Multiply your repair cost by your system's age in years. Over $5,000 → replacement is usually the smarter financial decision.
| 15-year-old furnace × $400 repair | $6,000 → Replace | System is old and expensive to fix |
| 10-year-old furnace × $250 repair | $2,500 → Repair | System is still young, repair makes sense |
| 12-year-old AC × $500 compressor | $6,000 → Consider replacing | Compressor repair on aging AC rarely worthwhile |
Detroit-specific factor: DTE's electricity rate (19.3¢/kWh) is 17% above the national average. The payback period on a high-efficiency replacement is shorter in Southeast Michigan than most US cities. When the $5,000 rule says "replace," the financial case here is even stronger. See DTE rebates →
FAQ — HVAC costs in Southeast Michigan SE Michigan
ABBCO charges the same base rates across all Southeast Michigan — the same written estimate process, same pricing ranges whether you're in Detroit, Sterling Heights, Livonia, Southfield, or Pontiac. Some jobs in older pre-war homes may have additional complexity (unusual duct configurations, steam boilers, etc.) which would be itemized in your written estimate.
Yes. DTE's EEA program provides free furnace replacement to income-qualified households (up to 200% federal poverty level, ~$62,400 for a family of 4), or enrolled in SNAP, SSI, Medicaid, or LIHEAP. DTE invested $63M in 2024 helping 25,000+ Michigan families across the entire DTE service area. Full DTE rebate guide →