A heat pump costs an average of $10,575 to install, according to our 2026 HVAC survey of 1,000 homeowners. What you pay depends on the equipment type, capacity, and efficiency rating. Unlike furnaces, boilers, and electric heaters, heat pumps deliver energy-efficient heating and cooling from a single system.
In this guide, we break down heat pump costs, explain what goes into pricing, and highlight ways to save on installation. We also share expert insights from This Old House home technology and HVAC experts Richard Trethewey and Ross Trethewey to help you decide when it makes sense to replace your current system with a heat pump.
Key Takeaways
- $10,575 is the average installed cost for a central heat pump, while mini-split heat pumps cost $3,250 on average.
- $17,000 is the average cost for geothermal heat pumps in small to medium homes, with large-home installations can exceed $30,000.
- $300 to $650 per year in utility bill savings is typical for heat pump owners, according to the National Renewable Energy Laboratory.
- Nearly 61% of homeowners who repaired or replaced their heat pumps reported that the biggest improvement was that their home became more comfortable.
What Is the Average Cost of a Heat Pump?
A central heat pump costs $10,575 on average, including installation, while mini-split systems cost about $3,250 for single-zone units. Premium efficiency models from leading manufacturers like Carrier and Trane can exceed $30,000, especially if you need a central unit for a large home.
Compare average price ranges for different types of heat pump systems below.
| Heat Pump Type | Usage | Average Replacement Cost |
|---|---|---|
|
Mini-split heat pump (air-source) |
A single room or area in your home |
$3,250 |
|
Air-source heat pump |
Your whole home |
$8,007 |
|
Air-to-water heat pump |
Your whole home |
$6,719 |
|
Geothermal heat pump |
A small or medium home |
$17,000 |
|
Geothermal heat pump |
A large home |
$30,000+ |
Note: We estimated the costs featured in this guide based on estimates from Homewyse and our 2026 HVAC survey of 1,000 homeowners who repaired or replaced their HVAC systems within the last five years. Pricing can vary depending on your local climate and home design. For a detailed and accurate quote, contact a professional installer in your area.
Pro Tip
- Ross Trethewey advises homeowners to carefully compare heat pumps before choosing one, as certain types may provide enough energy savings to justify the cost: “It’s very important to make sure that [you] are installing a heat pump to lower the operating cost of your home.”
What Factors Affect Heat Pump Costs?
The cost of installing a heat pump depends on the type of heat pump, the unit’s heating capacity, and its efficiency rating.
Type of Heat Pump
You can classify most heat pumps into two models: air-source heat pumps (ASHP) and geothermal or ground-source heat pumps (GSHP). An air-source heat pump exchanges heat with outdoor air, just like an air conditioning system, while a ground-source heat pump exchanges heat with the ground, usually at a depth of several feet. Both types offer more efficiency than traditional resistance heaters, but geothermal heat pumps are the most efficient overall.
Since underground temperatures experience more stability than outdoor air temperatures, ground-source heat pumps offer more efficiency. However, ground-source heat pumps require a water piping loop to exchange heat with the ground, which increases installation costs. In other words, air-source heat pumps cost less.
You can further describe heat pumps based on the unit’s compressor design: single-speed, two-speed, or variable-speed. Single-speed compressors are more affordable because of their simple design, but come with the least efficiency. Variable-speed compressors are the most efficient and expensive, while two-speed compressors offer a balance of price and efficiency.
Homeowner Insights
Of the homeowners who owned a heat pump system, air-source heat pumps were the most popular heat pump type they replaced (58%), according to our 2026 HVAC survey.
Heat Pump Capacity
Your home’s size directly determines the capacity, measured in tonnage, you need for your heat pump. Larger homes require more heating and cooling capacity to keep a comfortable temperature, which typically translates to needing a larger and more expensive heat pump.
A professional HVAC technician can advise you on the right sized heat pump for your home. “Beware of installers who specify a new system’s heating and cooling capacity based on a rule of thumb or what you had before,” warns Richard Trethewey. “They should perform a Manual J load calculation, which determines system size based on the local climate, your house’s window orientation, and insulation levels, among other factors. Without it, you could end up with a bigger, more expensive system than you need.”
Heat Pump Efficiency
Heat pumps with higher energy efficiency ratings typically cost more than units that meet basic efficiency standards. The heating efficiency of a heat pump is measured by the heating seasonal performance factor (HSPF), with higher ratings indicating greater efficiency.
For reversible heat pumps, which can heat or cool a space, the cooling efficiency is measured by the Seasonal Energy Efficiency Ratio or SEER rating, which is also used for air conditioning systems. As with the HSPF rating, higher SEER or SEER2 ratings also indicate units with better energy efficiency.
