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Costco Lennox Unit a Good Deal?

Bengford
9 years ago

We live in san Jose, CA where we are undergoing a heat spell that is predicted to be intense for at least the next three summers. Record daily highs of 100+ and we have no air conditioning.

We are replacing our 19 year old furnace with a Lennox SL280V Variable Speed Gas Furnace and adding on a Lennox XC14 Air Conditioner.

Got a quote through the Costco system who contracts with A Plus Heating & Air to do the job. The quote came in at $10,400 fully installed + $1,000 Costco Cash Card with a 20 year warranty on the heat exchanger & a 10 year warranty on the compressor.

What does everyone think? Am I getting the best for my money?

Comments (42)

  • stoveguyy
    9 years ago

    why not have another hvac co come in and give you a quote on any other system? you sit back, they do the talking. not too hard. unless you feel good have 1 quote done at costco. do they even come to your house to look at your install?

  • Bengford
    Original Author
    9 years ago

    Thanks for your feedback.

    The A Plus Heating & Air salesman came to our house, walked around the house, outside and at the circuit breaker box to determine if we had enough spares for the new load - but did not go up into the attic to look at our 19 year old furnace.

    The "deal" Costco is offering ($1,000 cash card) is only good through this Sunday (July 7) but I can't get other bids out until Monday, July 15.

    I have 3 biz days to cancel and after reading all the horrible Lennox reviews I found online last night, I think I'm going to cancel.

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  • mike_home
    9 years ago

    You should be wary of any contractor who can't be bothered to climb into your attic to inspect your furnace and duct work. For that reason alone you should cancel, and not because Lennox equipment may not be the best.

    You are better off not going with a middle man like Costco, Home Depot, or Lowes. You might get a little bit of a better deal, but the installation might not be good. The installer has to cut corners in order for both him and Costco to make money.

    Get at least three quotes. You want a contractor who will do a load calculation and will inspect the duct work in the attic. There are differing opinions about Lennox equipment. It should be fine as long as you stay away from the builder's grade equipment.

  • dave1812
    9 years ago

    i got a quote from costco before choosing another contractor (I got 3 bids). costco's bid was the highest by far and I didn't really feel comfortable with the company that they had contracted with. even if the price was equal to other bids I would still have chosen the diamond certified company that I went with. I'm glad I chose one of the others as they did an excellent job.

  • sktn77a
    9 years ago

    Installation costs vary by location but $10,400 doesn't sound like a particularly great deal to me. Check out federal and state credits and manufacturer rebates. Also. checkout HVAC websites like theacoutlet.com to get a sense of what these contractors are actually paying for the equipment; that way you can get a better sense of what you are really paying for labor, overhead, etc

  • tele28
    9 years ago

    I had Costco's HVAC contractor(Service Experts) come out for a replacement estimate thinking "I am a member they will give me a good deal". Huge mistake! The guy never did a load calculation wanted to sell me an oversized AC unit and after several subsequent bids is still the second highest. What a sham! On the other hand I had Lowe's contractor (McHenry HVAC) come out, did a load calculation and offered a reasonable price for our unit and is on the short list of contractors in the running. They are also a very highly rated local HVAC company so saying "don't go to big box stores" is a red herring which should be ignored. Shop around, most HVAC companies give free estimates make them compete for your hard earned money.

  • mike_home
    9 years ago

    There are have been a few postings about good experiences with Lowe's, so in some areas they might be an exception. But in general you are better off staying away from the big box stores when it comes to HVAC.

  • mrjasondude
    9 years ago

    http://www.yelp.com/biz/a-plus-heating-and-air-conditioning-inc-milpitas

    Here are some reviews of the company , also there are "filtered reviews" so be sure to view those also they are hidden look for the link.

    This post was edited by mrjasondude on Wed, Jul 17, 13 at 9:03

  • cvalencia7
    5 years ago
    last modified: 5 years ago

    Our family has walked into Costco twice and set up appointments and waited for representatives to come and they never showed up. I guess they dont need money or want to work. They never even called to let us know they werent coming. Very unprofessional. I dont know why Costco lets this happen. Duarte Ca

  • PRO
    Austin Air Companie
    5 years ago

    It's really not up to Costco, it's up to the HVAC contractor who serves the store you visited. That's why 3rd party services rarely live up to anything good.

  • Lindex Ford
    5 years ago

    $20000+ is what I got from Costco for a 4T unit...

  • Gwen Paine
    2 years ago

    Got mine from Costco, works great. Company was wonderful.

