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 |  | Heat Pump Only: $3,500-$7,500 |  | Complete System, Installed: $10,000-$25,000+ |
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Also called ground-source or geo-exchange, a geothermal heat pump is an electrically powered heating and cooling system that transfers heat between the house and the earth by circulating fluid through long loops of underground pipe. Heat pumps do not generate heat; instead, they move it around, and temperatures just below the ground surface are relatively constant all year. A geothermal heat pump works best in relatively mild climates.
Typical costs: | - Geothermal heat pumps have high initial costs but are one of the most energy-efficient methods of heating A geothermal (ground-source or water-source) heat pump can cost $3,500-$7,500 for just the unit, and the more expensive models may include options such as a two-stage compressor or a hot water heater.
- Excavation and installation costs can bring total costs to $10,000-$25,000 or more, depending on depth of pipes, type of equipment and soil conditions. CostHelper readers report spending $12,000-$15,000 for complete installation of a geothermal system, at an average cost of $13,400; and a reader in Iowa spent $35,000 to install three geothermal units (one for each floor of a 6,500-square-foot barn which was converted into a bed and breakfast).
Related articles: Heat Pump, Air Heat Pump, Dual Fuel Heat Pump, Furnace, Central Air Conditioner
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What should be included: | - Generally the entire geothermal heat pump and all mechanical components are located in an indoor unit (somewhat similar in appearance to an air conditioning unit). Typically a geothermal heat pump is inexpensive to operate and has no noisy outdoor equipment. The US Department of Energy provides a general overview[1] of the various types of geothermal heat pumps.
- Installing a geothermal system usually involves digging holes 150'-250' deep. Pipes can be buried in soil, installed under a water source (such as a lake) or bored inside a rock shelf. An average installation takes 1-3 days, but this varies considerably depending on the length and depth of the pipes, soil conditions and the type of equipment required. Generally, installing a geothermal heat pump requires professional training and is not encouraged as a do-it-yourself project, since poor installation techniques can hurt the system's efficiency. House-Energy.com provides a brief installation overview.
- Terms such as "ground-source" or "geothermal" are often used interchangeably, but some argue[2] that true geothermal systems take heat directly from natural sources (i.e. hot springs, geysers, volcanic hot spots) and are generally used for larger commercial or industrial sites, while ground-source heat pumps are reversible air conditioners that use groundwater or the soil to cool and heat a home or other building.
Discounts: | - Utility companies and other agencies may pay a rebate on an energy-efficient ground-source heat pump; check with the local power company or search for rebates listed at EnergyStar.gov[3] .
- Energy Star-rated ground-source heat pumps may qualify for a federal tax credit[4] of 30% of the cost through 2016.
Shopping for a geothermal heat pump: | - The US Department of Energy provides guidelines[5] for selecting and installing a geothermal heat pump system. Find manufacturers and local contractors in the GeoExchange directory[6] .
- Get several estimates, making clear what is included in each quote. Request and check references; ask about the contractor's length and type of experience; and be sure the company is properly bonded, insured and licensed.
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CostHelper News
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7 Lesser-Known Discounts for the 50+ Crowd
As they age, members of the Baby Boomer generation don't like to admit that they're senior citizens, but they love getting discounts. It's kind of a quandary, because some of the best deals available are reduced prices for older folks. || Posted October 21 2013
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7 Ways to Stretch Your Reduced Food Budget
End of the year budgets are tight for everyone, especially in this economy.It's especially hard for the millions of Americans who depend on government programs like food stamps to help make ends meet. || Posted November 11 2013
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What People Are Paying - Recent Comments |
| Posted by: Gary Williams in Yukon, OK. | Posted: March 7th, 2019 09:03PM |
| Brand: ClimateMaster | Model: TEV038BGD02CLTS |
| Installer: SunTech Heat and Air |
The WaterFurnace equivalent model was $4,200 in 2009. Even it was a replacement for the original when the house was built in 2002. This time I definitely now think I got a raw deal here. In 2027 or so I better get prices before the next box fails. In case the price has again increased by five times what is was. Maybe I was just a patsy. At any rate, with high repair costs I can almost guarantee that I'm not saving any money by having a geothermal unit. |
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| Posted by: jason a artis in Lowell, MA. | Posted: August 27th, 2018 07:08PM |
| Brand: hydron modules | Model: |
Prices have skyrocketed since all of the rebates.
i'm in the new england area.