Actual performance can vary in real-world applications, but these metrics can help you estimate efficiency when comparing different heat pump models.
Installation
Installation plays a major role in the total cost of a heat pump. Straightforward replacements that use existing ductwork, electrical connections, and refrigerant lines typically cost less than installations that require new ducts, electrical upgrades, or structural modifications to your home.
Homes without existing ductwork may need a ductless mini-split system or a full duct installation, both of which increase labor and material costs. Limited attic, crawl space, or outdoor access can also extend installation time and increase labor expenses. A qualified HVAC contractor can evaluate your home’s layout and recommend the most cost-effective system type and installation approach.
Homeowner Insights
Over half (58%) of homeowners who replaced their heat pump system reported paying $150 or more per hour for installation labor.
Climate and Location
Your climate and location can affect the cost of a heat pump system. Homes in colder regions often require cold-climate heat pumps with enhanced compressors and higher heating capacities, which typically cost more than standard models. In milder climates, a standard air-source heat pump may provide enough heating and cooling at a lower price.
Local weather conditions also affect system size, energy efficiency, and long-term operating costs. Trethewey recommends choosing a heat pump that matches your region’s climate rather than paying for features or capacity your home doesn’t need.
Homeowner Insights
The two U.S. regions with the highest concentration of homeowners with heat pumps were the South (49%) and the Northeast (22%).
Local Codes and Permitting Requirements
Since a heat pump is part of an HVAC system, local municipalities have codes and permitting requirements in place for installation. Code requirements and permitting procedures for HVAC equipment vary by location. If your city has a stringent building code, design requirements can increase the cost of a heat pump installation. Additionally, permitting fees for heating and cooling equipment can vary significantly depending on your location.
Homeowner Insights
About 11% of homeowners who replaced their heat pump system said they experienced permitting delays. While not a large percentage, it’s a real possibility for heat pump replacement projects, so we recommend getting your permitting sorted before you begin shopping around.
How Much Do Different Heat Pump Brands Cost?
Heat pump manufacturers usually don’t publish pricing information on their websites. To get an accurate quote, we recommend contacting a licensed HVAC installer in your area. To help you get an idea of pricing, we researched typical costs of central heat pumps from U.S. brands.
| Brand | Average Equipment Cost |
|---|---|
|
Ruud |
$4,550 |
|
Rheem |
$4,600 |
|
Goodman |
$5,000 |
|
York |
$7,000 |
|
American Standard |
$7,200 |
|
Amana |
$7,300 |
|
Carrier |
$9,000 |
|
Lennox |
$9,050 |
|
Trane |
$9,550 |
Keep in mind that heat pump manufacturers typically offer multiple product tiers. For example, Carrier and Trane are often ranked among the top brands, but their heat pump selection includes both premium and affordable product lines.
How Can I Reduce Heat Pump Installation Costs?
Comparing heat pump quotes from multiple installers can help you find the best deal. If you accept the first quote you get, you could miss out on higher-quality equipment or better pricing. Keep in mind that equipment costs represent only a fraction of the total price you pay, which means a high price doesn’t always guarantee a high-quality heat pump. Also note that heat pump efficiency is not equivalent to product quality—high-efficiency models are available from both leading brands and value brands.
Depending on your state and city, you may find incentives offered by the local government or electric utility company. You can search for heat pump incentives in your area at the Database of State Incentives for Renewables and Efficiency (DSIRE).
When Should You Replace Your Heat Pump?
Replacing your heat pump is worth considering if you have an older unit that no longer provides effective heating or suffers from frequent breakdowns. A heat pump upgrade is also worthwhile if your current unit has a much lower efficiency than the latest models available in the market.
Here’s a list of situations when you might consider getting a heat pump replacement:
- Heat pump age: Your heat pump has passed half of its lifespan or more, which is usually around 15 years, according to local installers.
- Poor performance: You have an older heat pump with low efficiency ratings, and want a newer model that consumes less electricity.
- Frequent and costly repairs: Your heat pump has suffered major damage or frequent breakdowns, and replacing the unit is more cost-effective than ongoing repairs.
- Home expansion: You plan to expand your home and your current heat pump cannot provide enough heating or cooling.
- Upgrading your HVAC system: If you have a traditional HVAC system with a separate air conditioner and furnace, a heat pump can accomplish the functions of both devices. In this case, you can save on energy bills.
Homeowner Insights
Nearly 67% of homeowners who replaced their heat pump systems reported that their systems were 10 years or older.
What Are the Benefits of a Heat Pump?