  • Elmer J Fudd
    2 years ago
    last modified: 2 years ago

    There's no more expensive way to contract for HVAC than through a retailer. You're paying 20+% too much or more. The money for the gift card isn't a discount on the price, it's the excessive margin being returned in part to you.

    Call a few HVAC contractors with reasonable Yelp ratings. Ask friends. You'll get more for less.

    Edit - Oh my, another old bumped thread. I regret my comment but will leave it for whomever may wander by.

  • HU-905658187
    2 years ago

    I live in Atlanta and just had the “Gold” system installed. After checking out my old system the salesman told me that I needed a 4 ton, my old one at 3.5. Tons wasn’t enough. I know he was right because my old one ran 24 hours a day in the summer even after being serviced and properly charged.


    I have 3 systems at my home. We had a Carrier system installed 5 years ago and it has had a lot of problems.


    Cool-Air handles sales and installation in Atlanta. The salesman was very knowledgeable, took his time. The installers showed up on time, they were very polite, there were 3 workers and they all knew what they were doing so they were in and out in a little over 3 hours. They did a nice, neat, good looking job of installation and tested the system. I’m picky and I couldn’t find anything I didn’t like. They cleaned up fairly well.


    As part of my deal I get 2 services on the new unit and they tossed in 2 free on the Carrier system. They also enlarged the intake in the upstairs (the new unit is in the attic). The cost after all rebates and promotions was $10,150. I also get $658 back from my home warranty company. If this system works, I’ll be extremely happy with the job. I may have paid a little more than if I had had another company do it but sometimes you get what you pay for. Costco makes their contractors get permits so my unit will get inspected by the city next week. I had 3 other estimates done and I was afraid to use any of them because the people they sent out barely looked at my old system and gave poorly written estimates.


    These systems are all not made as well as they used to be. They are engineered to last 10 years if you are lucky. Makes no difference whether it’s Carrier or Lennox. I think it’s important to get your system serviced twice each year.

  • merda
    2 years ago

    I used Costco here in Toronto, because I did not want to get "taken advantage" of by a local company. I'm a Costco member, I trusted them. In the end I feel I still got shafted, way over priced. The $600 dollar gift card was just my money that I was now forced to spend at Costco. The year before after my annual service I was told my unit needed replacing ( which was true) I was quoted a way better price. At the time I though it was just a sales tactic. I regret not taking that deal.

  • don wong
    2 years ago

    Tudi Mechnical system installed a Lennox 9/12/16 that i brought through Costco for $7146.00. The system comes with a 10 years warranty on the compressor. First of, the cost of the system and installation itself is way too expensive, but i thought it would be worthwhile doing through costco. the compressor died 6/9/20 and Tudi did the replacement under warranty (supposedly). Their labor for 3 hours came to $1351.00 plus the $86.00 diagnostic charge. the grand total came to $1437 as labor. so in less than 4 yrs, I spent close to $10k on furnace. Absolutely rediculous. No one charges above $400 an hour. Tudi should be out of busines for their price goudging. I am in the process of resolving this over charge with Costco. Here are the lessons learned. 1) do not buy your furnace from Costco because they have no idea that their service contractors are out there taking advantage of their customers. Service charges are highway robbery. 2) if you like Costco enough, ask them who will be installing the system in your local area represening Costco. TUDI is one of those questionable company who overcharges their customers. Shop around in your local area. I am sure there are better companies competing with TUDI home service. If you just need furnace service, I would steer clear of this company. I have been in real estate for over 16 years and was a license contractor at one point running my own home remodeling company. I have never heard of anyone who charges this much for their labor. Unfortunately, I was out of town on business when TUDI came out to service my home. They do rip off their customers.

    ------------------------------------------------------------------------------------------------------------

    7/23/2020. Costco decided to refund $400 of TUDI home services charge to lessen my pain of their price goudging. Costco acknowledges that they have no control over their independent contractors service charges and that $1400 to replace a compressor under warranty is too much. I am also told that they escalated my complaint to TUDI. I am told to expect a call from them. I just cannot wait.

    --------------------------------------------------------------------------------------

    Like millions of members out there, my family members are die hard Costco fans for at least 30 years. I just went in blindly when purchasing the Lennox system without asking important questions. Here is what I would do if i had to do this over again.

    1) stay away from Costco big product installation because neither you nor costco has control over installation fee or service fee.

    2) if you must buy large ticket items from Costco, find out the company that contracted with Costco. Ask many questions regarding their fees, especially labor performed under warranty.

