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What is HVAC?

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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What does HVAC mean?

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.

What are the components that make up an HVAC system?

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:

Air conditioner

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.

Heat pump

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.

Furnace

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 handler

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

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. 

Humidifier/Dehumidifier

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

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

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. 

Thermostat 

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.

Types of HVAC 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.

Split system

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.  

Dual fuel heat pump system

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 mini-split system

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.

Packaged system

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:

  • Gas/electric packaged units
  • Heat pump packaged units
  • Dual fuel packaged units
  • AC packaged units

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.

How do HVAC systems work?

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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.

What HVAC system is right for me?

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!

How much does a new HVAC system cost?

Your overall HVAC replacement cost will vary, depending on several factors, including:

  • The unit(s) you are replacing
  • The sizing of the units (3-ton AC, 4-ton heat pump, etc.)
  • HVAC pricing where you live
  • If you’re getting add-on features such as an air cleaner or humidifier
  • If you need duct sealing or new ductwork
  • If you need electrical upgrades
  • What brand you choose
  • Who you hire

There are also specific cost factors related to the type of heating or cooling unit.

AC replacement cost

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).

Furnace replacement cost

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:

  • Heating capacity in BTUs
  • If it’s a single-stage, two-stage, or modulating furnace
  • The AFUE efficiency rating
  • If you replace your air conditioning unit or convert to a heat pump at the same time
  • The brand you choose

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:

  • Heat pump size (4-ton heat pump, 5-ton heat pump, etc.)
  • If it’s a single-stage, two-stage, or variable-speed heat pump
  • The SEER2 and HSPF2 efficiency ratings
  • If this is a heat pump replacement or a gas furnace to heat pump conversion
  • The brand you choose

For Trane heat pump prices in your area, call your local Trane dealer(s).

Air handler cost

Your air handler cost will also vary based on your needs. Some of the factors affecting the cost to install an air handler include:

  • If it has a variable speed motor
  • If it’s a communicating system
  • The evaporator coil (all-aluminum or epoxy-coated all-aluminum)
  • Whether you’re replacing an existing air handler or replacing a furnace
  • The brand you choose

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.

How to install an HVAC system

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.

How to find the right HVAC company near you

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. 

Why you can trust us

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.

Why Trane systems are the best heating and cooling systems

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. 

Trane heating and cooling systems are built to last. It’s just one of the reasons we earned the title of America’s Most Trusted™ HVAC Brand for ten years in a row. Contact your Trane local HVAC dealer to schedule quality HVAC repair or HVAC replacement you can count on. 

Explore the top HVAC brands: Trane, American Standard Air, RunTru by Trane, Ameristar HVAC by American Standard, and Oxbox HVAC heating and cooling systems.

Contact a local dealer

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