RICHARDSON, Texas — Economic and regulatory factors and a focus on technological integration and infrastructure are going to shape the year ahead, according to Service Experts, one of North America’s largest home services companies and a provider of residential and commercial HVAC services.
The new refrigerant regulations from the U.S. Environmental Protection Agency that took effect January 1 will have dramatic effect on the HVAC industry, a press release from Service Experts said.
“We have 85 locations across the country, so we have a broad view of consumer behavior in the home comfort space,” said Burton Malcom, vice president of field and sales at Service Experts. “The ‘Home of the Future’ that we’ve all been talking about is slowly becoming the ‘Home of Now’ as consumers not only adjust to these new regulations, but also to new opportunities in terms of the connected home. People today are more comfortable with smart technology and paying for things like HVAC as a monthly home service, which is helping drive adoption of better home and commercial infrastructure in the space.”
All residential HVAC systems manufactured after January 1 are required to use one of the new A2L refrigerants, which have a much lower GWP that older refrigerants. The most popular of the new refrigerants, R-454B, has a GWP of 466, and R-32 has a 675 GWP, dramatically lower than that of R-410A, which is in the widest use today. With diminished production, the cost of 410A will rise, which could prompt homeowners to upgrade to the new and more efficient systems when faced with having to replace expensive refrigerant, the press release said.
Service Experts is also seeing more homeowners embrace the idea of home comfort as a service, opting for ongoing HVAC equipment and service plans, similar to how they pay for other home services like utilities. Customers are increasingly comfortable with making monthly payments for products and services — electricity, phone, cable, internet, entertainment — and there is a shift to HVAC and similar products and services being purchased in the same way, the press release said.
“Take internet, where you pay for the service, but are using your provider’s router in your home,” said Nicole Celiscar, director of financial products at Service Experts. “You don’t get wrapped up in who owns that piece of equipment. You pay for what it gives you, access to their product. Home comfort is no different, and these options make it so any home can be a 'Home of the Future' with the best, safest, and most energy-efficient equipment throughout the home — HVAC, water heaters, smart home, indoor air quality, water purification, generators, EV (electric vehicle) chargers, and even solar.”
Consumers are also going to continue the move to more smart controls in their homes as they embrace Wi-Fi thermostats and HVAC systems that can be controlled via smartphone apps or voice assistants, the Service Experts press release said. These devices allow users to adjust their home’s temperature and humidity from anywhere, and have the ability to learn preferences over time, making small adjustments to optimize energy.
Renewable energy will also continue to make headway in 2025, with solar-powered HVAC systems and units that integrate with home solar panels, the press release said. Reducing reliance on traditional energy sources, they offer an eco-friendly alternative, and if a system remains linked to the electrical grid, homeowners may be able to sell excess energy back to utility companies. These systems are becoming more affordable and accessible, especially through the service plans that help make them attractive to eco-conscious homeowners, the press release said.
“Sustainability, decarbonization, and ESG (environmental, social, and governance initiatives) have long been hot topics, and now we’re seeing consumer behavior help drive (them) forward,” added Malcom. “Our view into markets across geographies and seasons suggests that the one constant, the desire to be comfortable, is helping upgrade residential and commercial infrastructure, and we’re excited to be here to help meet that moment.”