It's easy to forget that hot water doesn't magically appear from the faucet — and in fact, the energy that goes into heating it is one of the more expensive aspects of owning a home.
That's why many homeowners have migrated to heat pump water heaters (HPWH) in recent years. As opposed to traditional fuel-burning systems, HPWHs operate by drawing thermal energy directly from the surrounding environment to heat water. This both lowers a household's pollutive footprint and makes HPWHs vastly more efficient than other systems.
Critically, with improved efficiency comes lower costs for homeowners.
EnergyStar rates HPWHs as three to four times more efficient than traditional oil, propane, and natural gas heating systems. Heat pumps are also more efficient than electric resistance systems; the U.S. Department of Energy estimates them to be two to three times more efficient by comparison. This translates to roughly $550 in savings per year for the average household, EnergyStar calculated, slashing utility bills without the need to make any lifestyle changes.
For homeowners looking to make the switch, the federal Inflation Reduction Act offers a number of incentives to make the installation more affordable. It currently offers a tax credit that allows homeowners to claim 30% of the project cost, up to $2,000 per household. And because President Trump has threatened to cut funding for at least several parts of the IRA, many homeowners are moving quickly to maximize potential savings. Ultimately, however, the bill would require an act of Congress to eliminate it.
States and localities also offer additional rebates and incentives, often reducing costs even further.
The HPWH you install can also make a difference in how much you save over time. For example, Cala's smart heat pump water heaters utilize advanced smart home technology to customize their usage for each household, optimizing energy savings and lowering pollution. Each Cala home enjoys hot water exactly when it needs it, without wasting money — and energy — as it heats up during low-use hours.
|
Which of these factors would most effectively motivate you to buy a heat pump? Click your choice to see results and speak your mind. |
Lower energy bills 💰 
Join our free newsletter for easy tips to save more and waste less, and don't miss this cool list of easy ways to help yourself while helping the planet.
💡Save thousands with a heat pump
A heat pump can save you thousands of dollars in heating and cooling costs — but first you have to find the right installer at the right price.
Use EnergySage's free tool today to find local options, compare prices, and see how much you can save.
The Cool Down may receive a commission on signups made through links on this page, but we only promote partners we vet and believe in. For more cool tips like this one, check out our solutions marketplace here.
Cool Picks
