You call an ac company out because your unit isn’t blowing cold air or isn’t running at all. They take a look and the repair is about $1200. They do the work, and 4 months later, the unit breaks down again. It’s a common scenario. At the time of the $1200 repair, the technician didn’t even recommend that you replace the unit – they just did the work. Did they do you a favor? Frequently, the answer is no. The $5000 rule is an easy way to make the decision.
What is the $5000 rule? Simply multiply the age of the equipment by the repair cost, and if that exceeds $5,000, then replace the unit. If less, go ahead and repair it.