Why do prices differ from contractor to contractor on the exact same unit?
When consumers decide to buy toaster ovens, televisions and trash compactors, the process is typically to go out, check prices and buy the product with the best price. Price shopping makes the purchase easy . . . the price tells us who to buy from. But, when it comes to buying a heating and cooling system, price may get you into deep trouble. Many consumers ask: How can the price be different . . . all three contractors are quoting the same unit?? The answer is easy and difficult at the same time. Heating and cooling systems are not toaster ovens. They do not just come out of the box, plug in and operate. When a contractor estimates a system, the equipment itself is only 40% to 500% of the price. The balance is in design, labor, parts, materials, warranty, wiring, controls and other components. So, when the consumer is presented with the price, they must know that a significant portion of the total bill is for things other than equipment. It’s a fact that, when there is a difference in
