There are many factors to consider when deciding between a heat pump and furnace. Cost is important, but you also want to think about efficiency, performance in your climate, ease of installation and long term operating costs. To make the best decision for your home it’s important to understand how each system works and what they have to offer.
Luckily we’re here to break it down and clear things up if you are debating between the two.
Heat Pump vs Furnace: How They Work
Heat pumps transfer heat rather than generating it like a furnace. In heating mode, heat pumps pull heat from the outdoor air or ground and distribute it inside your home. In cooling mode, the cycle is simply reversed. Heat pumps can provide both heating and air conditioning through the same system.
Heat pumps have come a long way in recent years. Today’s air source heat pumps, particularly inverter driven models, are capable of operating at between 2 and 4 coefficient of performance (COP) during moderate temperature weather. Essentially this means that for every unit of electricity used by the system you can expect to get 2-4 units of heat output.
There are three main types of heat pumps:
- Air source heat pumps, including ducted mini splits and ductless mini splits
- Ground source or geothermal heat pumps
- Water source heat pumps
Air source heat pumps are more common because they are less expensive to install than geothermal heat pumps.
Benefits of Heat Pumps
Heat pumps provide exceptional efficiency when cooling and heating in mild to moderate climates. When used as a primary heating source they can drastically cut your heating costs when compared to electric resistance heating. Depending on your utility rates, heat pumps can even compare competitively with gas furnaces.
Another perk is that you only need to have one system for both your heating and cooling needs. No more needing separate systems and forgetting to change the settings when the seasons change. One system = less maintenance and less space required for indoor equipment.
Thanks to advances in cold climate heat pump technology, some systems can continue to produce heat even at very cold temperatures. Of course the efficiency will drop as the outdoor temperature decreases, but they will still keep you comfy.
Furnaces work by producing heat through combustion or electric resistance, then distributing that warm air throughout the home using ductwork. Gas is the most common fuel source for furnaces in cold climates.
The efficiency of furnaces is rated by their Annual Fuel Utilization Efficiency (or AFUE). Today’s high efficiency gas furnaces operate at between 90-98% AFUE on average. This means that 90-98% of the fuel used by the furnace is turned into heat for your home.
Benefits of Furnaces
Traditional furnaces blast very hot air into your home quickly. If you live in an area that experiences long periods of severely cold weather, furnaces may be able to outperform heat pumps. Since furnaces don’t rely on the outdoors to heat your home, their heating performance is less affected by extreme temperatures.
Another potential advantage is that if your home is already equipped with ductwork and a gas line, installing a gas furnace can be less expensive than a heat pump.
Comparing Efficiency
Heat pumps can achieve efficiencies of over 200 to 300 percent on cool days and nights. Since a heat pump moves heat rather than burning fuel to create it, they can essentially deliver more energy than they consume. A furnace can never be more than 100 percent efficient.
Real world heating costs will also be affected by your local utility rates. For example, if you live in an area with very cold winters but have access to cheap natural gas, your furnace may cost less to operate. However, if you live where electricity is inexpensive and winters are mild your heat pump may provide lower monthly bills.
The biggest factor in efficiency is proper equipment sizing. An HVAC professional should perform a load calculation to determine the exact capacity your home needs. Oversizing your equipment can cause efficiency problems and shorten equipment lifespan for both furnaces and heat pumps.
Climate Factors into the Equation
Heat pumps excel in regions where winter temperatures don’t stay below the freezing mark for too long. These systems just don’t cut it when the mercury dips too low for too long. If you live somewhere with moderate weather year round a heat pump can provide exceptional comfort and save you money over time.
Furnaces really shine when the weather gets brutally cold. You won’t see your heating bills suffer if you live in an area that frequently reaches into the single digits or below zero. Heat pumps can still operate at very cold temperatures, they’ll just use their backup heating system.
Another solution some homeowners go with is a dual fuel setup. This gives you the best of both worlds by pairing a heat pump with a gas furnace. The heat pump operates as normal until the temperature falls below its efficient operating range. Then the furnace kicks on to handle the heavy lifting.
Installing & Maintaining Your HVAC Equipment
Installing a heat pump will usually cost more than installing a new furnace. Due to the nature of heat pump systems, there can be additional installation requirements such as electrical upgrades and proper placement outside your home.
With furnaces you may need a certified technician to connect your new furnace to the gas line and venting. With high efficiency condensing furnaces, proper venting is required to ensure safe operation.
Maintenance on heat pumps and furnaces is roughly the same. Yearly service should include coil cleaning for heat pumps and refrigerant checks. Furnaces should have a combustion inspection and heat exchanger tested for safety.
Here at Salmon HVAC, we pay close attention to your home during installations. Our recommendations are based on a whole home load calculation, duct inspection and honest conversations about your long-term budget. Whether you buy a heat pump or furnace, proper sizing and installation are key.
Thinking About Costs Over Time
Some things to think about when looking at cost over the lifetime of your system include:
- Installation cost
- Annual operating expenses
- Maintenance requirements
- System lifespan
- Incentives/rebates
Heat pumps can last between 12-15 years. Furnaces have been known to last 15-20 years with proper maintenance. The cost to repair will vary based on what goes wrong, but in general the compressor is the largest potential failure for heat pumps. Heat exchangers are furnace owners' worst nightmare.
Wrapping it all Up
If you live in a climate with mild winters and want all your heating and cooling needs taken care of by one unit, chances are a heat pump is right for you. If you experience several weeks of truly brutal cold each year and have cheap natural gas, a furnace can keep your toes warm.
As with any major home comfort decision, it’s smart to look at your home as a whole. Your level of insulation, comfort preferences, and utility rates should also play a part in your decision-making process.
FAQ
Q1: Are heat pumps more expensive to run?
A: Heat pumps can provide more heat output than the electricity they use. However, in very cold climates they may need assistance from a backup heater. Furnaces may have the upper hand in heating costs if you live somewhere with very long and harsh winters.
Q2: Is a heat pump better than a furnace in the winter?
A: Heat pumps can still operate in extremely cold temperatures, but will be less efficient. If you don’t experience prolonged periods of severe cold, a heat pump can be more than adequate at keeping your home warm all winter long.
Q3: Do heat pumps use less electricity than furnaces?
A: Heating with a heat pump can use less electricity than traditional electric resistance heating. Whether a heat pump uses less electricity than a furnace depends on your local utility rates.
Q4: Can I swap my furnace for a heat pump?
A: If your home has the proper ductwork a heat pump can likely be used to heat and cool your home. Keep in mind that proper sizing and installation are key. A full load calculation and duct evaluation should be done by a professional HVAC technician.
Q5: Should I get a heat pump and furnace?
A: A dual fuel system uses both a heat pump and furnace to heat your home. If you live in a colder climate but want to take advantage of a heat pump’s efficiency during milder weather a dual fuel system may be the right choice for you.