Best Budget ACs Under $400 in 2025

Affordable air conditioners that deliver good performance without breaking the bank.

Last updated: 2025-01-15

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You don't need to spend a fortune to get a good air conditioner. We've found the best budget-friendly ACs under $400 that offer reliable cooling, decent energy efficiency, and good build quality. These picks are perfect for students, small offices, or anyone on a tight budget.

Best Budget
#1

Voltas 1 Ton 3 Star Split AC

4.3
(28,000 reviews)
Capacity:

1 Ton

Rating:

3 Star

ISEER:

3.65

Type:

Split AC

High Ambient CoolingMulti-Stage FiltrationTurbo ModeSelf-Diagnosis

Pros

  • Very affordable
  • Reliable brand
  • Good cooling
  • Wide service network

Cons

  • Higher power consumption
  • Basic features
  • Not inverter
#2

Blue Star 1 Ton 3 Star Split AC

4.2
(12,500 reviews)
Capacity:

1 Ton

Rating:

3 Star

ISEER:

3.70

Type:

Split AC

Precision CoolingSelf-CleanTurbo CoolAnti-Freeze Thermostat

Pros

  • Great for hot climates
  • Indian brand
  • Good build
  • Reliable cooling

Cons

  • Non-inverter
  • Basic design
  • Higher running cost
#3

Carrier 1 Ton 3 Star Split AC

4.2
(9,800 reviews)
Capacity:

1 Ton

Rating:

3 Star

ISEER:

3.60

Type:

Split AC

Auto RestartSleep ModeAnti-Bacterial FilterCopper Condenser

Pros

  • Good brand reputation
  • Reliable performance
  • Decent efficiency
  • Quiet operation

Cons

  • Non-inverter
  • Limited features
  • Basic remote
#4

Lloyd 1 Ton 3 Star Split AC

4.1
(18,000 reviews)
Capacity:

1 Ton

Rating:

3 Star

ISEER:

3.55

Type:

Split AC

Anti-Viral FilterTurbo CoolGolden Fin EvaporatorSelf-Clean

Pros

  • Affordable
  • Good features for price
  • Havells backing
  • Decent cooling

Cons

  • Service network growing
  • Non-inverter
  • Moderate noise
#5

Godrej 1 Ton 3 Star Split AC

4
(7,600 reviews)
Capacity:

1 Ton

Rating:

3 Star

ISEER:

3.50

Type:

Split AC

I-Sense TechnologyAnti-Bacterial FilterSleep Mode5-in-1 Convertible

Pros

  • Trusted brand
  • Good after-sales
  • Convertible cooling
  • Indian company

Cons

  • Non-inverter
  • Basic features
  • Limited variants
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Buying Tips

1

Budget Trade-offs

Budget ACs typically lack inverter technology, meaning higher electricity bills. Consider this in your total cost calculation.

2

Stick to Reputable Brands

Even when budget shopping, choose established brands like Voltas, Blue Star, or Carrier for better service and spare parts availability.

3

Consider 3 Star Ratings

3-star ACs are more affordable than 5-star. If you use AC occasionally (< 4 hours daily), 3-star can be more economical overall.

4

Don't Skimp on Capacity

Buy the right capacity for your room size. An undersized AC will run constantly, using more electricity than a properly sized unit.

5

Check Warranty Terms

Look for at least 1-year comprehensive warranty and 5-year compressor warranty, even in budget models.

Frequently Asked Questions

Are budget ACs worth buying?

Yes, for occasional use or tight budgets. They cool effectively but use more electricity than inverter models. Good for guest rooms or less-used spaces.

Why are budget ACs cheaper?

Budget ACs typically use fixed-speed compressors (non-inverter), basic materials, and fewer features. This reduces manufacturing costs.

How long do budget ACs last?

A quality budget AC from a reputed brand lasts 8-10 years with proper maintenance. Annual servicing is essential.

Should I buy 3-star or 5-star budget AC?

For occasional use (< 4 hours daily), 3-star is fine. For regular use, save more and buy a 5-star inverter for long-term savings.

Our Verdict

The Voltas 123 DZW offers the best value at just $299 with reliable cooling. Blue Star FA312DNU is great for very hot regions. For occasional use in guest rooms or small offices, any of these budget picks will serve you well.

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