How Much Does It Cost to Install a Heat Pump?

January 23, 2022 by Team HomeServe

Heat Pump Costs at a Glance

Total price: $5,700, average; $4,100-$7,300, range
Geothermal heat pump: $23,500, average; $22,000-$27,000 range
Water-source heat pump: $2,900-$9,500
Air-source heat pump: $10,500, average; $5,000-$20,000, range
Ductless air-source heat pump: $900-$5,000
Hybrid heat pump: $8,500, average; $6,000-$12,000, range
Labor costs: $70-$150 per hour
Heat pump removal: $1,300-$2,000

Heat pumps are an efficient way to heat your home, and they work by transferring heat in or out of your property. Installing a heat pump can save you money on your energy bills and maintenance fees. However, the difference between types of heat pumps and the installation costs involved can be confusing.

This May Also Interest You: How Much Does an Air-Source Heat Pump Cost?

Below, we sort this out for you. Here's how much a heat pump costs on average and what factors affect the overall price.

What's the Average Total Cost to Install a Heat Pump?

According to Bob Vila, the national average cost to install a heat pump is about $5,700, with the typical price range being $4,100 to $7,300. However, how much your heat pump costs to purchase and install varies widely depending on various factors. A basic heat pump system for a small property could cost as little as $1,500, while more expensive residential systems could cost $10,000 or more.

How Much Do Different Types of Heat Pump Systems Cost?

One of the most significant factors affecting how much your heat pump costs is the type of system you choose. These are some of the most common:

Ground-Source or Geothermal Heat Pump

A geothermal or ground-source heat pump uses heat from the earth to warm your home. These systems are generally the most expensive to purchase and install, but they can save you a significant amount on your energy bills because they are highly efficient.

According to Modernize, the national average cost to install a geothermal heat pump system in a 2,500 square foot house is around $23,500. The typical price is between $22,000 and $27,000. However, you could pay about $20,000 at the lowest end, depending on your system model and home size.

Water-Source Heat Pump

Water-source heat pumps transfer heat from a body of water to your home. They are usually highly efficient, so you may make back some of the installation cost in utility bill savings. The average cost to purchase and install a water-source heat pump system is between $2,900 and $9,500. This includes $1,700 to $8,000 for the unit and materials and $1,200 to $1,500 in labor fees.

Air-Source Heat Pump

Air-source heat pumps transfer heat from the air inside your home to the outside in hot weather and move heat from the outside air inside when it gets cold. The average air-source heat pump costs about $10,500 installed, according to Fixr. The average price is between $5,000 and $20,000. The most affordable air-source heat pumps are ductless models, costing between $900 and $5,000.

Hybrid Heat Pump

Hybrid heat pump systems combine a heat pump with a regular gas furnace. They're a suitable option for homes in cooler climates because the heat pump provides energy-efficient heating in moderate temperatures while the furnace provides additional heat during cold weather.

The average cost to buy and install a hybrid heat pump system is $8,500, with the typical price range being between $6,000 and $12,000. However, you could pay as little as $5,500 for a basic system and up to $15,000 for a premium system installed for a larger property.

More Related Articles:

How Much Does Installation Cost?

How much it costs to install a heat pump depends on the job complexity and how long it takes. Professional contractors generally charge between $70 and $150 per hour to install a heat pump. It usually takes around a day to install a single ductless unit. Projects requiring duct installation can take considerably longer. You may also need to pay an additional $1,300 to $2,000 if you need to remove an existing heat pump first.