While many factors influence the cost of installing a heat pump, the average homeowner pays a total of about $5,000, as of 2015. The cost is often significantly more in homes without existing duct work. Larger homes require larger heat pumps, which further increases the installation cost.
The air-source heat pump is the most common type of heat pump in use. While it is more energy-efficient than resistance heating, it does not work well in areas where temperatures remain low for extended periods. Ground-source heat pumps are more expensive to install, but they are not as limited by air temperature extremes. Ground-source units also have a longer life expectancy.