1300 square foot two story house with spray foam R-30 insulation in the attic and R-15 in the walls.
Quote1 = 2-ton 1 vertical closed loop well, ducting installed along with on demand hot water = $35,000
Quote2 = 2x 2-ton with 2 vertical closed loop wells, no ducting(connecting attic to basement), on demand hot water = $69,998
softquote = can be done for less than $50,000
but the rebates galore will cut most of those prices in half or more... i feel like these are inflated to be just above traditional HVAC systems or Mini-Splits. Still looking for a reasonable installer |
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| Posted by: BillT in North Bend, WA. | Posted: February 19th, 2018 03:02AM |
| Brand: waterfurnace | Model: |
| Installer: unknown |
I am an HVAC service tech, been at it for 35yrs. I live in Washington state. Constantly come across bad designs and installations. Very few HVAC contractors know how to properly design and install Geothermal systems. DO YOUR HOMEWORK check references verify their work and certifications. Much easier than fixing after installed. Came across a system that had the loop piping laying on ground under house, and installer out of business This cost almost as much to fix as install. |
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| Posted by: Mark Gosser in Hockessin, DE. | Posted: January 28th, 2017 01:01PM |
| Brand: Water Furnace | Model: NDV072 |
| Installer: N/A |
New construction 2009, 3500sf home, 6 ton unit with four wells 300ft deep closed loop. The unit has work flawlessly for seven years with the exception of one bad part in the controls about three years ago. The part cost was $200. The initial cost to install I thought was crazy but 30%tax credit plus I have a 3.0 solar system that helps with electric bill. My electric bill averages $150 a month and in the summer time around $80 plus my house is all electric. I have a family that leaves lights on all the time so I think the system does very well. Would l replace with a new geothermal unit probably not due to the cost unless they have gone down considerably. I will probably install a high efficiency unit. |
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| Posted by: Mark Gosser in Hockessin, DE. | Posted: January 27th, 2017 09:01AM |
| Brand: Water Furnace | Model: NDV072 |
| Installer: N/A |
New construction 2009, 3500sf home, 6 ton unit with four wells 300ft deep closed loop. The unit has work flawlessly for seven years with the exception of one bad part in the controls about three years ago. The part cost was $200. The initial cost to install I thought was crazy but 30%tax credit plus I have a 3.0 solar system that helps with electric bill. My electric bill averages $150 a month and in the summer time around $80 plus my house is all electric. I have a family that leaves lights on all the time so I think the system does very well. Would l replace with a new geothermal unit probably not due to the cost unless they have gone down considerably. I will probably install a high efficiency unit. |
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| Posted by: G550 Pilot Examiner in Savannah, GA. | Posted: October 2nd, 2016 06:10AM |
| Brand: FHP / Carrier | Model: Florida Heat Pump |
| Installer: Local Vender |
We live in a 3000 sq ft single level home, and we're in the process of accepting bids for a new 5 Ton Outdoor 2 Stage Compressor and Variable Speed Air Handler System. Looking at Trane, and Waterfurnace. WF manufactures Trane, so the best Installer and Best price will be the answer. Look at Bosch (which bought out FHP), too. Been in the house for 30 years and had always had an open loop system, 15 gpm from a well, and dumps into a lake in the back yard. Inlet temp is around 70 degrees F.
System has worked great over the years, but looking for newer technology (2 speed compressor and Variable speed air handler), and 30% tax credit before end of year. Have accomplished all available energy savings upgrades to reduce electrical cost: Foam sprayed attic, replaced all lighting with LED (including Florissant lighting) energy insolated windows. Our energy cost (all electric) average around $130 per month.