    3) definitely complain to Costco member services because if customers do not raise their red flags, Costco would not know and would continue to use the same BAD BAD BAD contractors like TUDI Home Servivces to service their customers.

    ----------------------------------------------------------------------------------------------------------

    I am not done with TUDI home services yet. so stay tuned for update.

  • tigerdunes
    2 years ago

    Live and learn...purchasing HVAC through a big box store is a losing proposition...sorry for your trouble...out of the so called Big 3 brands, I would say Lennox is a distant #3, maybe not that high...


    TD





  • sktn77a
    2 years ago

    It's not just Costco (or Tudi). The majority of HVAC companies gouge their customers like this. The going rate for replacement of an evaporator coil is $1000 (labor) for 3-4 hours work so replacing a compressor is going to be more than that. It's a sad commentary on what is now a predominantly crooked profession.

    And please, anyone who doesn't like this post, no whining about "overhead", "training". "parts on the truck", etc, etc, etc. It just doesn't wash!

  • tigerdunes
    2 years ago

    SKTN is absolutely correct. I replaced TRANE Evap coil (out of warranty) last June for around $2500 and that included a real leak test and a patch until new coil could be secured...a new compressor about the same...


    TD

  • HU-130482294
    2 years ago

    Well let me add my experience with Lennox.

    2004 I purchased a Hvac top of the line Variable speed AC unit with new duck work complete price on 10k. Lasted ten years until a problem occurred that would have cost 2k to repair. I installed a new Lennox 9k price, again their top of the line elite series.

    Well almost 3 years in and failure, coils developed holes leaked freon. Outage of a few days with $300 repair bill. Come to find out there is a class action suit against Lennox for the coils, but the suit closed out. Lennox never notified everyone of the problem. I did obtain replacement coils due to my awesome AC company. However another $680 in labor to install. Contact made with Lennox resulted in a "go pound salt answer" when I requested help with the almost 1k out of pocket expense, for a problem they knew about all along. Not to mention the details of the class action required a owner to foot the bill for two coil replacements prior to replacement. And only then $550 for labor would be reimbursed. That would be nearly 4k out of pocket before new improved coils would be provided (that is where my awesome AC company saved me).

    End result I believe that in this case Lennox failed to stand behind their product. I will not be buying Lennox again. It may have been acceptable if Lennox did not know about defective coils but that was not the case here. Hope this helps with people looking for AC units (especially at the higher price unit by Lennox).

  • ConRae Parry
    2 years ago

    COSTCO has a warranty department. If a product passes their standards, I would do it. Google on COSTCO warranty and how they require products to go through testing. We have had 100% positive success with ANY item we returned or questioned their warranty.


  • mike_home
    2 years ago

    Costco offers a second year of warranty on some items. The 2 year warranty is described below. I am confident HVAC systems are excluded. HVAC comes with at least 5 years and most often a 10 year parts warranty. Best case Costco may cover the labor during the second year. You should call Costco to verify this coverage.

    I could be wrong, but I don't think Costco tests anything. The second year is a promotion funded by their memberships.


    Costco Concierge Services

    2 YEAR WARRANTY

    Costco extends the manufacturer's warranty on Televisions, Tuner-Free Displays, Projectors, Computers* and Major Appliancesto 2 years from the date of purchase. See the manufacturer's warranty for specific coverage terms.
    For warranty service, contact Costco Concierge Services at
    TOLL-FREE 1-866-861-0450.
    Available 5 a.m. - 10 p.m. (PST), 7 days a week, excluding holidays.

    To learn more about Costco Concierge Services, Click Here.

    *Excluding Touchscreen Tablets.
    †Refrigerators (above 10 cu. ft), freezers, ranges, cooktops, over-the-range microwaves, dishwashers, washers and dryers.

  • randmmom
    2 years ago
    last modified: 2 years ago

    BEWARE, do not buy a COSTCO HVAC, we got a lemon from Costco, the subcontractor failed to install it correctly and the system keeps on breaking. I’ve contacted Costco repeatedly but they point to the subcontractor and the Sub focuses on denying service. Lennox has such a poor attitude and do not address the issue at hand (the failed installation). I paid an independent Contractor and leaned how the Sub did a lousy job. Apparently Costco gets commission for getting the Sub the customer and then they wash their hands. Beware !

