Projections indicate that this summer could set a record for the highest temperatures, which in turn places extra stress on the electricity grid. Homeowners who rely on air conditioning also face the backlash of soaring energy costs and tend to consume more fossil fuels, perpetuating a harmful cycle of carbon emissions.
To break this cycle, energy companies and environmental organizations alike have taken steps to promote the use of efficient alternative heating and cooling solutions, such as heat pumps. To learn more, we connected with DR Richardson, founder of Elephant Energy, who shared four compelling reasons you might want to consider upgrading your home to a heat pump system.
1. They're Simply More Energy Efficient
Traditional heating equipment can't compete with this level of energy savings. "Heat pumps move existing air from one place to another, and that makes them 3-5x more efficient than traditional gas-powered furnaces," shares Richardson. "Installing a heat pump has the potential to reduce your gas bill considerably and can save you hundreds or even thousands per year." The exact amount you could save in operating costs depends upon where you live and the type of heating source you had before, but an energy provider and heat pump specialist can help scope the energy bill savings for you based on previous energy bills in your home.
2. You'll Get a Kickback From Uncle Sam
"There are great incentives available to offset the upfront cost of a new electric heat pump," notes Richardson. "Thanks to the Inflation Reduction Act (IRA) passed in August of 2022, you can get tax credits for things like heat pumps and other energy efficiency upgrades. For heat pump installations, the Federal tax credit amount is 30% of the total project cost (which includes potential savings on equipment and installation), up to a $2,000 maximum. Not only that, many states, cities, and utilities offer additional incentives (some of which are income-dependent), so it’s possible that you could have even more energy cost savings. For example, Massachusetts has a particularly lucrative rebate for $10,000 off the upfront installation cost."
3. One System Heats and Cools
How much do you spend maintaining two systems? "A heat pump heats AND cools your home….which means you only need to buy and maintain one piece of equipment to do both jobs," shares Richardson. "Think of a heat pump as an all-in-one product that replaces a furnace or boiler and an air conditioner — it keeps you cool in the summer and toasty warm if you live in a colder climate."
4. It Can Increase Your Home's Value
"A heat pump may increase the sale price of your home," shares Richardson. We know this firsthand — it's especially lucrative if you're switching from fuel oil and an old system. "Studies have shown that energy-efficient homes can sell for 4–7% more than similar homes, depending on the market and other factors. So your heat pump investment may continue to pay off even when you move elsewhere."
