Heating and air conditioning service costs depend on your project and location. Check with a local pro for your specific job.
The average Indianapolis home needs a heat pump with a 3-ton capacity.
Hybrid systems offer a backup source for reliable heating during the area’s cold winters.
A heat pump permit costs about $185 for homes up to 2,500 square feet.
Heat pump costs in Indianapolis, Indiana, average $5,433, with costs ranging from $3,970 to $6,970 for parts and labor. The final cost depends on multiple factors, such as the type of heat pump and the size of your home. Indianapolis experiences a wide range of temperatures and weather throughout the year, so combining heating and cooling into one appliance, a heat pump, is convenient for homeowners here.
A heat pump transfers heat to efficiently heat or cool your home, rather than relying on fuel to generate heat. This is a cost-saving way to maintain comfortable temperatures inside your home, ideal for a city like Indianapolis, where temperatures vary widely throughout the year.
Thinking of installing a heat pump for your Indianapolis home? The cost of a heat pump depends on several different factors, from the square footage of your home to the type of heat pump you install.
It’s important to get the right size heat pump based on your home’s square footage. If you get a system that’s too small or too large, it won’t run efficiently, ultimately wasting more of your money.
With a median home size of 1,900 square feet, a 3-ton-capacity heat pump works best. Consider the following heat pump size recommendations based on square footage, but let an HVAC pro in Indianapolis, Indiana, find the best fit for your heating and cooling needs.
| Heat Pump Capacity in Tons | Home Size in Square Feet | Average Cost Range |
|---|---|---|
| 2 | 1,000 | $1,575–$4,650 |
| 2.5 | 1,500 | $3,310–$5,810 |
| 3 | 2,000 | $3,970–$6,970 |
| 3.5 | 2,500 | $4,640–$7,480 |
| 4 | 3,000 | $5,300–$7,990 |
| 5 | 3,500 | $6,620–$9,000 |
Heat pumps both heat and cool your home and can be ducted or ductless. They work similarly to air conditioners, but heat pumps can reverse the cooling process and also warm your home.
The type of heat pump is an important consideration for Indianapolis homeowners. While a heat pump can offer reliable cooling in the summer, the below-freezing temperatures of Indiana’s winters mean many homeowners want a hybrid system. Hybrid heat pumps include a backup heat source, often gas, to offer consistent heating even on the coldest days of the year.
Consider the following costs, pros, and cons of different types of heat pumps available for Indianapolis homeowners.
| Heat Pump Type | Average Cost Range | Pro | Con |
|---|---|---|---|
| Air-source | $1,575–$8,000 | Lower cost | Less efficient in cold climates |
| Hybrid | $2,500–$10,000 | Provides consistent heat in cold climates | Higher maintenance |
| Ground-source | $6,000–$20,000 | Long lifespan | Difficult installation |
| Water-source | $10,000–$20,000 | Eco-friendly | Requires body of water on property |
Heat pumps come with different efficiency ratings, with higher SEER, or Seasonal Energy Efficiency Ratio, equating to bigger energy savings over time. In Indianapolis, all cooling systems (including a heat pump) must have a minimum SEER of 14. Higher SEER ratings cost more up front, but high- and premium-efficiency systems offer more savings and may also qualify for more rebates.
| SEER | Average Cost Range |
|---|---|
| Standard efficiency (14–15) | $1,575–$3,970 |
| High efficiency (16–18) | $3,970–$6,970 |
| Premium efficiency (19+) | $6,970–$9,000 |
Before you move forward with a heat pump installation, hire a pro to check your HVAC ducts. Ductwork lasts 10 to 25 years, but any leaks or damage could lead to costly energy bills, even with a heat pump. In Indianapolis, air duct replacement costs $220 to $1,181 on average.
Although air-source models are most common, you may also be considering a geothermal heat pump for even bigger energy savings. In order to install a geothermal system, you’ll need to spend $1,842 to $5,594 on the cost of land excavation to lay the ground loop.
Installing a heat pump in Indianapolis costs $75 to $125 per hour, per worker, with air-source and hybrid heat pumps taking about half a day to two days to install. Ground- and water-source heat pumps require land prep or drilling, increasing the project timeline up to a few weeks.
Your HVAC contractor will also include permit fees in the project total. The pro will need to secure a permit from the city’s Department of Business and Neighborhood Services. A permit for a heat pump costs $185 for a system covering 2,500 square feet, plus $23 for each additional 1,000 square feet.
A heat pump can increase the value of your Indianapolis home by up to 7% because many buyers seek out energy- and cost-saving HVAC solutions.
In addition to increasing home value, heat pumps offer year-round savings. According to the U.S. Department of Energy’s National Renewable Energy Laboratory, Indiana residents save an average of $1,023 to $1,332 per year on energy costs by installing a ductless or ducted heat pump.
Home is the most important place on earth, which is why Angi has helped more than 150 million homeowners transform their houses into homes they adore. To help homeowners with their next project, Angi provides readers with the most accurate cost data and upholds strict editorial standards. We survey real Angi customers about their project costs to develop the pricing data you see, so you can make the best decisions for you and your home. We pair this data with research from reputable sources, including the U.S. Bureau of Labor Statistics, academic journals, market studies, and interviews with industry experts—all to ensure our prices reflect real-world projects.
Want to help us improve our cost data? Send us a recent project quote to [email protected]. Quotes and personal information will not be shared publicly.
I first hired this company to run new duct work, a furnace, and a heat pump. It was done timely, professionally, and exactly how I wanted. Once I moved, I asked them to come out and replace my electric furnace and AC unit. When they came out, they told me my AC unit was fine and saved me...
Freeman Air Solutions LLCIn June 2020, the A/C was not working. M & B told us we needed a control panel, which was not available for installation and had to be ordered. System was direct wired to run constantly in the interim. Fast forward several calls and months later with still no control panel, and we contacted M...
I have used HAVN Heating & Cooling several times for service and recently a new furnace, they always provide quality work at a fair price. I always recommend HAVN to friends and family.
HAVN Heating and CoolingBlake was very professional and extremely knowledgeable about what needed to be done. I called for a repair, but found out I needed to replace my system. He took the time to answer all my questions and explain the process. I plan on using Masters Heating & Cooling for all my future HVAC needs.
From Tammy in the office to system designer Jake Snyder to head technician Tim the folks from Irish Air were GREAT when I needed a second opinion on possibly needing a new heat pump. They saved me thousands of dollars. I can’t recommend them highly enough for sales or service. They are my new...
Irish Air Heating & Cooling LLCMy heat pump/AC unit stopped working mid morning the day I was going to leave on vacation. I called Bassett to see if by chance someone could make it out that day, or at least I could get on their schedule right when I returned. She checked with one of their service crew to see if he could...
Bassett Services IncIrish air is definitely my go to for any hvac issues I have. They are quick to respond and easy to schedule with. They are easily able to find out what issue you are having with your system. They give you options on fixing the issue. I believe that they are extremely honest and fair. Will...
Irish Air & HeatingHeater would not blow warm air on the coldest day of the year. Called them at 9 AM and had a new blower motor and warm air by noon. Price was $500 for motor, picking it up at supplier and installation. Technician Mike was courteous, friendly and explained the problem. I would hire them again....
Quality Control Plumbing Heating & AirSystem works fine. Thermostat regulates heating and cooling temperatures very well. System installation is overpriced even with gift card and other promotional discount offers.
Sears HVACAdam Beardens replaced my air conditioning system - replacing both the inside and outside portions of the system. He responded when my appointment with another company was actually cancelled on me after a week of waiting for repairs and a fifteen year service relationship (Summers). Mr....
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