  • HU-478587383
    2 years ago

    Lennox is absolutely the worst company to deal with. We purchased a new furnace and a/c system through Costco two years ago. They failed to replace a condenser pump (saved themselves $100) and it failed sometime this year. Lennox claims they didn't quote on the pump. WTF! It was a complete system replacement. Now I've got standing water in the crawl space and mould which will have to be remediated. Costco says they won't do anything about it. $13500.00 for a defective system.

  • Vienna Mom
    2 years ago

    Don’t get a Lennox. We bought through Costco, brand new AC and Heating unit and it died within 4 years. The coils completely melted down. The installer said the part is covered under warranty but of course not the labor. The part is $500, the labor is $5000!!! Then I found out there was a class action lawsuit against Lennox for faulty coils. I reached out to Costco but the rep you have to go through is a Lennox rep so I got 2 emails and then crickets. Costco and Lennox are totally is complicit in scamming its customers.

  • deserthawk
    2 years ago

    my wakeup experience was with Home Depot, when my HVAC needed replacement.


    I knew that I needed a 4 ton split system to replace a "closet" system, pushing the compressor to the attic and giving me the closet.


    They wouldn't discuss what systems cost over the phone, as they "couldn't know" what I would need.


    They didn't send a tech out to my house, but a slimy closer. It took him something like 30 seconds to turn to the four ton split laminated page and begin the hard sell . . .


    (a few years later, when I described this to a former Home Depot person from that area, he was downright *livid* over it . . .)


    Anyway, I ended up going with the *only* company that would discuss prices for a specific configuration over the phone without ending their own closed . . . which turned out to be a problem. Unfortunately, I was too overloaded and stressed at the time to deal with the contractors board to clean it up.


    But, yes, multiple;tiple quotes from different types of companies.


    (We had another one a year or two ago when I badly needed my sewer line jetted. One company sent out wanted about $3500 for significant repiping . . . .and it turned out that removing two hex screws on the "bandage" on the cleaning port let me remove the obstruction, and let a normal eating do it . . . )


  • HU-142874530
    2 years ago

    Costco had there contractor come out Last week for a Quote. They are a well known contractor in our area. I thought the quote was high but I didn’t know what to expect. Thru Costco it would cost $11,135. I got two other quotes for the same equipment and they were $8,776 and $8,699. That’s a big difference. Even if you subtract the 17 percent that Costco was giving back in a Costco card they were still several hundred higher. Looks like the price is higher to cover the 17 percent. Probably if I contacted that contractor myself they would have been more competitive. My other two quotes were big contractors not fly by night. The other thing is once you go thru Costco the contractor cannot do anything for you except Lennox thru Costco. Even if they have other options. It was easy to see it wasn’t a good deal. I am waiting for another quote this week before deciding. Cost you nothing so get plenty of quotes and check for Better Business Bureau for complaints.

  • deserthawk
    2 years ago

    More important than the BBB may be the state contractors' board, or whatever its called in your state.

  • PRO
    Austin Air Companie
    2 years ago

    The BBB doesn't mean much as the BBB many times gets involved in "Conflicts of Interest" for $$$.


    If you got money... well the BBB can make bad marks disappear. The same goes for Yelp and many of these other kinds of "advertisements" for $$$.


    Money always wins in the end. Think long and hard on why that is.


    A company isn't going to pay for an advertisement to someone that is displaying their bad marks.



  • nameli2018
    last year

    wou you please let me know h long ago you got this price quote from Costco? I live in Southern California, Burbank. I recently got Cos pricing which was $25,000 which was higher than any other places I got the bid.

  • HU-142874530
    last year
    last modified: last year

    I got mine in January 2021. My quote was over $11,000 with 17 percent back on a Costco card. When I subtracted the card from the price and compared to my other two quotes it was still several hundred higher. Not a good deal going thru Costco. My other comment I said Costco had 3 contractors come out. Only 1 for Costco the other 2 I had called

  • sktn77a
    last year
    last modified: last year

    HVAC prices have skyrocketed over the last 10 years. It's a combination of manufacturers preventing their products being sold in the free market (nowadays read internet). and installation companies taking advantage of this by jacking up prices - where else do you find $400-$600 hourly rates for semi-skilled labor?

  • ocnorsk
    last year

    I live in the OC. I just got a quote from the Costco contractor today, 18K after the discounts. Did not include new ducts. And that was for the #3 system. The top one was over $25K

  • Vienna Mom
    last year

    COSTCO LENNOX HVAC Inner coil MELTS DOWN after 4 years!!! Piece of junk don’t get it!!!!! Parts will be covered under warranty if you have kept up with servicing units BUT the labor will not, an it’ll cost an additional $5k with no guarantee that’ll not melt down again. Get a carrier brand unit instead.

