Why You Should Install a Heat Pump This Year

Keep your home efficiently heated and cooled year-round, and get money back on your taxes next spring.

By now you’ve likely heard at least something about heat pumps. Thanks to a big boost from Congress in last year’s Inflation Reduction Act (IRA), the home heating-and-cooling all-in-ones have become a core focus of green-energy investment in the U.S. And we’re here to tell you: Even if you live in a region that doesn’t require much air-conditioning right now, this is still the time to prepare for next winter’s heating challenges by adding one to your home.

Using technology similar to a refrigerator’s, a heat pump consists of a large outdoor unit that’s installed outside your home, and an indoor air-handler unit that blows air. Powered by electricity, the device transfers thermal energy from the air to both heat and cool your home — from outside to inside in cold weather (it sounds strange, but trust us, it works), and vice versa when it’s sweltering out. Heat pumps are designed to provide consistent temperature regulation in any season, so you’re warm and toasty in the winter and you don’t overheat in the summer.

A residential heat pump, such as those made by York, is relatively easy to have installed too. “If you have a current HVAC system with an exterior compressor system, it could be a simple swap-out,” says home-improvement podcast and radio host Eric Goranson. “If you just have an indoor furnace, you will probably have to add one or two new electrical circuits to power additional equipment.”

And aside from the obvious plus of being reliably cozy and warm come wintertime (and cool as a cuke in the coming months, if you hurry), investing in a heat pump offers a host of other benefits. Here are five that just might convince you it’s time to part with your old furnace.

Among its many other features, the IRA rewards those who invest in clean-energy purchases — and heat pumps are front and center. As Goranson points out, “your heating and cooling system is one of the more expensive systems in your home. Rebates will help offset that.” As of 2023, households can claim a tax credit for 30 percent of the cost of buying and installing one, up to $2,000 (including support for any requisite electric-system upgrades).

Households in certain states can also get rebates for heat pumps at the point of sale, which can cut purchase and installation costs by as much as $8,000. Goranson says these are some of the best rebates he’s seen in 25 years, in fact, and while the IRA’s benefits stay in place for the next decade, many state programs aren’t guaranteed as long — so it makes sense to invest as soon as you can.

According to the U.S. Department of Energy, an efficient heat pump like those from York can reduce heat electricity usage by around 50 percent, which translates to many more dollars in your pocket. And if it’s replacing a traditional oil or gas furnace, you’ll also be significantly reducing your energy reliance on fossil fuels.

Perhaps you have a bonus room over the garage that’s perpetually freezing. Or you’re heating an older home that doesn’t have any pre-existing ductwork to distribute the heat. That’s where split-system heat pumps come in, Goranson says, because they allow you to control the temperature anywhere in your home, often including places you were never able to heat at all.

A split-system heat pump works by diverting the heat it generates to multiple dedicated air handlers in different spaces, or zones, of your house. These “mini-splits” let you reach rooms and pockets your heat wouldn’t otherwise be able to. Plus, you can use the thermostat on each air handler to heat those zones to different custom levels — toasty-warm for you in the master bedroom, say, but 10 degrees cooler for your kid who goes to school in shorts in February.

Airborne pollutants like dust mites, mold, pet dander and tobacco smoke can permeate indoor spaces for an extended period of time, potentially leading to health conditions like asthma and allergies, and even stroke and heart disease. Heat pumps to the rescue yet again.

“Today’s systems have much better air filtration than older ones,” says Goranson. “They now remove many of the small particles you might see floating around in your home on a sun-filled day, which otherwise could lead to poor air quality.” Research has indicated that heat pumps reduce the percentage of air pollutants by up to 12 percent, making them a particularly great choice for homes with pets or children.

If your home gets super-humid in the summer, causing wood floors to warp and promoting the growth of mold, mildew and other allergens — well, a heat pump may be able to help with that as well. Most new thermostats that are installed with modern systems measure relative humidity as well as temperature, because the pump can assist in regulation. York’s YZT 18 SEER2 Two Stage Heat Pump, for example, comes equipped with the brand’s proprietary Climate Set technology, offering preconfigured operating profiles you can set for a humid, dry or normal climate with the push of a button.

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