A heat pump offers both economic and environmental benefits while improving the comfort in your home. Here’s a list of the main benefits of upgrading to a heat pump:
A typical heat pump uses 40%–60% less electricity than a traditional electric resistance heater of the same capacity, lowering your energy costs.
High-efficiency heat pumps can match the operating cost as a gas furnace, without the carbon emissions produced by fuel combustion.
Many heat pumps are reversible, operating as both space heaters and air conditioners throughout the year. The most efficient models can match a high-efficiency air conditioner when operating in cooling mode.
The latest heat pumps use variable-speed compressors and smart controls to achieve greater control of your indoor temperature, improving comfort.
Since heat pumps simply transfer heat from one area to another rather than generate it, they typically cost less to run than traditional electric resistance heating or oil-based heating systems.
What Our Homeowner Survey Said About Heat Pump Costs
Our 2026 HVAC survey of 1,000 homeowners included respondents who repaired or replaced their heat pump systems within the last five years. Our survey aimed to uncover the financial aspect of replacing their heat pump alongside their experiences with the project overall. Here is what we found:
- Heat pump projects were more complicated: Heat pump owners in our survey reported project complications more often than other HVAC owners, particularly equipment availability, scope changes, delays, and unexpected charges.
- Geothermal heat pumps were the most expensive to repair and replace: Our survey results indicate that, on average, geothermal pumps cost $1,500 to repair, compared to $798 for air-source pumps and $949 for air-to-water pumps. Geothermal pumps cost $17,000 to replace on average, while air-source pumps cost $8,007 and air-to-water pumps cost $6,719.
- Most homeowners decided to repair their heat pump rather than replace it: About 67% of heat pump respondents repaired their system, while roughly 33% replaced it. This is likely due to how expensive replacing a heat pump system can be.
Is a Heat Pump Worth the Cost?
Installing a heat pump is worth the cost if you’re looking to upgrade your heating and cooling system and save money on energy bills as a long-term result. A typical heat pump achieves median utility bill savings of $300–$650 per year, according to the National Renewable Energy Laboratory (NREL), but this figure can increase if you’re upgrading from an inefficient HVAC system. You can use these increased energy bill savings to recoup your initial investment.
We recommend getting an in-home inspection from an HVAC contractor to see if a heat pump is right for your heating and cooling needs. From there, request quotes from three local installers to compare offerings, warranty terms, and pricing before choosing the best option. Need help getting started? Check out our HVAC installation cost calculator to get an estimate for your home.
HVAC Installation Cost Calculator
Use our calculator to help estimate the cost to replace your HVAC system
Estimated Cost
Clicking “Get Your Estimate” submits your data to All Star Pros, which will process your data in accordance with the All Star Pros Privacy Policy.
Ad DisclaimerFAQs About Heat Pump Costs
What is the downside to a heat pump?
Heat pumps offer energy savings while lowering your home’s emissions. However, heat pumps can have a high upfront cost of upwards of $10,000. Additionally, modern units with variable-speed compressors and smart controls have more complex maintenance needs than traditional HVAC systems. Air-source heat pumps also suffer from low performance when temperatures drop below 0 degrees Fahrenheit and may require a gas furnace or resistance heater as backup.
Is it cheaper to use an air conditioner or a heat pump?
It depends on each system’s energy efficiency. Assuming both units have the same cooling load, the system with the highest SEER rating should have the lowest electricity consumption and operating cost.
How much is a heat pump for a 2,000-square-foot house?
The heating and cooling requirements of a 2,000-square-foot home vary depending on the local climate and the house’s insulation levels. However, a home of this size will usually require a heat pump with a capacity of around 3–5 tons, which can cost $12,000 on average, depending on its brand and features. If you select a top-tier high-efficiency heat pump, your total project cost may exceed $20,000.
Do heat pumps have ongoing maintenance costs?
Yes, homeowners should maintain their heat pump annually to ensure longevity and optimal performance. Typical maintenance tasks for a heat pump include:
- Filter inspection, cleaning, and replacement
- Refrigerant level inspections and recharging
- Electrical and electronic component inspections
- Condenser unit inspections and cleaning
- Annual tune-ups
How We Determined Heat Pump Pricing
To provide the most accurate and current pricing for air conditioners, we collected costs based on contractor estimates from Homewyse, our 2026 survey of 1,000 homeowners who repaired or replaced their HVAC systems within the last five years, and by doing market research. Our research included analyzing material and labor costs to ensure a comprehensive view of unit and installation pricing locally and nationwide. Prices shared in this guide represent estimates based on our research at the time of publication. Actual costs may vary depending on factors such as your location, heat pump unit and setup, and installation rates.