In 2021, the air handling equipment market size was valued at $11.6 billion. By 2026, that figure will grow to $15.9 billion.
An air handler is an essential component of the entire HVAC system. Its work is to regulate and circulate air around the building. This part of HVAC equipment is especially popular in such application sectors as commercial buildings, industries, hospitals, data centers, server rooms, and colleges.
When it comes to air handlers, there are two main options: renting or buying. In this blog post, we’ll show you how air handler rental compares with buying and why the first option is generally better.
Upfront Costs
One of the biggest differences between renting and buying air handlers is the upfront cost of acquiring the item. When renting an air handler, you are only responsible for a small monthly fee. This option can be great for businesses that are cash-strapped or have limited budgets.
On the other hand, buying an air handler outright can be very expensive. Not only do you have to pay for the air handler itself, but you also have to pay for installation and other associated costs. These costs can be a major financial burden for businesses, especially small businesses.
Tax Advantages
Renting air handlers can also offer some significant tax advantages. When you rent an air handler, the entire cost is tax-deductible as a business expense. Thus, you get to save money come tax time.
Conversely, when you buy an air handler, you can only deduct a portion of the cost each year as a depreciation expense. You thus end up paying more in taxes overall.
Maintenance Worries
Maintaining your air conditioning system helps the system to perform efficiently for a long time, but the costs can add up. When you rent an air handler, the rental company regularly sends an HVAC tech to do maintenance on the unit and covers the cost. You don’t have to worry about unexpected repair bills.
When you purchase an air handler from an HVAC company, you are responsible for all repairs and replacements. These maintenance costs can add up, especially if something goes wrong unexpectedly.
Ability to Transfer Contracts
Rental contracts are transferrable. You can transfer your air handler rental to another business if you need to. It’s a major benefit, especially if your business is moving locations or downsizing.
When you purchase an air handler outright, the contract can be difficult to transfer. You may have to sell it for a fraction of the original cost or even give it away for free.
Thus, if you think there’s a possibility that you’ll need to move your air handler in the future, renting is the way to go.
Delivery Times
When you rent an air handler, the rental company will deliver it to your business quickly and efficiently. They may even handle the installation. It’s a major advantage when you need an air handler urgently.
Buying an air handler outright can take weeks or even months. Not only do you have to find a reputable air handler dealer, but you also have to wait for the air handler to be delivered and installed. Long delivery times can be a major inconvenience where you’re in a time crunch.
Asset Depreciation
Just about every piece of equipment will depreciate in value over time. With an air handler rental, just like a chiller rental, this depreciation is not your problem. The rental company will be the one taking the hit when the air handler’s value decreases.
Conversely, if you own an air handler outright, its depreciation will affect you directly. It’s a cost your business will incur.
When to Pay for the Item
Another major strength of air handler rentals is that you only use the item when you need it. This option is beneficial for businesses that don’t use air handlers on a regular basis. It can ensure that you’re not wasting money on equipment that you don’t need.
If you own an air handler outright, you have to pay for it whether you use it or not. It’s a needless expense for a business that is seasonal or doesn’t use air handlers regularly. It’s also a waste of valuable space when the equipment isn’t in use.
Equipment Disposal
In the end, air handlers will need to be disposed of. When you’re done with a rental air handler, you simply return it to the rental company.
On the other hand, if you own an air handler outright, getting rid of it once you want to upgrade or replace it is your responsibility. If you’re looking to sell it, the whole process of finding a buyer and disposing of the air handler can be time-consuming and difficult.
Technical Support
When you rent an air handler, the rental company is responsible for providing prompt technical support. If you’re not familiar with air handlers and need assistance troubleshooting problems, the rental company has your back.
The same cannot be said of owning an air handler. Often, you’ll be expected to be responsible for finding your own technical support. This fact can be a major headache when the equipment becomes troublesome.
Enjoy the Benefits of Air Handler Rental
Oping for air handler rental can offer some major advantages over buying one outright. In general, renting offers more flexibility, lower upfront costs, and fewer maintenance worries. Are you in the market for reliable air rental services? Get in touch with us today and learn how we can help.
