April 7, 2025
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Air-source heat pumps (ASHPs) are among the hottest trends in home HVAC. These systems are similar to air conditioners but also provide highly efficient heating. The potential downside to some ASHPs is that they have a cold-weather point at which they’re no longer as efficient. Hybrid heating (dual-fuel heat pump) is the solution, as it combines an ASHP with a mid-efficiency, typically fuel-burning, furnace. When it’s too cold for the ASHP to be efficient, the furnace provides the heating instead.

Con: There May Be Higher Equipment and Installation Costs

If you have an existing furnace that’s efficient with a long expected lifespan remaining, adding a heat pump to the system is not particularly expensive. If it is time to replace the furnace and upgrade to a new, more efficient one, the initial purchase for a furnace plus a heat pump will be higher than an HVAC system with a furnace and a central air conditioner. It will cost more because a heat pump can heat and cool.

Con: More Complexity and Maintenance

Dual-fuel heat pumps are inherently more complex because there are two core systems working together. There are also additional systems to consider, such as smart thermostats, outdoor temperature sensors, and, potentially, zone control equipment. More complexity means there’s more opportunity for something to go wrong. While all HVAC systems need seasonal maintenance, hybrid heating needs more of it. During a fall tune-up, a technician has to service the heat pump and the furnace.

Con: Larger Installation Footprint

Relative to a standalone furnace, a dual-fuel heat pump has a larger installation footprint. Furnaces are typically packaged indoor systems that include a blower, combustion equipment, and ventilation. The heat pump can share the ductwork and blower with the furnace but adds other equipment, including refrigerant lines. You also have to add an outdoor compressor unit that houses a condenser fan, pump, and coil.

Pro: Higher Energy Efficiency

The standard gas furnace has an annual fuel utilization efficiency of approximately 80. That means it successfully converts 80% of the fuel it burns into heat that reaches the living spaces. That furnace will lose the other 20% through the flue, ducts, and other inefficiencies. Heat pumps use electricity, which is usually more expensive than gas. The difference is that a heat pump can convert that electricity into heat at an efficiency between 300% and 400%. That means that it can provide cheaper heat most of the time. In the average setup, a heat pump meets 85% of a household’s heating needs, and the furnace meets the other 15%. That makes a significant difference in annual cooling costs and a household’s carbon footprint.

Pro: Cheaper Than a Geothermal Heat Pump

An ASHP transfers heat to and from the ambient air. The potential downside to that is the limited heat energy in the air during winter. However, low-climate heat pumps are available that operate well at temperatures well below freezing, but you will still want to connect these to a furnace for extreme temperature dips. Ground- and water-source heat pumps, on the other hand, have access to more abundant and consistent heat energy. That means they can provide efficient heating throughout the winter, so there’s no need for a furnace. Throughout most of the world, the temperature below the frost line remains in the 50’s all year long.

Pro: Lower Total Cost of Ownership

While dual-fuel heat pumps cost more initially, they save money over time. The Department of Energy estimates between 30% and 60% savings during the winter. That’s a considerable amount spread over the life of the equipment. A heat pump and a furnace will last longer than a standalone furnace and save that way as well. The other consideration is energy incentives. There is, for instance, a federal heat pump rebate available, potentially worth $4,000 or $8,000, depending on your income level.

Dual-Fuel HVAC System Installation in Bellevue and Glenwood

Apollo Heating & Air Conditioning is an HVAC company with locations in Bellevue, NE and Glenwood, IA. Our technicians install furnaces, heat pumps, hybrid heating, and many other HVAC technologies. We install, repair, clean, and seal ductwork.

Our team also installs smart thermostats, whole-home humidity control equipment, and in-duct air purification systems. Call Apollo Heating & Air Conditioning today or contact us online with questions or to set up an in-home installation consultation.

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