How Much Does a Heat Pump System Cost?

How Much Does a Heat Pump System Cost?

Buying and installing a heat pump system for your house has many benefits. Keep reading to learn more about how much a heat pump system costs and what to look for in your purchase.

In areas without extremely cold winters, heat pumps are less expensive to run than furnaces. To install a heat pump, the typical American homeowner spends $5,895. Depending on the size and type of heat pump, most spend between $4,191 and $7,604.

Continue reading to learn how much heat pump installation costs for various types, brands, and locations.

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How Much Does a Heat Pump System Cost?

Despite being less expensive to run than furnaces, heat pumps can be more expensive to install initially, especially in places where winters are not very cold. The cost of installing a heat pump system ranges from $4,000 to $7,500 with the national average of around $5,500. At the low end, your installation costs could run around $2,500, while on the higher end, your costs could range up to $10,000.

Your individual cost for heat pump system installation may vary and is based on a number of factors. Continue reading to find out how heat pump system installation costs are impacted.

Factors in Calculating Heat Pump System Cost

The cost of a heat pump system varies depending on the size, type, ductwork, and more. Here is a cost breakdown to assist you in creating your project budget.

Heat Pump System Size

How Much Does a Heat Pump System Cost?

Most homeowners choose a 3-ton-capacity heat pump system, which costs anywhere from $3,900 to $6,200, including labor. The cost may drop to $3,500 if you select a lower capacity, and it may rise to $8,800 if you select a higher capacity.

Type of Heat Pump

The type of heat pump system can cost thousands of dollars more or less. The cost of the unit and installation for a mini-split heat pump system ranges from $1,300 to $8,000, while the cost of installing a solar heat pump system ranges from $18,000 to $34,000.


If you don’t already have ductwork and haven’t chosen a ductless mini-split heat pump system, you’ll need to factor in the installation costs for ductwork. The average cost to install ductwork is between $3,000 to $7,500 for 300 linear feet.

This price range depends on the kind of material you select for your air duct system, with flexible polyester costing less and galvanized steel costing more.


Location, location, as they say, is everything. When it comes to the price of your heat pump system, your location could mean saying cha-ching to a different price tag compared to friends or family who live states away from you.

How Much Does a Heat Pump System Cost?

While colder regions require a larger heat pump system that can keep homes warm in severe weather, warmer climates can get away with a smaller unit. Likewise, some regions have rocky soil conditions or a hilly topography that make it difficult to excavate for geothermal heat pump system installations. Here’s how different regions can impact the cost of your heating system:

  • Atlanta, Georgia: $3,000 – $5,000
  • Chicago, Illinois:$4,500 – $5,500
  • Denver, Colorado:$2,800 – $10,000
  • Houston, Texas:$3,800 – $7,100
  • Miami, Florida:$2,200 – $3,700
  • Minneapolis, Minnesota: $3,200 – $5,400
  • New York, New York:$3,300 – $7,300
  • Portland, Maine: $2,300 – $5,500
  • Louis, Missouri: $4,200 – $8,000


The cost of hiring a professional to install your heat pump system varies depending on how complicated the installation is, how much work is involved, and how long it takes. Average hourly rates for each employee for heat pump system installers range from $75 to $125.


For the majority of heat pump system installations, a permit is required. In some cases, you may even need multiple permits, depending on if you need to dig on your property or rent a dumpster near you. The cost of permits depends on your location and other local ordinances, but anticipate spending somewhere between $50 and $300.

Additional Costs and Considerations

A heat pump system can be made of materials of average or high quality, and you should expect to pay more for a well-built product from a reputable national supplier. Another cost factor is whether or not ducts need to be installed.

Brand Quality

How Much Does a Heat Pump System Cost?

Along with the unit’s size and efficiency level, the cost can vary depending on the brand. Installation costs for a standard air-source heat pump system range from $4,000 to $8,000, while they range from $6,000 to $12,000 for a well-known, high-end brand. Examine the warranty that each unit offers before choosing a less expensive brand.

For the sake of maintaining its positive reputation, a well-known brand may be more willing to stand behind the caliber of its goods.

Maintenance and Repairs

You’ll spend between $150 and $600 on average to hire a local heat pump system repair pro to repair your heat pump system, while a general, yearly tune-up costs between $50 and $180.

Cost to Install a Heat Pump System Yourself

The extent of the installation will determine whether most homeowners can install a heat pump system themselves.

Replacing or repairing your heat pump system within a current system may cut costs, but full installations of the ductwork, underground excavation, and electrical equipment can be costly (and complicated!) on your own.

Let’s say your final quote from a local engineer for an air-source heat pump system installation is $2,000 for the heat pump system itself and $1,500 for labor. The cost of labor frequently includes all materials, regional permits, duct installation, and additional materials. Consider all those additional expenses as well if you decide to do it yourself.

In other words, you might not actually save much money by skipping the professional. In addition to being a time-consuming process on your own, installing a heat pump system requires complicated wiring and ventilation setup, which increases the risk that one mistake will have expensive and frustrating results.

Heat Pump System Cost: DIY Installation Vs. Hiring a Professional

How Much Does a Heat Pump System Cost?

Installing a heat pump system requires significant labor costs, which frequently outweigh the cost of the appliance itself. By doing the project on your own, you could save a lot of money because most businesses charge between $75 and $125 per hour for each employee. That being said, even enthusiastic do-it-yourselfers are unprepared for installing a heat pump system.

A geothermal ground-source heat pump system, one of the most popular types, needs a lot of excavation to bury the refrigerant lines. There is no one to guarantee the workmanship if something goes wrong during the installation. In order to prevent gas leaks, combination units with dual-fuel gas lines are typically connected by a qualified plumber.

A heat pump system installation is typically not a DIY project due to its complexity. If a homeowner is an expert at electrical wiring, installing the lines, and understanding how heat pumps function, it might be a different story. However, anything that goes wrong could necessitate pricey repairs.

Ways to Save on Heat Pump System Installation Costs

You might be interested in learning how to reduce the cost of heat pump system installation given its high sticker price. Here are a few tips on how to save:

  1. Apply for a heat pump tax credit through the Inflation Reduction Act. In some cases, doing so could result in a sizable tax credit of $2,000 or $8,000 for qualifying households.
  2. Examine any local tax rebates.
  3. Select the appropriate size for your heat pump.
  4. Install a mini-split or air-source heat pump.
  5. If you don’t already have ductwork, go with a ductless heat pump.

Conclusion: Buy a Heat Pump System

An average heat pump costs $5,895, but prices can range from $4,191 to $7,604. We advise homeowners to perform some of their own heat pump maintenance in order to prolong its lifespan and make major repairs less frequent in the future.

Heat pump technology has been around for a while, but as a result of heat pumps’ superior efficiency compared to furnaces in temperate climates, they are steadily gaining in popularity.


What is the Cheapest Heat Pump System?

According to our research, ductless mini-split heat pumps are the least expensive choice in terms of unit and installation costs. They are simple to install and take little time to set up because they don’t need ductwork.

To ensure that each room is kept at a comfortable temperature, you might need to install multiple units in different areas of your home because the airflow is not centralized.

What Should I Consider When Choosing a Heat Pump System?

When choosing a heat pump for your home, always take into account the structure, location, and existing HVAC system. Heat pump costs primarily depend on the design you choose and the amount of installation required.

A high-quality heat pump should last between 10 and 15 years, and while there are occasional maintenance issues, staying on top of these will help keep your heat pump running efficiently.

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