Almost every big home expense starts the same way: something stops working, a contractor quotes a repair, and you wonder whether the money is better spent on a new one. There is no formula that is right every time, but a few questions settle most cases, and putting the two prices next to each other makes the choice much clearer.
Start with three questions
- How close is it to the end of its expected life? A repair on equipment that is young and otherwise sound is a good use of money. The same repair on something already near the end of its working life often just delays the replacement.
- Is this a one-off or a pattern? A single failed part is different from the second or third repair on the same system in a short period. Repeated repairs usually mean other parts are wearing out too.
- Is the repair fixing the cause or a symptom? A worn capacitor, an igniter or a broken spring is a defined fix. A cracked heat exchanger, a failing compressor or a roof that leaks in several places points to a bigger problem.
A simple rule of thumb
Compare the repair quote with the price of a new one. When the repair is a small part of the replacement price and the rest of the system is in good shape, repair. When the repair is a large part of the replacement price and the equipment is already old, putting that money toward a new unit usually makes more sense, because you also get a new warranty and, often, better efficiency.
The two prices below come from our calculators. They are typical national jobs, so your repair may be smaller or larger than the one shown, but they give you a sense of the gap you are weighing.
Repair and replacement prices side by side
| What | Typical repair | Repair price | Typical replacement | Replacement price |
|---|---|---|---|---|
| Air conditioner | Capacitor replacement | $220 $130–$400 | 3 ton, standard efficiency | $6,550 $4,600–$9,000 |
| Furnace | Igniter | $170 $100–$250 | Gas, 80% AFUE | $5,150 $3,880–$6,700 |
| Roof | Roof leak repair | $700 $350–$1,500 | Average home · 1,800 sq ft footprint | $14,190 $9,410–$21,030 |
| Garage door | Door off its track | $200 $100–$350 | Double, insulated steel | $1,760 $1,120–$2,880 |
What the price does not show
- Efficiency. Newer heating and cooling equipment is generally more efficient than older units, which can lower running costs. How much depends on your climate and utility prices.
- Warranty. A repair usually carries a short warranty on the part and labor. A new system comes with a longer manufacturer warranty, as long as it is installed and registered properly.
- Parts and refrigerants. Parts for older equipment can become hard to find, and some older cooling systems use refrigerants that are now harder and more costly to service.
- Safety. If a technician tells you a furnace has a cracked heat exchanger or a gas appliance is leaking, treat it as a safety problem, not a pricing decision. Get a second opinion if you want one, but do not keep running it in the meantime.
- Home value and appearance. A new roof or garage door changes how the house looks, and that is a reason to replace even when a repair would work.
Where repair usually wins, and where it does not
Roofs
A roof with sound shingles and one clear problem, such as a damaged flashing or a few storm-damaged shingles, is a good repair candidate. Widespread curling, granule loss, leaks in several places or a roof that is already old are signs that spot repairs will keep coming back.
Air conditioners and furnaces
Cheap, well-understood parts on a system that is otherwise running well are worth fixing. A big-ticket part, such as a compressor or heat exchanger, on an old unit is often better put toward a new system. When you do replace, price the whole system, not just the part that failed, so ducts and thermostats are not overlooked.
Garage doors
Springs, rollers, cables and sensors are routine repairs. Damaged panels on an old door, or a door that has repeatedly gone out of balance, can tip the choice toward replacement, especially if you also want better insulation or a different look.
How to get a fair comparison
- Ask the contractor for both prices in writing: the repair and a full replacement.
- Ask what else is likely to fail soon, and what condition the rest of the system is in.
- For a large replacement, get a second opinion from someone who is not selling the same equipment.
- Ask what the repair warranty covers, and for how long.
- Put your state into the replacement calculator, so the labor in the replacement price reflects your local wages, and compare it with the quotes you receive.
For help reading and comparing the quotes themselves, see how to compare contractor quotes.