Why is split ductless so expensive when installed?
Long time reader, first post. I have a question, and it seems like some solid answers for other situations have been discussed before.
I live in an old baloon frame wood home, built in the 1930s, with radiator heat. Easy to run stuff through the walls, go up multi-levels through the walls, etc.
We dont have central air, and liked the control of a split system, so tried to get some quotes.
I know the retail and wholesale pricing for the equipment. For example, one unit we were considering, just a single split unit (1:1), was $1500 wholesale, $2200 retail.
The installed cost for this unit is being quoted at $4500. I can certainly appreciate that the burdened cost of labor is around $100/hr. I can appreciate that everyone wants to make a profit. But $2500 or so for all this?
So my question really is, how tough is it to install these things that the costs to install are so high? I see it as the fact that $2500 in installation is like 25 man-hours at $100 per hr burdened rate. Thats three guys for a day.
I was under the impression that the ductless is cheaper/easier to install than a ducted system, so the install is straightforward and managable.
So where is the cost for doing this coming from?
It is less than 25' of tubing run from the outdoor to indoor unit. It is a first floor install on an outer wall. Nothing exotic.
A 4:1 that I asked to be quoted came similarly. Roughly $15k for an installed 4:1 system with 4 indoor units, where the equipment cost is around $5k complete. So $10k to install some pipes and wires?
What gives? Im all for paying well to get a good job done. But this is a pretty straightforward install. Why are ductless installs so pricey?