How Much Does Air Conditioner Installation Cost?

06 Nov 2026 | Personal Finance
Alexandra Jakob, Co-Founder & Managing Director, Jingle Loans
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Technicians installing a home air conditioner

How Much Does Air Conditioner Installation Cost?

A split system air conditioner usually costs $1,500 to $5,500 installed in Australia, depending on its size and how hard it is to fit. Ducted systems for a whole home cost $6,000 to $30,000 or more. If you just need to cool one room cheaply, a portable unit costs $300 to $500.

With summer here, installers get booked up fast. Here's what to budget and how to get the right system for your home.

Air conditioner costs at a glance

  • Portable unit: $300 to $500
  • Window or wall unit: $300 to $1,200
  • Split system, installed: $1,500 to $5,500
  • Ducted system, installed: $6,000 to $30,000+

Source: Yellow Pages air conditioner installation cost guide, updated May 2026.

Ducted air conditioning by home size

  • Small apartment or house: $8,000 to $12,000
  • Average single-storey house: $12,000 to $14,500
  • Large or multi-storey house: $15,000 to $30,000

Including installation. Source: Yellow Pages, May 2026.

What drives the installation cost

  • The unit's size (kW): a bigger room needs a more powerful unit. Too small and it runs flat out without cooling the room.
  • Back-to-back or not: a split system is cheapest to install when the indoor and outdoor units sit on opposite sides of the same wall. Longer pipe runs cost more.
  • Access: second-storey installs, roof space work and concrete walls add time.
  • Electrical work: some homes need a new circuit or a switchboard upgrade.
  • Labour: installers and electricians typically charge $70 to $100 an hour, or $100 to $140 an hour for complex jobs. A split system usually takes 3 to 6 hours, and ducted takes 1 to 2 days.

What does it cost to run?

Running costs depend on the size of the space and your electricity rate. As a rough guide, reverse cycle cooling costs:

  • About 50 cents to $1.25 an hour for a mid-sized room
  • About $1.25 to $2 an hour for larger spaces

Source: Yellow Pages, May 2026.

To keep running costs down, close doors to rooms you're not using, draw curtains or blinds during the day, use a fan alongside the air con, and set the thermostat to around 24 to 26°C rather than as low as it goes.

Split system or ducted?

A split system suits you if you want to cool one to three main rooms, you rent or plan to move, or you're on a tighter budget.

Ducted suits you if you own your home, want to cool the whole house, and can budget for a larger upfront cost.

If you're on the fence, many households start with a split system in the living area and add a second in the main bedroom later.

How to get a good quote

  1. Get at least three quotes from licensed installers.
  2. Ask for an itemised price covering the unit, installation, electrical work and removal of any old unit.
  3. Check the energy rating. A more efficient unit can cost more upfront but less to run.
  4. Ask about warranty on both the unit and the installation.
  5. Check for rebates. Some states and energy retailers offer incentives for efficient reverse cycle systems.

Paying for air conditioning before summer peaks

Installers get busiest once the first heatwave hits, so booking early helps. If you need to spread the cost, Jingle's home improvement loans range from $500 to $10,000, with fixed repayments and no early repayment fees. Only borrow if the repayments fit your budget. Approval is not guaranteed.

Frequently asked questions

How much does it cost to install a split system air conditioner?

Usually $1,500 to $5,500, including the unit and installation. Back-to-back installs on a single-storey home sit at the lower end.

How much is ducted air conditioning for a 3-bedroom house?

An average single-storey home typically costs $12,000 to $14,500 for ducted air conditioning, including installation.

How long does installation take?

Around 3 to 6 hours for a split system, and 1 to 2 days for a ducted system.

Is it cheaper to run a split system or ducted?

Cooling one room with a split system is usually cheaper than running ducted air through the whole house. Ducted systems with zoning help by cooling only the rooms you use.

What size air conditioner do I need?

It depends on the room's size, insulation, ceiling height and how much sun it gets. A licensed installer can work out the right kW rating for each room.

Sources

Disclaimer: Prices are a guide only. Always get written quotes from licensed installers. Credit provided by Jingle Finance Pty Ltd ACN 132 485 066 trading as Jingle Loans, Australian Credit Licence 388143, to approved applicants only. Terms, conditions, fees, charges and eligibility criteria apply. This information is general in nature and doesn't take your objectives, financial situation or needs into account.

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