Heat pumps are rapidly becoming the go-to solution for home heating and cooling, with a new study highlighting their surging adoption worldwide.
According to a 2024 World Economic Forum report titled Fostering Effective Energy Transition, heat pumps are now outpacing traditional furnaces and boilers as the top home heating solution globally.
Heat pumps have gained global attention as a superior alternative to conventional heating and cooling systems, offering a high-efficiency way to regulate indoor temperatures year-round.
While the initial installation costs can be high, heat pumps are much cheaper to operate long-term compared to gas furnaces and electric resistance heating. Studies have found that households can reduce their heating and cooling costs by 30-60% annually, translating to thousands of dollars in savings over time.
💡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.
Additionally, heat pumps are one of the most effective tools for reducing your home's negative impact on the environment. Traditional heating systems are typically gas-powered, but this energy source produces planet-warming pollution when burned. That's not to mention the environmental damage caused during the extraction of it and the fact it releases chemicals that can be harmful to health.
Meanwhile, unlike furnaces and air conditioners that generate heat or cool air separately, heat pumps transfer heat rather than create it, making them a more sustainable option.
This efficiency has led to a boom in installations, with governments worldwide supporting the transition through incentives and policy shifts.
In the U.S., the Inflation Reduction Act provides significant financial support for homeowners looking to install heat pumps. Qualifying households can receive up to $8,000 in point-of-sale rebates under the High-Efficiency Electric Home Rebate program, plus an additional $2,000 in tax credits under the Energy Efficiency Home Improvement program — totaling up to $10,000 in savings.
These incentives make heat pumps one of the most accessible upgrades for improving home energy efficiency.
However, the future of these subsidies is uncertain. President Trump has repeatedly expressed opposition to clean energy incentives and has signaled an intent to roll back IRA-related funding. While major changes to the IRA would require congressional approval, experts suggest that homeowners looking to take advantage of these rebates should act sooner rather than later.
For those considering an upgrade, the EnergySage Heat Pump Marketplace provides an easy way to compare systems, find local installers, and explore available financial incentives. As the market for high-efficiency home solutions expands, heat pumps are proving to be a key player in the future of greener living.
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.
Cool Picks
