Red hot air conditioning troubles

Homeowners often find themselves in desperate situations, at the mercy of contractors and sales people who don't return your calls for help or who baffle you with fact & fiction, leading you to spend outrageous amounts of money in the name of comfort. 

Toronto is experiencing an early summer heatwave with temperatures around 40C with the humidex. While we rarely use our air conditioner, this is the time that we would. We called it into action for some cool relief but instead were assauted by hot air. It was 34C inside, without humidex. Foolishly I called the company who serviced and fixed our furnace last winter (which had broken a few weeks after the warranty expired): Air Quality One Hour. I'm not sure where the name comes from, because they gave us a 4 hour window for their visit and then spent only a small fraction of an hour at the house, telling us that the compressor was shot and would cost $1,300 to fix, but that since the unit is 14 years old, we may want to replace it instead. Then they presented us with a bill for $130, due on the spot. I completed an online request for a sales appointment with the same company as they said that they'd deduct the $130 from the purchase. But I also called a few other companies for comparison.

A nice salesman came to the house at 7 p.m. the same night, and took over our dining room table for 3 hours, where he drew a model of our house, measured all the windows and doors, calculated the square footage, and told us that both our AC and furnace were the wrong size for our house. Interesting. He pointed out many problems with our current system and quoted us $5,000 for a new AC unit. However, they were having a promotion for half price AC if we also replaced our furnace, and since the two work together, it is more efficient to get them at the same time. After more chat and calculations, full reading of all the terms & conditions, along with the warranty information, he unveiled the final price to be $10,540 but with rebates and deducting the money we had "invested" in repairs in the past year, we would only have to pay $8,950. Wow. What a deal. Also, this deal was contingent on us saying YES to do it the next day. They were offering us this special rate because we'd be able to fill an opening in the installation schedule for the next day. As desperate as I was for some cool air in the house, something felt wrong. I called a few friends and found that they paid around $6,000 for both AC and furnace for a larger house and that was BEFORE the rebate. So.... we emailed the guy to say thanks but no thanks. Time for some more quotes. After all, our current furnace is only 7 years old, less than half the normal life of a furnace. Should we really throw the baby out with the bath water? 

The next day I found two other techs who could come to do quotes, however one asked about some sort of booster thing on the phone and I had no idea what he was talking about. But when I returned from work, he was already there and tried installing this device to see if it would work. We flicked some switches and hoped for the best and then... magic. The AC fired up and cool air was blowing around the house again. This mystery repair man asked if the other tech had charged for their visit and I said yes. He shook his head in disgust and asked how much. He looked at our sad old AC and said: "This unit is in good condition. It should run a few more years at least." I like this guy! He charged us $80 and guaranteed the work for a year. So, just when I was losing faith in all technicians, along comes Dan from Revolution Air. He saved us $9,000!

Preventative Maintenance?

This money pit came with a relatively new mid efficiency furnace that was under warranty, as long as we paid $100 per year for a maintenance check. Mature homeowner friends told me that it was the thing to do, so I did it too. But did it pay off? I don't think so.

Last August, on the anniversary of our purchase date, I dutifully had the furnace serviced despite the fact that the fee had crept up to $129. A friendly fellow wearing paper shoe covers vacuumed the dirt out, shone a light around, did some tests with a volt meter and was on his way. The start up made some strange noise, like rumbling bearings, but the technician said that it didn't need to be replaced yet. I felt secure in my warranty, so trusted this opinion.

Three months later, on a cold winter day, the house was strangely quiet and uncomfortably cold. Humm. The furnace was not working. Crap. I called the technician who came the next day, but bearing the bad news that the blower motor was broken and that the warranty had expired a few weeks prior. $625 later, we had heat in the house again and the harsh lesson that despite the annual service, we were not protected. Nor did the annual preventative maintenance prevent the motor from breaking after 5.1 years.

Are warranties a scam or am I just a skeptic? If I had not paid the furnace company for their maintenance visits the previous 4 years, I would have had an additional $430 towards that repair bill.

I called them this August to say that I would no longer be paying their "protection" money, which really only offered me 20% off repairs now that my warranty had expired. But then she explained that for $230, I could have the gold service plan that will cover 100% of repairs this year plus the annual maintenance check. Buying into the public fear, I caved in and bought it. What if this furance turned out to be as unreliable as Dan's Mazda 3? Thoughts of huddling around the electric heater during a Swine Flu epidemic this winter are too sad.

Suddenly I was transformed from skeptic to suspersitious and gullible fool?

What do you think? Are warranties worth the money or are they just a scam? Can I vacuum my own furnace next August and bank the $230 towards my next motor? I do have a shop vac!