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I have seen that some companies will NOT install a TV over the fireplace.
We have a fireplace that we don't plan on using very often, maybe a dozen times a year or so just for fun. Main heat will be gas. If I could install the TV over the fireplace, that would make the layout of the family room very convenient, especially since the kids can't bump into the TV.
Is it really a dumb idea to install the TV over the fireplace?
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Never a good idea. If you MUST, put it in FRONT of the fireplace on a nice stand. Then, if you want to have a fire, move the TV.
Seriously, I don't understand people that put those TV's up so darn high. It's like they plan on watching TV either standing up or laying semi-supine in a recliner.
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The other problem is the wall mounting itself. Our fireplace is plaster over brick over ceramic flue liner. Drilling deep enough into that to support a TV is nigh upon impossible.
Even if you have none of the above, you have to make absolutely sure you don't puncture whatever is conducting gases out of the house.
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We have the same setup. However, the person who built the house, preinstalled the cable outlet and electrical outlets above the mantle, so we don't really have a choice. They also did this in our bedroom (TV outlets above fireplace).
We rarely use the fireplace, so I'm not worried about the temperature. However, I am worried a bit about neck strain. We'll be sitting far enough back that I hope it won't be much of a problem, though.
I'm planning on installing the wall mounting brackets in the next couple of days.
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Often that is the only place it can go, not to mention where it looks the best. We have a gas fireplace that is rarely used and doesn't produce much heat when it is used. I'd be concerned above a real wood burning fireplace though.
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Regarding temp: Start a fire. See how hot it gets. If it exceeds the operating temp of the tv, don't watch tv when there's a fire going. If it exceeds the non-operating temp, don't do it at all. Installers won't do it at all as a rule because they don't want to be the ones responsible for putting the tv in a potential warranty-voiding installation. If it fails due to heat, then they'd be the ones who had to cover it. Since you're already aware of the risks, your own judgement should be more than adequate.
Regarding height: Our TV is above our fireplace with a center channel below it to boot. I'd say standing, my eyes meet the screen about a quarter of the way up. 11 feet away, sitting on the couch, I (and my wife and kids) have absolutely no problem watching. I can see where some would, but it's a non-issue for us. Given optimal conditions in a dedicated home theater, I wouldn't do it that way, but this fits our room and lifestyle well.