Homeowners can spend thousands on repair costs to keep an aging HVAC system running. Most of the time, the better solution is installing a new unit, but high upfront costs make emergency replacement almost impossible.
Offering affordable, flexible financing options helps HVAC companies bridge the gap between what their customers need and what they can afford. Partnering with United Consumer Financial Services, a trusted consumer financing partner for HVAC contractors across the U.S., increases the affordability of new installation in every season, serving your clients while boosting your sales. Read on to learn how.
The Emergency Replacement Dilemma: Why HVAC Financing Options are Essential
New HVAC systems are almost universally a grudge purchase: shoppers don’t proactively buy a new system but keep making repair after repair until the unit simply gives out, even when replacement is the smarter long-term choice. And the price of repeated repairs adds up: service calls, parts, and energy inefficiency can cost thousands over time, causing customers to lose money by opting for cheaper, short-term options. Not only does this jeopardize the contractor’s credibility when repaired units inevitably fail again, but it also creates significant stress and financial strain for the consumer.
Eventually, the unit fails, and the only option is emergency replacement. When this happens, homeowners face a huge, unexpected cost that always seems to come at the worst time. The financial shock of an unexpected HVAC replacement feels insurmountable to consumers, leaving HVAC contractors in a tricky spot: balancing the right solution (often unit replacement) against what the customer can pay today.
Emergency HVAC financing is an essential tool for reaching more consumers, increasing affordability, and boosting new HVAC installs. AC replacement payment plans empower homeowners to upgrade to newer, more efficient units today, saving money and stress in the long run.
How HVAC Financing for Contractors Changes the Sales Conversation
Furnace or air conditioning units can frequently be the most expensive major mechanical appliance in a home. And when a unit nears the end of its life, repairs can only take it so far. Replacement is often the ideal option, but high costs prevent many homeowners from purchasing a new unit.
Offering AC and furnace replacement payment plans completely reframes the consumer’s mindset regarding the purchase of a new unit. Low monthly payments break down a large lump sum purchase into affordable installments that fit nicely into existing budgets. Instead of crunching numbers to determine if they can afford a new unit, customers can pay over time and enjoy a new installation almost immediately.
HVAC financing empowers contractors to recommend the right solution without fear of pushback from sticker shock or customers’ inability to pay upfront. Here’s how:
- Planned Replacements and Emergency Situations: HVAC financing is an essential sales tool for both planned and emergency unit replacements. Homeowners want and need payment flexibility for big-ticket items like a new HVAC. Providing affordable, accessible financing makes it easier for consumers to commit to HVAC replacement rather than opting for temporary repairs.
- Offering AC Replacement Payment Plans Upfront: When an HVAC unit reaches the end of its life, replacing it is urgent. By presenting financing options early and often, technicians instill confidence in homeowners that they can more easily afford a new HVAC unit right when they need it: today.
- Same-Day Approval: Emergency HVAC situations require immediate attention. A mobile-first approach to financing means homeowners can apply for emergency HVAC financing and receive a credit decision in just minutes, allowing your team to move forward with acquiring contract signatures and installing the new unit in a day or two, or even the same day!
- Monthly Payments Make Big-Ticket Purchases Affordable: When presented with low monthly payments, customers are much more likely to choose a whole-system replacement over a repair. Monthly payments feel manageable and fit more easily into planned budgets, enabling homeowners not only to replace their HVAC but also to upgrade to a system that better fits their needs.
When dealing with emergency HVAC needs, speed and accessibility matter. Furnace financing options meet your customers where they are, helping you better serve your client base while increasing revenue and growing your business.
The Business Case for HVAC Contractors Offering Financing
Consumer financing options provide affordable pathways for homeowners to replace their AC and furnace without enduring a single night of discomfort. But consumers aren’t the only ones who benefit from a robust financing program. HVAC financing for contractors helps increase sales volume and boost revenue for long-term growth and profits. Here’s how working with UCFS for HVAC financing can help your business thrive:
- Higher Average Ticket Values: When the cost of a new HVAC system can be broken down into low monthly payments, consumers are more inclined to purchase a new system rather than settle for temporary repairs. Financing enables full HVAC replacements that boost your average order value.
- Increased Close Rates on Replacement Quotes: Getting homeowners to accept your HVAC replacement quote is much easier when you can present an affordable monthly payment instead of a shocking lump sum cost. Financing through UCFS helps HVAC techs increase close rates on tickets of all sizes, including high-value replacements.
- Boosted Customer Loyalty and Referrals: Financing enables a stress-free payment experience that fosters positive customer interactions, boosting loyalty and word-of-mouth referrals.
- Competitive Differentiation in the HVAC Market: Bottom line: contractors who offer financing win against those who don’t. If a unit is financially out of reach, shoppers will settle for yet another repair on a failing system or look to your competition for service. HVAC replacement monthly payment plans give your business a competitive advantage in the market.
- More Stable Cashflow: Partnering with a consumer financing firm that manages the complete lifecycle of the loan means less administrative work for your teams and reduced accounts receivable risk compared to in-house payment plans. Working with UCFS helps HVAC businesses see a more stable cash flow that you can reinvest to grow your business.
When considering consumer financing firms, HVAC contractors must choose a partner with industry experience and expertise to meet their needs. When you work with United Consumer Financial Services, that’s exactly what you get. We deliver on the above, plus more, to help you implement a consumer financing program that drives more system sales.
Sell More HVAC Systems with UCFS
Emergency HVAC replacement doesn’t have to mean financial crisis for homeowners or a missed opportunity for your business. HVAC financing for contractors benefits all parties: the homeowner enjoys the comfort and peace of mind that comes with a new HVAC system, and contractors close the job.
United Consumer Financial Services, a Marmon company, a division of Berkshire Hathaway, has been providing revenue-driving consumer financing services to our clients for nearly 50 years. By partnering with a consumer financing provider like UCFS, your business can offer AC replacement plans and furnace financing options that allow for unit replacement whenever your customers need it, whether it’s a planned installation or a last-minute emergency.
Contact UCFS today to learn more about how our affordable financing options can increase HVAC sales and help you grow your business starting now.
