If you’re considering a new heat pump for your home, one of the first things you’ll want to know is how much you can expect to pay for a new unit. Installation will also be added to the final expense. The average cost to have a new heat pump installed is somewhere around $5,500, but you could end up paying as little as $4,000 or well over $10,000. The reason that the price can vary so much is that it really depends on the specific unit you choose.
You may be able to save a bit of money by opting for a more generic brand, but it’s usually best to go with a more respected company like Daikin. High-quality units tend to have fewer issues. In addition to the brand you choose, the size and energy efficiency rating of the heat pump are also important factors in determining how much your new unit will cost.
How the Size of Your Home Impacts Heat Pump Costs
The total square footage of your home is one of the main factors that will determine what size heat pump you need. If you have a larger home, your costs for a new heat pump will be at the higher end of the price range. You need a unit that is sized accordingly.
The general rule of thumb is that you need a heat pump that produces around 30 BTUs for every square foot. Exactly how many BTUs are needed per square foot can depend on the local climate. Thirty BTUs per square foot is usually sufficient in Eugene. Our summers aren’t extremely hot, and the winters aren’t bitterly cold.
That being said, the only way to truly know what size heat pump you need is to have an HVAC technician calculate your home’s heating and cooling requirements. When sizing a heat pump or any other HVAC unit, technicians use a complex formula known as a Manual J calculation to determine exactly how many BTUs are needed.
The Manual J calculation takes into account square footage and climate zone. Other considerations include how insulated and sealed the home is and how many occupants live in the building. The number, location, and size of all windows and exterior doors in the home are also important. These are some of the biggest sources of heat loss and gain. Having a Manual J calculation performed is essential. It helps you avoid spending too much money on a new unit that is inadequately sized.
Heat Pump Energy Efficiency Ratings
Another main factor that will determine the overall cost of your new heat pump is how energy efficient it is. The cooling efficiency of heat pumps is measured in terms of the seasonal energy efficiency ratio (SEER2), while heating efficiency is measured in terms of the Heating Seasonal Performance Factor (HSPF2).
The U.S. Department of Energy has set minimum energy efficiency standards for all new HVAC units, and these standards increased at the start of 2023. The minimum in Oregon for all new split heat pump units is 14.3 SEER2 and 7.5 HSPF2, and the minimum for packaged heat pumps is 13.4 SEER2 and 6.7 HSPF2. There are numerous incentives like Federal Tax Rebates and new pending legislation for Oregon Homeowners and Landlords. For 2023 tax year, households can claim a tax credit for 30% of the costs of buying and installing a heat pump, up to $2,000. This includes the cost of any electric system upgrades needed to make the home heat-pump-ready. Your can learn more about Lane County Electric Heat Pump Rebates or contact us at Jco Heating A/C Electrical for more details and updates.
A new heat pump that only meets the minimum requirements will always be cheaper than a higher-efficiency unit. If you were to opt for a unit rated at 20 SEER2 and 10 HSPF2, you should expect to pay at least a few thousand more than for a more basic, less efficient unit. However, the higher-rated unit is often still the better option in the long run, as it will greatly reduce your energy costs.
Compared with a unit that only meets the minimum requirements, a 20 SEER2 and 10 HSPF2 unit would typically use around 43% less energy. When looking at the overall life of the unit, the increased energy savings will often mean you’ll end up paying slightly less for the more efficient unit.
If you’re looking for a new heat pump in the Lane County Oregon area, the technicians at Jco Heating A/C Electrical can help determine what size unit you need, and what specific model is the best option. We carry a wide selection of highly efficient Daikin heat pumps. We also install furnaces, central air conditioners, and ductless mini-splits.
If your current HVAC unit needs any repairs or maintenance, we can assist with that as well. To learn more about your options for a new heat pump, give us a call today.