Build accurate HVAC quotes covering equipment cost and markup, labor hours, refrigerant, permit fees, and your target margin. Residential installs run $3,000–$12,000 installed; light-commercial RTU swaps can reach $15,000–$40,000. Getting the numbers right before you bid protects every job.
Most HVAC contractors mark up equipment 30–50% over distributor cost. A 3-ton split system that costs $1,400 wholesale typically sells installed for $3,800–$5,500 once labor and refrigerant are added. Equipment markup needs to cover your warranty reserve — budget 2–5% of equipment cost for callbacks in year one.
Residential split system replacement: 6–10 labor hours at $85–$130/hr. Ductless mini-split (single zone): 4–6 hours. Light-commercial RTU swap: 8–16 hours depending on crane and electrical work. Always separate commissioning and startup time — rushing this step produces the callbacks that kill margin.
R-410A is being phased out under AIM Act rules. New systems are moving to R-454B and R-32, which cost more per pound. Budget $20–$50/lb for R-410A topping on existing systems and $40–$80/lb for new-refrigerant systems. Factor refrigerant into every new-install quote, not just service calls.
Most jurisdictions require a mechanical permit for new HVAC installs. Permit fees range from $75 to $400 depending on tonnage and municipality. Add permit pull time (1–3 hours) and inspection scheduling as a flat line item. Never let the homeowner pull their own permit — it voids most manufacturer warranties.