How the Residential HVAC Industry operates and what it means to you the homeowner.

Before getting into the nuts and bolts of the supply chain of HVAC, Let’s take a look at a couple other related industries so you can get a sense of why it is important for you to know any of this at all.

First let’s take Plumbing. Back in the day when your parents built or remodeled houses, the normal procedure for getting your plumbing work completed was to call your plumber and meet with him to go over your project. You would tell the plumber what type of fixtures and faucets and other plumbing related apparatus you wanted. Once you made that decision, your plumber would go to his wholesale supply house and purchase your fixtures and then install them for you. He would mark up the price of your plumbing products along with his labor and you would pay him for everything. Not so these days. Now, it is common practice for you to go to your local big box store, plumbing showroom or On-Line and purchase fixtures yourself.

Then when the time is right, your plumber installs these fixtures and you receive a bill for his services only, with some minor supplies added in. Back in the day, the plumber’s argument was that the homeowner did not have the expertise to make this decision for themselves. That may have been true at the time, but as this practice increased, the fixture industry became smarter and placed knowledgeable people in place to help the consumer.

Then there is Lighting and electrical. Same thing, at one time you hired the guy who supplied it all and you kind of took what you could get and the contractor profited from the fixtures and equipment that he sold you along with his services. Again, all of that has changed. Now you go to the lighting center or On-Line and buy your own and pay the electrician to install it.

So, why should HVAC be any different? Well, let me tell you, it is. The HVAC contractor will argue that HVAC is complicated. It is dangerous. You have to have a license. All of this is true to some degree, but just like the plumbing industry, the HVAC market is starting to make available, professionals who can assist the homeowner in making their own buying decision. And all of those reasons that “You Can’t” procure your own heating and air conditioning equipment, are really just excuses that HVAC contractors continue to promote in order for them to be able to profit above and beyond their installation services. If you look around, you will see an increase in on-line companies that offer the same HVAC products that the homeowner can purchase for significantly less money then from an HVAC contractor. So, the tide is slowly changing.

If you really look at it, the HVAC market is just behind the times in its marketing compared to its sister and brother trade disciplines. Rest assured that this will change. Especially so as you the homeowner become increasingly vigilant with your personal money during these unsteady financial times.