Split system installation cost
A standard back-to-back single split system (one indoor head, one outdoor unit, short pipe run through an external wall) typically costs $1,800–$3,500 fully installed in 2026. The unit itself is usually $700–$1,800 (depending on brand and kW), with the rest going to labour, brackets, copper pipe, insulation, electrical work and disposal of the old unit if applicable. Premium brands (Daikin, Mitsubishi Electric) sit at the top of the range; budget brands (Hisense, TCL, Kogan) at the bottom.
| System type | Room / home size | Budget brand | Premium brand (Daikin / Mitsubishi) |
|---|---|---|---|
| Split 2.5 kW | Bedroom / small room | $1,500–$2,200 | $2,200–$2,800 |
| Split 5.0 kW | Living room / open plan | $2,000–$2,800 | $2,600–$3,500 |
| Split 7.0–8.0 kW | Large living / studio | $2,500–$3,400 | $3,200–$4,200 |
| Multi-split (2 heads) | Apartment | $3,500–$5,500 | $5,000–$7,500 |
| Multi-split (3 heads) | 3-bed apartment | $5,000–$7,500 | $7,000–$9,500 |
| Ducted | 3–4 bedroom home | $9,000–$13,000 | $12,000–$17,000 |
| Ducted with zoning | 4–5 bed two-storey | $13,000–$18,000 | $16,000–$22,000 |
Multi-split system cost
A multi-split system (one outdoor compressor feeding 2–3 indoor heads) runs $4,000–$8,000 installed. Pricing scales with the number of indoor heads, their combined kW, and pipe-run complexity. Multi-splits are popular for apartments where outdoor space is limited, but they cost more per kW than separate single splits — the trade-off is fewer compressors visible outside.
Ducted air conditioning cost
A fully ducted reverse-cycle system for a 3–4 bedroom Australian home typically costs $9,000–$16,000 installed in 2026. A 4–5 bedroom two-storey home with zoning runs $14,000–$22,000. The system itself (compressor, indoor air handler, ductwork, vents) accounts for roughly 60% of cost; labour, ceiling penetrations, electrical, controllers and commissioning make up the rest.
What drives the price up
Long pipe runs (over 5m) add $30–$60 per metre. A new electrical circuit from your switchboard typically adds $300–$700. Crane access for high-rise apartments adds $400–$1,500. Anti-corrosion coatings for coastal homes add $150–$400. Bracketing for roof or wall mounts in tricky locations adds $200–$600. Removing and disposing of an old unit adds $150–$400.
Where customers overpay
The biggest mistake is accepting the first quote. FixerCo data shows the average gap between the cheapest and most expensive quote on the same job is 28% — that's $700+ on a typical split install and $3,000+ on a ducted install. Getting 3+ competing quotes is the single biggest cost-saver. The second biggest mistake is buying brand-name units from big-box retailers and then paying a separate installer — you'll usually pay 15–25% more than an installer's bundled price.
Hidden savings: government rebates
Depending on your state, energy-efficiency rebates can take $300–$1,500 off eligible high-efficiency systems. NSW Energy Savings Scheme, Victorian Energy Upgrades (VEU), and SA's REPS all apply. Federal STCs (Small-scale Technology Certificates) apply to high-efficiency heat pumps Australia-wide. Most installers don't volunteer rebate information — ask explicitly in your quote request.
Running cost vs install cost
A high-efficiency 7-star inverter system costs $400–$900 more upfront than a 3-star equivalent but saves $200–$450 per year in running costs. Over a typical 10-year lifespan, the high-efficiency unit is $1,500–$3,500 cheaper to own. Don't chase the lowest install price if it locks you into expensive electricity bills.