What Is HVAC? Learn About the Main Components, Types of HVAC Systems, and More

Hint: It’s much more than just air conditioning

A woman and young girl relax on a couch enjoying the air conditioning
Photo: Fizkes / Adobe Stock
A woman and young girl relax on a couch enjoying the air conditioning
Photo: Fizkes / Adobe Stock
Taylor Freitas
Written by Taylor Freitas
Contributing Writer
Updated August 29, 2024

Highlights

  • HVAC means “heating, ventilation, and air conditioning.”

  • HVAC is a broad term for the systems and components that heat and cool your home.

  • There are several kinds of HVAC systems, including split and packaged systems.

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HVAC stands for heating, ventilation, and air conditioning. From regulating your home’s temperature to regulating air quality, an HVAC system plays an important role in keeping your living space comfortable. So, besides the meaning of the acronym, what is HVAC, exactly? Let’s break down the basics of these systems, including how they work, what they include, and more.

What Is HVAC?

Two outdoor air conditioning units for an HVAC system
Photo: Christian Delbert / Adobe Stock

HVAC—an abbreviation for heating, ventilation, and air conditioning—refers to the devices, distribution system, and related components that heat and cool residential and commercial spaces. HVAC systems also improve indoor air quality by blocking out contaminants and controlling humidity.

How HVAC Systems Work

There are different types of HVAC systems with varying parts, but most of them include indoor and outdoor units, each of which has its own parts. We’ll dive into the various types and parts of an HVAC system shortly, but at a basic level, here’s how the heating and cooling process works:

  1. Units pull air from outside or inside the house.

  2. The system heats or cools the air through mechanical ventilation.

  3. The HVAC unit distributes the newly warm or cool air through ducts or a ductless unit to create a more comfortable temperature inside of a space.

Main Parts of an HVAC System

A person adjusting a ceiling vent for an HVAC system
Photo: The Toidi / Adobe Stock

In any HVAC system, there are multiple moving parts that work together to heat or cool your home. The most common components of an HVAC system include: 

  • Air conditioner: Air conditioners remove heat and humidity from the indoor air and release it outside. There are several types of air conditioners, including central AC systems and ductless mini-split systems.

  • Heat pump: Heat pumps pull in outside air, heat it, and release the warm air into your home. They can also reverse this process to cool your home.

  • Furnace: Often powered by natural gas or electricity, furnaces create and release heat into your home to make it warmer.

  • Thermostat: You can use a thermostat to adjust the temperature inside your home and turn your HVAC system on and off. 

  • Ductwork: Many HVAC systems use ductwork—which is a system of air ducts and vents—to circulate hot or cold air to different rooms.

  • Air handler: This component operates (and looks) like a furnace, but it works with an air conditioner or heat pump to distribute air throughout a home.

Parts of an HVAC system illustrated, including ductwork, heat exchanger, and condenser unit

Types of HVAC Systems

Choosing the right type of HVAC system for your home will depend on several factors, including your local climate, the size and layout of your house, and your budget. Here are a few of the most common systems to help you decide which one is best for your needs.

"Energy efficiency should be a top priority for any homeowner. This does require an initial investment, but it pays off in the long run with lower energy bills. Plus, there are often incentives and rebates available from local utility providers for making energy-efficient upgrades."

Bill Taylor, HVAC Contractor Manager, South Jersey Gas & Elizabethtown Gas

Split Systems

As the most common kind of HVAC system, split systems have both an indoor and outdoor unit (which is where the name “split” system comes from). The exterior unit is responsible for cooling the air and keeping hot air out, and the interior system warms the air and pushes it into the ductwork for distribution.

Hybrid Systems

Hybrid systems are similar to split systems, but the main difference is that they can switch between gas and electricity, which makes them more energy efficient. They’re often pricier to install than split systems, but they may help reduce your utility costs in the long run.

Packaged Heating and Air Systems

Packaged HVAC systems contain both the “indoor” and outdoor parts of an HVAC system in one unit. This unit goes outside your home—either sitting on a concrete slab or as a rooftop HVAC unit. They’re useful if you need to conserve space, but they don’t last as long as split systems.

Ductless Systems

Also known as duct-free or mini-split systems, ductless HVAC systems don’t use ductwork to circulate warm or cool air. Instead, they consist of individual units that can heat or cool a single room. This gives you more control over the temperature in a particular room, but they can cost more to install than other systems.

HVAC System Installation and Repair Costs

The cost to install an HVAC system depends on the type and size of the system, labor rates in your area, and other factors. However, here are some cost estimates for the most common kinds of HVAC systems.

Type of HVAC SystemAverage Installation Cost
Split system$3,900–$8,000
Hybrid system$2,500–$10,000
Packaged heating and air system$10,000–$14,000
Ductless system$2,000–$14,500

If your heating or cooling stops working, have a local HVAC company come take a look at your system. On average, HVAC repairs cost between $130 and $2,000, but prices depend on the specific problem and type of HVAC unit.

Frequently Asked Questions

No. HVAC, which stands for heating, ventilation, and air conditioning, includes all of the systems that work together to regulate a building’s temperature and humidity levels. In comparison, air conditioners only provide cooling. You can have an air conditioner as part of your HVAC system, but not all HVAC systems include air conditioners.

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Learn more about our contributor
Taylor Freitas
Written by Taylor Freitas
Contributing Writer
Taylor is a contributing writer who has covered a range of home-related and personal finance topics. Her budgeting and home improvement tips can be found on CNET, Bankrate, and more. She enjoys helping people discover new ways to upgrade their living spaces and is most enthusiastic about sustainable living.
Taylor is a contributing writer who has covered a range of home-related and personal finance topics. Her budgeting and home improvement tips can be found on CNET, Bankrate, and more. She enjoys helping people discover new ways to upgrade their living spaces and is most enthusiastic about sustainable living.
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