Please share if you have any experience with WF or Trane. |
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| Posted by: Full Nelson in Park Rapids, MN. | Posted: June 13th, 2016 12:06PM |
| Brand: GeoSource | Model: 2000 Vertical Unit |
| Installer: Arnie Nieme |
Trying to find out what the cost of both the unit and installation for a GeoSource 2000 Vertical Unit in 2001. Found out they give a 30% tax credit which expires at the end of 2016. Was not aware of. |
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| Posted by: Coasttal in Savannah, GA. | Posted: March 24th, 2016 08:03AM |
| Brand: Bosch | Model: TA System |
| Installer: Housley Engineering |
I design geothermal systems. My own is 3 years old and works like a charm. I have 9 wells, at 300 ft. each. Each well is properly installed and properly grouted. All piping is sized properly. I have no backup heat and I get in the winter 120F air from the registers and very cold air during the summer. My supply and return water temperature rise no more than 5F even when hammered hard. I heat to 72F and cool to 70F. I am a registered mechanical engineer. When you are going to spend this kind of money on a system, get an engineer to do the design. Particularly one like me that is registered with the states I do business in and also certified geothermal designer. There are alot of good HVAC guys, but they are not engineers. |
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| Posted by: William E. Schuyler in Camden, NC. | Posted: January 31st, 2016 09:01AM |
| Brand: Florida Heat Pump | Model: GTO 48 |
| Installer: Rick Gilbert/Doug Williams |
Little things like water circulation pump going bad, leaking fittings, etc. Now compressor bad.
Warranty was for 5 years, labor 1 year. which is ridiculous as any savings is eaten up by cost of repairs. FHP has been bought out by Bosh. I ended up changing whole system out to Water Furnace. |
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| Posted by: larry deeter in sherwood, AR. | Posted: September 3rd, 2015 07:09PM |
| Brand: train | Model: 2.5 ton |
I have one that has run 20 years. I had a problem with air getting in the loop and had to purge it a couple times. I finally added a home made expansion tank. One time lighting caused the capacitor to go out on the loop pump but I had a spare. Main unit has never been worked on. I expect it to die some time even thought of changing it out at spring or fall so as to never have an outage in bad weather. It is hard to believe how many people have had so much trouble.
I have a 2.5 ton on 2000 feet house. It runs constant on 95 or hotter days but it should. I actually don't remember the cost as its been 20 years, but cost was not much. Three 200 foot vertical bores were drilled. I think I will next spring pull out the unit and install a new one and put in a 3 ton. |
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| Posted by: Ripped off by Fulfords in Shallotte, NC. | Posted: July 20th, 2015 06:07PM |
| Brand: Bosch | Model: |
| Installer: Al Fulford Heating and Air |
Spent lots of money getting 6) wells at 200 feet each for the units. They were installed in 2011 and the first two years were great. the third year the evaporator starting leaking on one unit and the recirculation pump needed replacement. It cost $550 for the repair under the ten year warranty. Now the other unit is out and I was told today that the unit needed replacement costing me $5800 because the manufacture discontinued that line and I would be require to make up the difference of the new unit. If you are looking for a unit near the southern cost of North Carolina do not use Fulford's heating and air because the manufacture they use do not stand behind their warranties. |
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| Posted by: don godin in mckinney, TX. | Posted: April 13th, 2015 11:04PM |
| Brand: n/a | Model: n/a |
I'm a Heating A/C Technician. They are Required in
Canada and reduce costs when temps are above 35 F but I see the incorrect installation all the time.
Even with regular Heating a/c they size & design
systems wrong, let alone adding a symbiotic piece to a system! It ALL MUST be designed right from the start else the owners NEVER get the payback & really it costs them far more due to the lack of knowledge, It so sad because if Canada made it a law, there's many benefits to this set-up but like
anything else, it MUST be done right the 1st time!
