Find the perfect professional for you

Get free quotes within minutes

How Much Does Air Conditioning Installation Cost

05 Sep, 2025 / Air Conditioning / Written by ServiceTasker Team / 10 Views / Last Updated 05 Sep, 2025

How Much Does Air Conditioning Installation Cost




The average cost ranges from $3,000 to over $10,000; the final price depends on various factors such as the type of system, the size and layout of your home, regional labour rates, and energy efficiency.



It is summer, and you are combating the humid summer of Ontario or having to face the hot heatwaves of British Columbia, and installing an air conditioning (AC) system in your own home can come as a breath of fresh air. However, prior to jumping into the cool relief, it would be important to comprehend the actual expenses as well. Depending on the equipment and labour, permits and long-term energy bills, the overall cost of AC installation in Canada may differ significantly.



This extensive overview will take you through all the significant cost components, regional price changes, and additional factors that have a say in the amount of money you will use to install an air conditioner in your Canadian house.




Typical Price Of The Installation Of Air Conditioning in Canada


The average air conditioning installation cost for Canadian homeowners is:



  • $3,000 to $7,500 for central air conditioning

  • $2,000 to $5,000 for ductless mini-split systems

  • $400 to $1,200 for portable or window units (with minimal installation)


There are some factors that can increase or decrease your final bill.


Causes That Affect the Cost of Installation


a. Type of AC System


Various forms of air conditioners require varied requirements of installation requirements.


Central air Conditioning


  • Cost Range: $3,000 to $7,500

  • Perfect to use in: Houses that already have ducting

  • Includes: Condenser unit, air handler, refrigerant lines, thermostat


Ductless Mini-Split


  • Cost Range: $2,000 to $5,000 (for one zone); $4,000 to $10,000 for multi-zone

  • Ideal for: Homes having no ducting, or additions to the room

  • Comes with: An outside compressor, one or more units of indoor air handlers


Window and Portable Heating Systems


  • Cost Range: $400 to $1,200

  • Ideal to use in single rooms or apartments

  • Installation: No-Install or Do-it-Yourself


b. Size and Capacity( BTUs )


Air conditioners are quantified in BTUs(British Thermal Units). The size is an important element to choose, and to be efficient and comfortable.



  • Less than 1,000 sq. ft. homes: 1.5 to 2 tons (~18,000 to 24,000 BTU)

  • Medium Size Homes (1,000 sq. ft – 2,000 sq. ft.): 2.5 to 3 tons – (30,000 – 36,000 BTU)

  • The larger homes (those with 2,000+ square feet): 3.5 to 5 tons (~42,000 to 60,000 BTU)


The bigger systems are expensive. For example:



  • A 2-ton system: ~$2,500–$4,000

  • A 4-ton system: ~$4,000–$6,000


c. Labour costs


The labour price in Canada to get the installations is:



  • $70 to $150 per hour, depending on province and technician expertise

  • Total labour can range from $1,000 to $3,000, based on job complexity


d. Geographic Location


The prices also differ according to the regions:



  • Ontario and BC (greater demand, greater costs in labour): anticipate prices on the high side

  • Prairies and Maritimes: a little cheaper price of installation

  • Outlying regions: travel increases the expenses, and technicians can be harder to find there.


e. New Build Vs Retrofit


The installation in new constructions of free wall and ductwork designed can be installed at lower costs.



  • Retrofitting an old home (especially one without ductwork) can add $1,000 to $5,000 in labour and materials.


Breakdown of Installation Cost: Central Air Conditioning


At what rate does it cost to install the central AC in an average house in Canada? Let us break the cost down.


a. Equipment Costs



  • AC unit: $1,500 – $3,500

  • Thermostat: $100 – $300

  • Refrigerant lines & parts: $200 – $600

  • Total: $1,800 to $4,400


b. Installation Costs



  • Labour: $1,200 – $2,500

  • Electrical upgrades (if needed): $500 – $1,500

  • Permit fees (if applicable): $100 – $400

  • Total: $1,800 to $4,400


c. Total Final



  • Combined cost: $3,600 to $8,800

  • Average range for most Canadian homes: $4,500 to $7,000


The Installation Cost of the Ductless Mini-Split System


The future of mini-split systems in Canada is bright, and there is a growing use of this since it is highly energy efficient and flexible.