  • sktn77a
    last year
    last modified: last year

    Well, that's a little over the top(?) All copper evaporator coils have had problems over the last 10 years - that's why manufacturers have switched to aluminum (including Carrier). And it costs around $1000-$1500 in labor to replace a coil (assuming part covered by warranty)..

  • gronowski27
    8 months ago

    Started with Costco for a bid. Thought it was a good bid, you know Costco value...until I started receiving other bids. They were way out of the ballpark for inferior units. Research Lennox. They receive horrible reviews. My advice is if you have the opportunity to research bids, call companies and look at online reviews. Don't use a third party they will just jack the price up. I went with a Carrier unit with a local, reputable company.

  • PRO
    Austin Air Companie
    8 months ago
    last modified: 8 months ago

    Research Carrier...

    Carrier Reviews Link


    There's this common theme among those who think they have been wronged by some AC manufacturer that they can just jump to another manufacturer and all will be well.

    If I was going to name this syndrome it would be something along the lines of "the grass is greener in the other yard across the street".

    There is no perfect AC manufacturer. They all break. My job depends on them to break... the difference among manufacturers reviews is their ability to filter the bad ones from the good ones.

    Many of the parts that one manufacturer uses to assemble an air conditioner? You think another manufacturer isn't going to select those same parts to make their unit?

    Those parts are either made in China or Mexico or some other cheap labor country.

    I don't know who you are but I can tell you they are coming for your freon money. But they aren't going to stop there. I can find those poor reviews, I will not stop until I find them. I have attained a unique set of skills, skills that I have acquired over a very long HVAC career.

    funny clip -- you may not think it's funny, but it's also factual. (fast forward to 31 min 55 secs to see the funny clip)




  • G Y
    8 months ago
    last modified: 8 months ago

    I recently purchased the Lennox unit from Costco and it is not a good deal and also buyer beware.


    I was looking to have a 3-ton mini-split unit installed in my garage. One of my requirements was an external smart thermostat. Costco does not do the install and is a middle man. They sub contract the work out to my local HVAC contractor who said the unit would support an external smart thermostat of my choice. This was confirmed 3 times. After the install was completed, they were unable to support an external smart thermostat (not Lennox). I am now in a battle to get the unit removed and refunded and Costco is a total pain in the ass and refused to refund me even though the contract specifically states install customer provided smart thermostat. I'm working through other channels right now before suing them for the refund.


    Couple of lessons learned:


    1. Lennox is dated and doesn't support external smart thermostats. This is important so you can control all your HVAC through a single app and also gives you added features from a tech company.


    2. The "deal" itself is not a deal. After getting quotes for a new unit (that does support an external thermostat), I found that you are getting ripped off. Costco gives you a 10% rebate to buy stuff from Costco but even after all of that you can get units installed cheaper from others


    3. Go buy a Mitsubishi or Fujitsu unit as they are more current with features and support of things. Everyone has been telling me that Lennox is the lowest end brand/units


    4. Do not buy any contractor services from Costco because #1, they don't do the work and it's hard to get a refund if anything goes wrong. They are just a middle man taking a cut that you can get better pricing elsewhere.

  • Robert Schroeder
    6 months ago

    Wow, I should have read these reviews prior to committing to Costco for a new HVAC system. I had a couple of quotes from local HVAC contractors that were cheaper than Costco/Lennox with Sierra Pacific Home & Comfort ( Sacramento) but decided on the Costco route because of the incentives. What a mistake and I after much back and forth with Sierra Pacific I got the contract cancelled and will use my local installer. Sierra Pacific was very uncoordinated and once the job was sold the salesman was MIA for any follow up questions and concerns. We are faithful Costco shoppers but would not go down this road again with them for any 3rd party service. Best to go straight to the source for what your trying to do.

  • sktn77a
    6 months ago

    Sometimes going through a big box store works out well. Many times it doesn't!

  • HU-186050259
    last month

    You can also buy direct and have a pro install it. Save MILLIONS!


    Where To Purchase HVAC Equipment Online As A DIY 'er Or Homeowner

    https://www.youtube.com/watch?v=165PCWC06XQ


    Stop Getting Ripped Off By HVAC Companies. Replace Your Gas Furnace Yourself

    https://www.youtube.com/watch?v=4iQZnT7Ouck

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