I'm about to install just the piping to keep my
fish in an "Aquaponic Garden" kept at the same temps, yr round!! A couple of drilled holes & some plastic pipe in the hole w/ a pump is the equipment & the Earth does the temp control! But
many"Yahoo's" are working on these w/o certiifications which would help them to do it right!!? peace & good luck!! |
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| Posted by: Dissapointed in Michigan in Rose city, MI. | Posted: March 20th, 2015 12:03PM |
| Brand: Water furnace 5 series | Model: |
| Installer: CPH hale, MI |
Heating costs run up 330/month in a house we don't even live in when we keep the heat at 65 degrees. Definitely not the savings we expected. When we are there, we run a fireplace insert day and night to keep the costs down. Would I put geothermal in again? Not if natural gas was available... We pay less in out home where we are living and cooking and cleaning and keeping very warm. The company was seemed very knowledgeable, but we feel unit was undersized for home, another company would have placed a 3 ton unit, ours is smaller...our home is 1880 sq. feet. |
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| Posted by: LISAM in Simpsonville, SC. | Posted: January 31st, 2015 06:01PM |
We purchased a home built in 1992 with a Geo-Thermal. We were so excited, now we are Not impressed. Yes it is quieter, but the savings are not significant. Every year we have an issue and very few companies work on them. We have had so many issues with the AC we have been saving to have it replaced this Spring. Knowing what I know today, if building, or considering this type of system I would go with the good ole' traditional system. I agree with some other people, the savings will never outweigh the costs. We have a 2800 sq. ft. home, high ceilings 10 ft. in bedrooms and 16-20 in living areas but our costs for heat and ac are ALWAYS close to $200 and that is with heat continually set at 66 and AC at 77. |
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| Posted by: tjm in Benton City, WA. | Posted: December 31st, 2014 04:12PM |
| Brand: Econar | Model: GeoSource 2000 |
| Installer: Dayco |
This was the cost for the unit only which we purchased in Michigan. Econar has since been bought out. We dug our own hole, put in the piping and charged the system. Contractor did air ducts and installation in new construction. This unit ran without issues for 17 yrs. Our heating/air conditioning bills ran $15 to $30/mo depending on the season. We are now replacing unit only with a Water Furnace 5 Series for $17,000 including tax. I think this cost is high for just the unit, but we don't have the power available for a conventional heat pump. Hopefully, we will recoup the cost in energy savings and the tax credit. |
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| Posted by: alktjeklj in Pittsburg, KS. | Posted: April 9th, 2014 10:04AM |
| Brand: Bard | Model: Geotec |
| Installer: Vinardi Heating and Cooling |
We built a new home near Pittsburg, KS and moved in on 10/5/13. We installed a 4 ton unit with horizontal loops. We have closed cell spray foam in the walls and open cell in attic along with all new energy efficient appliances, doors and windows. We didn't know what to expect but our electric bills for December, January, and February were all over $350. We are currently heating and cooling about 1850 square feet. The installing HVAC finally came and the unit is drawing about 16 amps which is on the low end of what is expected. We were told "oh, geothermal is the way to go...it costs pretty much nothing to run". Needless to say, we are disappointed in the efficiency. The only comparison we have are houses similar to our size that have air source heat pumps with heat strips as the supplemental and there bills are the same as ours. Bard is looking into it but I guess we'll see what they find out. |
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| Posted by: Tom and Joyce Frame in Coeur d Alene, ID. | Posted: November 21st, 2013 01:11PM |
| Brand: Water Furnace | Model: EO72TR111NBD55A |
| Installer: R and R Heating & AC |
We live in a 5000 sqft home with a 6 ton unit installed. The compressor, a pump and the thermal expansion valve have all failed. Consultants says the the loop field was significantly undersized. Warranty reduced by installer from 10 yr to 5 yr. |
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| Posted by: Homer Bailey in Cass City, MI. | Posted: March 18th, 2013 07:03PM |
| Brand: Water Furnace | Model: Premier |
| Installer: Newton Plumbing and heating |
Our Aux. heat continues to run costing us around $350.00 last month, A repairman from B&D Heating checked the unit and did a test which he said showed that the inlet and outlet temp. are about the same, and that our field is full of ice cristals. We have 360 ft. 4 lines out and in, and the seperation was about 3 ft. top to bottom. Our unit has had an impeller and a compressor replaced within the last 4 years yet it never cost us over $150.00 per month in the coldest winters in Michigan. Is the repairman right, and if so is there some way that I can install a pre heating unit on the inlet side prior to the furnace. Thanks |
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| Posted by: G. Etter in Waterloo, IA. | Posted: July 16th, 2012 06:07PM |
| Brand: Econar | Model: 3 unites GV 491, 591, 591 |
| Installer: Picar heating and cooling |