a. Equipment Costs



  • Outdoor compressor: $1,000 – $2,500

  • $500 – $1,000

  • Multi-zone systems: $3,500 – $6,500


b. Installation Costs



  • Labour: $800 – $2,000

  • Mounting and electrical setup: $300 – $800

  • Additional refrigerant lines or conduit: $200 – $500

  • Total cost for single-zone: $2,000 to $4,500

  • Multi-zone systems: $4,000 to $10,000


Additional expenses with AC Installation


The extras are not necessarily necessary, but they can surprise you unless they are stipulated in the budget.


a. Upgrades of Electrical Panels


The panel in older houses could be upgraded in order to support a new air conditioning system.



  • Cost: $800 to $2,500 depending on amperage and rewiring needs


b. Installation or repair of Ductwork


In a case where ductwork is required or has to be repaired:



  • Minor repairs: $500 – $1,500

  • Full duct installation: $2,500 – $5,000


c. Smart thermostat


Enhances efficiency in terms of energy consumption, and it can be operated in a remote way.



  • Cost: $150 to $400 (plus installation)


d. Permit and Inspection Fees



  • Municipal permits (if needed): $100 to $400

  • This could depend on city and province


Cost of Commercial ACs Installations


There is a lot of variance concerning commercial systems in terms of cost and size.



  • Rooftop units: $5,000 to $15,000

  • Large ducted systems: $10,000 to $50,000+

  • Custom duct work and zoning: Adds a lot of money

  • Business owners should budget $50 to $100 per square foot for complex systems


Costs of Upgrading Old AC Systems


You do not need to completely replace an air conditioning system that is already installed, but it might be cheaper overall to replace the air conditioning system instead of doing repairs on the old one.


Average cost of Upgrade



  • Replacing old central AC: $3,000 to $5,000

  • Switching from central AC to ductless system: $4,500 to $8,000

  • Upgrading to a high-SEER model: Additional $800 to $2,000


The upgrades can also include:



  • Electrical rewiring: $500 – $1,500

  • Thermostat replacement: $150 – $400

  • Air handler upgrades: $700 – $2,000


AC Maintenance Costs: Annual Expectations


Even after installing your air conditioning system, you should consider the maintenance aspect of your air conditioning system so that they are efficient and will not cost a lot later on in fixing it.


AC Maintenance Costs of a Year



  • Professional AC tune-up: $120 to $250 per visit

  • Filter replacements: $10 to $30 every 1-3 months

  • Duct cleaning (every 3–5 years): $300 to $700


Certain HVAC businesses can have plans of maintenance.



  • Annual package: $200 to $400

  • Includes: 1-2 inspection, priority service, discount rates for repairs.


Preventive maintenance not only prolongs the life of your system but also maintains energy bills at minimal levels by providing optimum performance.




Seasonal AC Pricing: The Importance of a Buy Time


The AC installation is like other kinds of home services, where the time of the year influences the price.


a. High Season: Late Spring, early summer



  • Demand spikes

  • Installer appointment is done

  • Prices are at their peak

  • There may be up to 2-3-week delays


b. Off-Season: Winter and Fall



  • Discounts (5-15 percent)

  • Quicker time of installation accessibility

  • The latter situation leads to less urgency = more negotiation power.

  • Fall may save your pockets hundreds by booking.




AC Energy-Efficiency and Long Lasting Savings


Even though energy-efficient AC units are expensive, they are economical in the long term.


a. SEER Rating


SEER = Seasonal Energy Efficiency Ratio. The greater the SEER, the more efficient a system would be.



  • SEER 13-14: Budget models

  • SEER 16-20: Very efficient (runs about 15-30% more per month but saves 20-40% on the energy bill)


b. Certified Units of ENERGY STAR Energy


These also consume 8-10% less energy, making them eligible for rebates.



