Heat pump cost in Maryland
Estimated yearly heating and cooling cost for a 2,000 sq ft Maryland home: $2,322 with a heat pump, $1,451 with gas heat and AC. 21.3¢ electricity makes the heat pump about $871 a year dearer to run in Maryland.
What it costs to install
National guides price a 2,000 sq ft air-source heat pump at $10,000–$20,000+ installed; we don't have Maryland-specific figures. The tier we'd quote first here (heating climate) is 18–19 SEER2 / 9–10 HSPF2, at $11,000–$18,000+.
Source: HomeGuide, “How much does a heat pump cost?” (2026).
Operating cost vs gas
| Heat pump heat, 7.5 / 9.5 HSPF2 | $2,053 / $1,621 |
| Heat pump cooling, 14.3 SEER2 | $269 |
| Furnace, 95% / 80% AFUE | $1,182 / $1,403 |
| AC at 14.3 SEER2 (Southeast min) | $269 |
| Heat pump vs furnace + AC | $2,322 vs $1,451 |
Running cost penalty: $871 a year. The case for a heat pump here rests on replacing two systems with one.
21.3¢/kWh (EIA, July 2026 YTD); gas $1.55/therm (EIA 2025, $16.14/Mcf at 1,039 Btu/ft³). Energy only; estimates.
FAQ
What does a heat pump cost installed in Maryland?
National estimate: $10,000–$20,000+ for 2,000 sq ft. Local bids decide it.
What's the break-even power price in Maryland?
About 12.3¢/kWh for a 7.5 HSPF2 heat pump against a 95% furnace at $1.55/therm; prices would need to fall about 9.0¢ from Maryland's 21.3¢ average. A 9.5 HSPF2 unit would heat for $1,621 a year.
Can I still claim 25C for a heat pump?
The 25C credit ended with 2025: it applied to qualifying heat pumps placed in service through December 31, 2025 (30%, max $2,000 a year), and 2025 claims required a Qualified Manufacturer Identification Number. Nothing federal applies to a 2026 install. Source: IRS: Energy Efficient Home Improvement Credit.
Will a heat pump keep up in a Maryland winter?
Standard units lose capacity in deep cold; with 4,563 heating degree days, choose a cold-climate model or keep gas backup.
Maryland climate
NOAA's 1991–2020 record: 4,563 HDD and 1,140 CDD for Maryland. That means heating dominates, so winter efficiency decides the outcome. Jan's degree days imply a monthly mean near 34°F (rough approximation); standard heat pumps lose capacity in deep cold and lean on electric backup, so our HSPF2 figures are optimistic here and a cold-climate model is the safer pick.
Size for the winter load and confirm cooling isn't far oversized, or keep a furnace for the coldest days (dual fuel).
Monthly comparison
| Month | HDD | CDD | Heat pump | Furnace + AC |
|---|---|---|---|---|
| Jan | 969 | 0 | $436 | $251 |
| Feb | 810 | 0 | $364 | $210 |
| Mar | 662 | 1 | $298 | $172 |
| Apr | 319 | 3 | $144 | $83 |
| May | 109 | 69 | $65 | $45 |
| Jun | 2 | 228 | $55 | $54 |
| Jul | 0 | 374 | $88 | $88 |
| Aug | 1 | 316 | $75 | $75 |
| Sep | 30 | 134 | $45 | $39 |
| Oct | 262 | 15 | $121 | $71 |
| Nov | 562 | 0 | $253 | $146 |
| Dec | 838 | 0 | $377 | $217 |
Nearby states
| State | Heat pump | Furnace + AC | Break-even |
|---|---|---|---|
| Virginia | $1,724 | $1,349 | 12.7¢ |
| Delaware | $1,917 | $1,380 | 12.2¢ |
| West Virginia | $1,793 | $1,219 | 10.0¢ |
| Maryland | $2,322 | $1,451 | 12.3¢ |
| Pennsylvania | $2,698 | $1,556 | 11.5¢ |
See also: AC running cost in Maryland · 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.