We converted a large barn into a bed and breakfast in 1997. We bought 3 unites, one for each floor of our 6500sq area. Our costs were pumped up due to the excavation company,whose services we will NEVER contract for again. We have a closed loop slinky system using 2 1/2 miles of special plastic pipe linked together to resemble a slinky.. buried 8 feet deep. There have been a couple small repairs in the past years, one due to the surging of electricity during a 2 week ice storm,ruining a thermister. Our electric bills have been very affordable. Today we have a problem with one of the unites 'blowing up' the master switch. We have not gotten it figured out, and our repairman Tri-County Refrigeration is contacting Econar tomorrow to see if we can find the problem. The compressor is kicking on when we replace the switch, but after turning off when it reached the desired temperature it burns up the master switch when it calls for cooling again. 3 of them, so far. Any ideas? |
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| Posted by: Dan Favata, CGD in Oklahoma City, OK. | Posted: May 17th, 2012 02:05PM |
As a certified geothermal contractor and trainer, I would like to add the following, the cost of the installation should not be the only factor considered when installing this system. Many non-certified and non-qualified companies are installing geothermals, and not properly designing and installing the system, loop field or required components. I spend a considerable amount of time doing "forensic" geothermal.Unfortunately, most cases require repairs in excess of the differential in initial cost estimates from the "high" bidder. Be sure that your installer has experience in installations and that they are (at a minimum) IGSHPA certified. Costs range from 4500 to 8500+ per ton depending on the dynamics of the installation. Please do your homework, and pay the difference upfront rather than on the back end over the long run. Just like automobiles, you can buy a cost effective model or you can buy one with a proven track record. |
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| Posted by: P. Dougherty in Muncy, PA. | Posted: April 10th, 2011 05:04AM |
| Brand: Water furnace, | Model: |
This unit has been in for three winters in central PA. It has work very well. Our electric bills are much lower by about 75% than with fossil fuel. We heat and cool about 3000 sq. ft. using three 150' well loops. We will be building a new second home & will have a well system like we currently have. |
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| Posted by: P. Dougherty in Muncy, PA. | Posted: April 8th, 2011 07:04PM |
| Brand: Water furnace, | Model: |
This unit has been in for three winters in central PA. It has work very well. Our electric bills are much lower by about 75% than with fossil fuel. We heat and cool about 3000 sq. ft. using three 150' well loops. We will be building a new second home & will have a well system like we currently have. |
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| Posted by: Ralf Armstrong in International Falls, MN. | Posted: March 24th, 2011 11:03AM |
| Brand: Tetco | Model: 4 Ton Unit |
| Installer: N/A |
New Construction(1994)2100 sq. foot bungalow on a 4 foot insulated(R22) crawl space. Also, R22 insulation in main floor walls and R60 in attic. Started the system in January 1994. It wouldn't heat the house above 65 with 1800 feet of lines installed 5 feet below ground. Was told it was because we installed the ground loops late in the year and ground had not settled yet. Also had an HRV hooked up to the cold air return to supply preheated fresh air to the house. HRV did make the unit work harder, but hey, you need fresh air in your house and an HRV also filters air and controls humidity. Furnace makers and designers should know that. Furnace compressor was noisy and gave us headaches. Switching valve had to be replaced the first year. Second year the fan motor had to be changed and I had to do it myself. I installed a good quality universal blower motor. Third year the compressor died and I had to pay my installer to install a higher quality compressor. The furnace ran well for 10 years after that. Heating was ok, but we still used a wood stove to take the chill out of the house in mid winter. Was told I should have had 1 foot of closed ground loop lines for every 1 sq.ft. of floor space. Too bad the installer wasn't told that by Tetco before he did my job. It was better for A/C than for heat. All in all, the cost was too high and the life expectancy of the unit is not long enough. By the time you pay for your investment and are ready to enjoy your energy saving you will have to do major replacements. Our Next home was a slab foundation with radiant heat "electric boiler" instead of a geothermal forced air system. I also put in a propane gas furnace for backup which includes the A/C forced air and duct work. HRV installed as well. Geothermal is way too much money and the life of the system is 15 years vs. 45 years for a good quality electric boiler. PEX tubing for radiant heat has a life expectancy of 100 to 600 years according to some scientists. |
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| Posted by: Colin Ritter in Berrien Springs, MI. | Posted: March 9th, 2011 03:03PM |
| Brand: WaterFurnace | Model: Premier AT |
| Installer: Water Furnace michiana |
I had this unit installed almost twenty years ago and I loved it. I have had a couple of repairs done but the warranty that came with the unit covered them. I have a 2500 sq.foot two story house in Michigan right where Lake effect storms can wreck havoc on our winter weather. my highest electric bill is around $100 all year round and I have no gas service in the house.