  • Upfront cost: +$200 to $500

  • Long-term savings: $100 to $300/year in reduced electricity


Government Taxes, Rebates and Credits On AC Installations


You can be eligible to receive deductions on government taxes, rebates or credits depending on the location within Canada where you live:


a. Federal Incentives


Canada Greener Homes Grant: Offers up to $5,000 for energy-efficient home upgrades, including heat pumps


b. Provincial Incentives



  • Ontario: Clean up on high-efficiency AC/Enbridge Home Efficiency Rebate Plus (HER+)

  • CleanBC incentives: Ductless mini-split and heat pump rebates

  • Quebec: Hydro-Quebec grants incentives on installation




Professional vs Do-it-Yourself Installation


Do it yourself ACs


Although installing window and portable units may be undertaken in a Do-It-Yourself manner, central and ductless units need a professional.



  • Dangers: Electrical issues, various airflow issues, bonus world voiding.

  • DIY savings: $1,000 – $2,000 (but risky and often not code-compliant)


Professional Installations


Hiring a trained and certified HVAC technician has many benefits:



  • Code compliant, safe and rapid

  • Warranty-covered

  • The technicians, who are certified, deliver appropriate AC installations.

  • Ideal to most homeowners.




Typical Errors That Incur More Cost of Installation


a. Selecting the Unit of Inappropriate Size



  • Over-sized units are expensive initially and produce more on/off cycles- waste of energy

  • Small units are used constantly and add to energy bills


Whenever buying a unit, always ask your HVAC contractor to do a Manual J Load Calculation and base their suggestion on the size unit to put in.


b. Neglecting Duct conditions


Poorly insulated or leaky ducts can cause losses of up to 30% of power in case a new AC system is fitted on the ducts. Fixing these later can cost $1,000 to $2,500 more.


c. The employment of Un-Licenced Contractors


This may save a couple of hundred dollars in the initial stages but may cancel out warranties and pass inspections. Your costs could be doubled by correcting a previous bad work.


d. Failure to Look into Operating Costs


Choosing a cheaper system with low efficiency can save money initially but increase utility bills by $200–$500 per year.




Home Size and Design: How Layout Impacts AC Installation Costs


The layout and size of your home also have a great impact on the eventual cost of the installation of the AC.


a. Single vs Multi-Story Homes



  • Multi-storey homes often require zoning or multiple air handlers (extra $1,000–$3,000)

  • Routing of ducts gets more cumbersome and labour-intensive


b. Open Concept Vs Close Rooms



  • Even cooling of floor plans is simple on an open floor plan

  • It can even be necessary to have many zones or a ductless HVAC system in older, roomy houses


c. Window quality and Insulation


Such inefficiencies can be realized through poor insulation and single-pane windows to result in excessive cooling system necessities and electric bills.


Improving insulation before installing AC can reduce your system size requirement and save $500–$1,500 in upfront cost.




Conclusion


Although it is quite a serious investment, having an air conditioning system in your Canadian home can be really valuable in the long run, because summer temperatures are getting higher and it is crucial to have a comfortable stay. There is a lot of savings to be allotted by selecting the right-sized unit and employing certified workers, as well as a time that will not result in peak season installations.


After all, a well-performing and installed AC system not only cools off your house, but also adds improvement to your quality of life as well as property value. It does not matter whether you prefer to go with a conventional central unit, a ductless mini-split, or a multifunctional heat pump. The trick is to define the trade-off between the initial cost and the savings on energy consumption and experience in the future. Your cooling system will last long provided you plan it well.




Get free quotes Register Business

YOU MIGHT ALSO BE INTERESTED IN

Top Benefits of Annual HVAC Maintenance
ServiceTasker Team Thu, 4, Sep

Top Benefits of Annual HVAC Maintenance

Air Conditioning 10
How Much Does Air Conditioning Installation Cost
ServiceTasker Team Fri, 5, Sep

How Much Does Air Conditioning Installation Cost

Air Conditioning 10
Signs Your Air Conditioner Needs Immediate Repair
ServiceTasker Team Fri, 19, Sep

Signs Your Air Conditioner Needs Immediate Repair

Air Conditioning 7
Categories Get free quotes Login Register Business