above? These factors and preferences will help determine the perfect combination of units for your home.
After you determine your preferences for a home comfort system, schedule a call or meeting with a trusted HVAC company. An experienced HVAC professional will have the knowledge and expertise to help you design the right system for your home, as well as talk you through system preferences based on your climate. The first step to finding the right heating and cooling system for you is simply learning about HVAC, which means you’re well on your way!
Your overall HVAC replacement cost will vary, depending on several factors, including:
There are also specific cost factors related to the type of heating or cooling unit.
How much is a new AC unit? It depends. Your air conditioner replacement cost will depend on several things, including:
Your overall cost will be higher if this is a new central air installation that includes zoning and installing ductwork. For Trane air conditioner prices in your area, call your local Trane dealer(s).
How much does it cost to replace a furnace? Again, there is no firm answer to that question because it depends on your specific heating needs. Furnace replacement costs will vary based on:
For Trane furnace prices in your area, call your local Trane dealer(s).
Heat pump cost
How much does heat pump installation cost? We know you’ve heard us say this before, but the answer depends on your specific circumstances. Factors affecting the cost to install a heat pump include:
For Trane heat pump prices in your area, call your local Trane dealer(s).
Your air handler cost will also vary based on your needs. Some of the factors affecting the cost to install an air handler include:
A heat pump + air handler is the most common time to install an air handler. To save on electrical upgrades and retrofitting, if you’re planning a gas furnace to heat pump conversion, we would recommend the 120V Modular Variable Speed Air Handler, which requires no electrical changes or retrofitting.
Think seriously about getting an ENERGY STAR®-certified system so that you can qualify for federal tax credits and local rebates. Energy savings over the years can help cover the HVAC installation cost. Also, consider the various types of HVAC financing to help you pay for your new system.
For more information on Trane air conditioning costs as well as the cost of a Trane furnace or Trane heat pump, check out our HVAC pricing guide. For specific pricing tailored to your home and the HVAC system that best suits your needs, contact your Trane local HVAC dealer.
Installing an HVAC system is not a DIY job unless you’re a trained HVAC professional. While you can install a window unit AC or wall unit, installing an HVAC system is best left to licensed professionals. Local building codes may require this and you may void your warranty if you try and save a few bucks by going the DIY route.
The HVAC installation process will vary depending on what type of system is being installed. For a central heating and air system tasks can include sealing or installing new ductwork, properly venting a gas furnace, hooking up refrigerant lines, refrigerant charging, electrical work, and more. Removing refrigerant requires a special Environmental Protection Agency (EPA) certification.
For a ductless mini-split system, installation involves mounting the indoor units on the wall, ceiling, or floor level; installing the outdoor unit, and running refrigerant conduits.
Save yourself future repair bills and warranty issues and hire HVAC professionals.
Don’t hire a local HVAC company without doing your homework. The best HVAC system is only as good as its installation and maintenance. That’s why it’s so important to choose the best HVAC contractor for the job. When you’re looking for the best HVAC company near you, you want to find one that you can depend on for HVAC installation, AC repair, furnace repair, HVAC maintenance – a full range of HVAC services.
Start by asking friends and family for recommendations of great HVAC companies they’ve worked with, as well as heating and air conditioning contractors to avoid. Ask them what HVAC brands they recommend, as well. Remember the old saying – you get what you pay for.
Research the heating and cooling contractors who come highly recommended.
Read their reviews, check out their websites, and look at their Better Business Bureau profile. Pay attention to how the company handles negative reviews or customer complaints. You want a responsive heating and cooling company that can schedule prompt HVAC repair, provide ongoing maintenance, and handle system replacement with expertise.
If you need emergency repair look for companies who provide 24-hour service. If you’re considering HVAC replacement, choose several HVAC installers to get quotes from.
Looking for a career change or have a high school student with mechanical and technological aptitude?
Becoming an HVAC technician might be just the thing. According to the Bureau of Labor Statistics, the field is growing faster than average. HVAC technician jobs offer job security, good pay, and more. All you need to start is a high school diploma or GED.
The next step is earning an HVAC certificate. Explore programs near you. Your high school student might find one at a vocational high school. Once you have your certificate, you’re eligible for an HVAC apprenticeship – paid, on-the-job training with an HVAC company or union. Consider pursuing NATE certification as well to highlight your skills.
Trane offers two pathways to a career in HVAC:
We’d love to have you join us, but you can also explore HVAC apprenticeships near you.
When we compile information like this, our goal is to help homeowners make informed decisions. We work with HVAC engineers and HVAC professionals with decades of experience. We provide you with accurate and up-to-date information. Our glossary items and blogs undergo expert review to ensure you get the information you need.
Since 1913, Trane has led the HVAC industry in developing and manufacturing sustainable HVAC systems that increase your home comfort while lowering your energy bills. We routinely rank highly among the best-rated HVAC systems and best HVAC brands.
Explore the top HVAC brands: Trane, American Standard Air, RunTru by Trane, Ameristar HVAC by American Standard, and Oxbox HVAC heating and cooling systems.
Anne Fonda, Content Writer at Trane Technologies
A Content Writer with Trane Technologies, Anne Fonda researches topics and writes for Trane® and associated residential HVAC brands. She works in collaboration with Trane Technologies subject matter experts, offering easy-to-understand, informative content on complex topics. Her goal is to help consumers make informed decisions on the products and services they need.
She has written for HVAC and other service provider websites for over 16 years. Before transitioning to web content writing, Anne had a 14-year stint as an award-winning journalist. She graduated cum laude from the University of Missouri-Columbia School of Journalism. When she’s not working, Anne enjoys playing word games, reading, gardening, spending time with family, and visiting gardens and museums.
Expert review by: Kimberly Sexton, Senior Systems Engineer & Mark Woodruff, Senior Product Manager Ducted Outdoor
Furnaces are a whole-home heating solution that work by burning a fuel source, like natural gas or propane, to make heat. The heat produced is combined with cold air from your home, then is re-distributed via ductwork to increase indoor temperature.
Air conditioners remove heat and humidity from the air in your home and place it outside to reach your desired indoor temperature. Central AC cools your entire home, while ductless AC cools just one portion or room in your home.
Heat pumps are HVAC systems that can perform both heating and cooling functions without the use of electric heat or fossil fuels.
Air handlers circulate air throughout your home to maintain your desired temperature. They’re typically found inside the home and paired with a heat pump.
A humidifier is an HVAC system that adds moisture to the air in your home, with the end goal of changing indoor humidity levels. Humidifiers can be stand alone, or added into an existing HVAC system, like a heat pump.
Learn what a smart thermostat is, what it can do, and why Trane smart thermostats are several steps above ordinary Wi-Fi thermostats.
Ductless air conditioning cools just one room or single space where ductwork is not present in your home. Homeowners can install up to five indoor ductless units throughout their home, all connected to just one outdoor unit, in order to cool multiple spaces at once.
Dealers can answer questions, help you find the right products for your home, and repair your system.
Connect with our Customer Care team about your products, warranties, and dealer concerns.
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