Now that Water Furnace is offering a buy back program on old equiptment whether that made it or not, I am defenitly changing out my unit for the new and improved version. Also with the government rebate incentive of 30% off the cost of replacement, my bill will be almost the same as installing a high effeciency furnace and air. |
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| Posted by: JERIMAH in MINOT, ND. | Posted: February 2nd, 2011 01:02AM |
| Brand: econar | Model: geo source 2000tm |
| Installer: NORTHERN PLAINS |
SYSTEM WAS INSTALLED IN 2002.i HAVE JUST STARTED TO HAVE PROBLEMS WITH IT.IN JULY THE REPAIR MAN CAME OUT AND SAID HE REPAIRED A PIN HOLE IN THE DISCHARGE LINE THAT THE UNIT WAS EMPTY 400.00.ON JAN 26 6 MONTHS LATER WE HAD THE REPAIR MAN OUT AGAIN.FOUND GEOTHERMAL UNIT EMPTY AND A PINHOLE LEAK ON DISCHRGE LINE.506.02. IM BEGINING TO BELIEVE THAT ALONG WIITH THE HIGH COST OFF INSTALLING THIS KIND OF SYSTEM AND THE COST OF REPAIRS.IT WOULD BE LESS EXPENSIVE TO GO WITH A CONVENTIONAL SYSTEM.IF I CONTINUE TO HAVE THESE HIGH REPAIR COSTS I WILL SWITCH OVER.IT IS FEB 1 AND MY SYSTEM HAS NOT SHUT OF FOR 3 DAYS .IT IS VERY COLD OUT .JUST DONT REMEMBER MY SYSTEM RUNNING THIS MUCH.I RECOMENED TO PEOPLE BECAUSE OF THE HIGH COST OF REPAIRS AND INITAL COST TO STAY WITH THE CONVENTIONAL SYSTEMS.AT THIS RATE BY IT COULD COST ME 1500.A YEAR IN REPAIR BILLS.GR ND |
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| Posted by: KEITH LEHMKUHL in HOUSE SPRINGS, MO. | Posted: July 10th, 2009 04:07PM |
| Brand: CLIMATEMASTER | Model: VT036 GSSSRTDDSH |
| Installer: WEST COUNTY HEATING AND COOLING |
IN 2002 I HAD A 3 TON CLIMATEMASTER GEO SYSTEM INSTALLED IN MY NEWLY BUILT HOME. EVERY YEAR THE SYSTEM WOULD LOCK UP IN THE MIDDLE OF WINTER. EVERYTIME THE INSTALLER COULD NOT FIND A PROBLEM. THE WELL TEMP. WOULD ALWAYS REACH EXTREM TEMP. IN SUMMER AND WINTER. THE SYSTEM WOULD RUN LONG AND LOUD. WAS LIKE NOISE POLLUTION IN MY HOUSE DURING THE WINTER MONTHS. FINALLY QUIT CALLING A REPAIR MAN. IT WAS COSTING TO MUCH TO MISS WORK AND PAY FOR SERVICE CALLS. JUST MADE DUE WITH A BAD UNIT,BY HEATING ONLY HALF THE HOUSE AND KEPT THE WINTER T-STAT SET AT 65 DEG. now 7 years later have had my hot water circulating pump quit working (out of pocket $500.00) and most recent a compressor quit working estimated cost of repair $3900.00 plus my missed work pay. (WOULD NOT RECOMMEND CLIMATEMASTER GEOTHERMAL UNITS) THEY ALSO OVER CHARGE FOR REPLACEMENT PART WHEN THE FAIL. |
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External Resources: | - energy.gov/energysaver/articles/geothermal-heat-pumps
- www.treehugger.com/sustainable-product-design/jargon-watch-geothermal-vs-ground-so...
- www.energystar.gov/index.cfm?fuseaction=rebate.rebate_locator
- www.ase.org/resources/energy-efficiency-home-and-vehicle-tax-credits
- energy.gov/energysaver/articles/choosing-and-installing-geothermal-heat-pumps
- www.geoexchange.org/findapro/index.php?option=com_content&view=article&id=200&Item...
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