Heat pump cost in Georgia
It's nearly a tie in Georgia (within $13 a year). For 2,000 sq ft we estimate $1,207 a year with a minimum-efficiency heat pump versus $1,221 for a gas furnace plus central AC.
Yearly running cost in Georgia
| Heat pump heat, 7.5 / 9.5 HSPF2 | $913 / $721 |
| Heat pump cooling, 14.3 SEER2 | $294 |
| Furnace, 95% / 80% AFUE | $926 / $1,100 |
| AC at 14.3 SEER2 (Southeast min) | $294 |
| Heat pump vs furnace + AC | $1,207 vs $1,221 |
Energy savings: about $13 a year (3rd of 48 states).
15.4¢/kWh (EIA, July 2026 YTD); gas $1.98/therm (EIA 2025, $20.42/Mcf at 1,032 Btu/ft³). Energy only; estimates.
Installed cost (estimate)
We have no state-level installation data, so these are national estimates: about $10,000–$20,000+ installed for a 2,000 sq ft air-source system. Given Georgia's mixed climate, start with the 16–17 SEER2 / 8–9 HSPF2 tier, which HomeGuide prices at $8,000–$15,000+.
Source: HomeGuide, “How much does a heat pump cost?” (2026).
Climate and sizing
Georgia averages 2,807 heating degree days (41st of 48) and 1,725 cooling degree days (NOAA, 1991–2020). In practice, both seasons matter, which suits a heat pump that replaces furnace and AC at once. Jan's implied mean, roughly 44°F (degree-day approximation), is within what most modern heat pumps handle with little backup heat.
Heating and cooling loads are comparable; have a Manual J check both, and consider a variable-speed unit.
Neighboring states
| State | Heat pump | Furnace + AC | Break-even |
|---|---|---|---|
| Florida | $815 | $875 | 19.6¢ |
| Georgia | $1,207 | $1,221 | 15.6¢ |
| South Carolina | $1,214 | $1,048 | 12.9¢ |
| Alabama | $1,289 | $1,114 | 13.4¢ |
| North Carolina | $1,303 | $1,123 | 12.4¢ |
| Tennessee | $1,317 | $940 | 9.1¢ |
Questions
How much is a heat pump in Georgia?
About $10,000–$20,000+ for 2,000 sq ft (national estimate, HomeGuide). Get three local bids.
What electricity price makes a heat pump beat gas in Georgia?
About 15.6¢/kWh for a 7.5 HSPF2 heat pump against a 95% furnace at $1.98/therm; Georgia's 15.4¢ average is already below it. A 9.5 HSPF2 unit would heat for $721 a year.
Is there a federal heat pump tax credit in 2026?
Not for 2026 installs. The federal 25C credit (30%, up to $2,000/yr for qualifying heat pumps) covered property placed in service from 2023 through December 31, 2025; 2025 installs also needed the manufacturer's QMID on the return. Source: IRS: Energy Efficient Home Improvement Credit.
Month by month
| Month | HDD | CDD | Heat pump | Furnace + AC |
|---|---|---|---|---|
| Jan | 662 | 8 | $217 | $220 |
| Feb | 499 | 6 | $163 | $166 |
| Mar | 360 | 24 | $121 | $123 |
| Apr | 147 | 37 | $54 | $55 |
| May | 36 | 166 | $40 | $40 |
| Jun | 1 | 328 | $56 | $56 |
| Jul | 0 | 433 | $74 | $74 |
| Aug | 0 | 404 | $69 | $69 |
| Sep | 7 | 242 | $44 | $44 |
| Oct | 132 | 64 | $54 | $54 |
| Nov | 379 | 9 | $125 | $126 |
| Dec | 584 | 5 | $191 | $194 |
Related: AC running cost in Georgia · heat pump vs gas furnace calculator · heat pump cost by state
Sources: EIA electricity and natural gas prices, NOAA nClimDiv, U.S. DOE regional standards. Model: 2,000 sq ft, average insulation; methodology.