Compare upfront costs, operating costs, and total savings over 15 years for your specific situation.
| Factor | Heat Pump | Gas Furnace |
|---|---|---|
| Efficiency | 200-400% (COP 2-4) | 80-98% AFUE |
| Upfront Cost | $8K-16K (before credits) | $8K-15K (furnace + AC) |
| Cooling Included | Yes (same system) | No (need separate AC) |
| Lifespan | 15-20 years | 20-25 years |
| Cold Climate | Works to -13°F+ with cold-climate models | Works in any temperature |
| Tax Credits | 30% federal credit (up to $2,000) | Limited (high-efficiency only) |
| Carbon Emissions | Lower (especially with clean grid) | Higher (fossil fuel) |
Usually yes. Heat pumps are 2-4x more efficient than gas furnaces, so even though electricity costs more per unit than gas, you use less of it. The break-even point is typically when electricity costs more than 4x your gas rate. For most US households, heat pumps cost 15-30% less to operate than gas furnaces.
Yes, modern heat pumps can fully replace furnaces in most climates. Cold-climate heat pumps work efficiently down to -13°F or lower. In very cold climates, some homeowners keep their furnace as backup for the coldest days, but many go heat pump-only. Heat pumps also replace your AC, giving you one system for both heating and cooling.
Dual fuel systems combine a heat pump with a gas furnace. The heat pump handles most of the year, and the furnace kicks in during the coldest days when heat pump efficiency drops. This can be a good option in very cold climates if you already have a gas furnace in good condition. However, cold-climate heat pumps have made dual fuel less necessary.
Gas furnaces typically last 20-25 years, while heat pumps last 15-20 years. However, heat pumps replace both your furnace AND AC unit (which also lasts 15-20 years). When you factor in replacing both systems, the total cost of ownership favors heat pumps in most scenarios.
Get the right size heat pump and understand your full costs and savings potential.