A new Northern Arizona co-op is betting that one of the biggest household expenses can get a lot cheaper when neighbors buy together instead of going it alone.

In Sedona, that idea could translate into meaningful savings for homeowners looking to cut utility bills and protect themselves from rising energy prices by upgrading to a more efficient HVAC setup.

Here's what to know

As The Prescott Times detailed, Sedona's Northern Arizona Switch Together Heat Pump Co-Op is a bulk-buying effort that lets homeowners register for free and receive a personalized offer. For the program, heat pump purchase and installation costs are expected to run about 17% below the national average. They are under no obligation to move forward.

A press release noted the co-op brings together Sedona, Solar United Neighbors, iChoosr, Coconino County, and the city of Flagstaff. Some qualified Sedona homes may also be able to lower costs further through Sedona's Home Energy Retrofit Program and Arizona's Efficiency Arizona Program.

"This is a fantastic way for homeowners in Sedona, to save money by switching their home heating and cooling systems to heat pumps," explained Zach Schwarz, city of Sedona Sustainability Coordinator, in the release. "Heat pumps are a proven technology that works especially well in warmer climates and typically requires minimal maintenance."

If you're comparing options yourself, Palmetto can help homeowners understand their HVAC options and slash their energy bills with new, efficient HVACs and heat pumps. Palmetto's Comfort Plan network can help you find efficient heating and cooling solutions for your home and connect you with vetted installers.

More background

A heat pump replaces the usual split approach of separate heating and cooling equipment by handling both jobs in one electric system. Because of that, it can boost efficiency and trim energy use and operating costs while keeping a home comfortable.

Heating and cooling equipment plays a major role in monthly utility bills. Upgrading to a more efficient system can help households save money over time while reducing exposure to higher electricity and fuel costs, particularly in places with long cooling seasons.

Sedona said these systems are effective, use less energy, cost less to operate, and help keep homes comfortable all year.

What's being done?

Rather than asking homeowners to gather quotes entirely on their own, the program pools interest and uses that collective buying power to secure lower prices.

Eligible homeowners who register with the co-op will get a personalized offer, and Nov. 18, 2026, is the deadline both to sign up and to accept one.

"While the cost of so many things keep going up, this is a great way to keep your heating and cooling costs low for years to come," Schwarz concluded in the release.

For people who want to explore financing, Palmetto could be the answer. Its Comfort Plan includes $0-down options that can lower heating and cooling costs by up to 50%, along with 12 years of free maintenance. 

And for homeowners thinking even bigger, pairing solar panels with electric appliances such as efficient HVACs can push utility costs down further. EnergySage makes it easy to find the best solar system and installer for your home and budget, with the potential to save up to $10,000 on installations.

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