How Much Does a Heat Pump Cost in Minneapolis? [2026 Data]

Heat pump costs in Minneapolis, Minnesota, depend on the type, size, and efficiency rating of the heat pump, but they commonly range from $4,250 to $7,162. On average, you’ll spend $5,498 on heat pump installation here. If you’re curious to learn more about the factors that contribute to your overall costs, we’ve broken them down below.

Heat Pump Cost Factors in Minneapolis

If you’re trying to estimate your heat pump costs in Minneapolis, these are the most important factors to consider.

Type of Heat Pump

For homes, there are two main kinds of heat pumps: air source and ground source. Air-source heat pumps use air to transfer heat between the inside and outside of your home, while ground-source heat pumps use underground pipes.

Air-source models (which include mini-splits) are more popular and less expensive. On the other hand, ground-source units (also called geothermal heat pumps) cost more up front due to their more complicated installation process.

Size of Heat Pump

Your heat pump’s size is another influential factor. In this context, size refers to the heat pump’s heating and cooling capacity—either in tons or British Thermal Units (BTUs). Larger units are more powerful and can cool bigger spaces—and their heftier price tags reflect this. 

Here’s what you can expect to spend on an air-source heat pump, depending on its size (in tons or BTUs):

Efficiency Rating

Like furnaces and AC units, heat pumps are rated on how efficiently they use energy. However, since heat pumps are capable of cooling and heating, they have two different efficiency ratings: Seasonal Energy Efficiency Ratio (SEER) for cooling and Heating Seasonal Performance Factor (HSPF) for heating.

The highest-efficiency heat pumps—either in SEER or HSPF—are also the most expensive. However, since they require less electricity to cool or heat your home, high-efficiency units can reduce your utility bills.

Ductwork Replacement or Installation

In addition to the heat pump itself, you’ll also need ductwork to circulate warm or cool air through your house (unless you choose a ductless heat pump). 

If you’re replacing an old heat pump or another ducted system (like a furnace or central AC), your home should already have a duct system. However, if your ducts are leaking, worn out, or incompatible with your new heat pump, you’ll need to replace them. In Minneapolis, a ductwork replacement job costs between $370 and $1,227.

Don’t have ductwork in your home? You’ll need to install it. On average, new ductwork costs $3,000 to $7,500 per 300 linear feet.

HVAC Pro Costs in Minneapolis

Aside from the heat pump and ductwork, there are other expenses you’ll face when installing a heat pump in Minneapolis. Here’s what to know.

Licensing and Certification

Before you hire someone to install your heat pump, make sure they have the right qualifications for the job. While there’s no state-level HVAC licensing requirement in Minnesota, heat pump installers in Minneapolis must have a current HVAC Class A license from the city.

In addition, your HVAC pro in Minneapolis, Minnesota, will need a Section 608 Technician Certification to handle refrigerants, as required by the Environmental Protection Agency (EPA).

Finally, for extra peace of mind, consider hiring a NATE-certified technician to install your heat pump. To earn this voluntary certification, an HVAC pro must have real-world experience, pass a series of rigorous exams, and complete continuing education hours—so you’ll know they’re committed to high-quality work.

Permits

Heat pump installation falls under the category of mechanical work, which requires a permit in Minneapolis. Your contractor should pull the required permits for your project and pass along the fees to you. In Minneapolis, the cost of mechanical permits for existing homes ranges from $85 to $220.

Rebates

As a Minneapolis resident, there are a few ways to save on your heat pump costs. One option is to apply for a rebate from Xcel Energy and CenterPoint Energy, both of which offer incentives for installing energy-efficient heat pumps. Rebate amounts vary by utility, so ask your HVAC pro for more information.

Depending on the specifics of your project, you might also qualify for a bonus rebate from the city of Minneapolis, ranging from $1,000 to $4,000.

Does Installing a Heat Pump Increase Home Value in Minneapolis?

Yes. Since a heat pump can heat and cool, it serves as a complete HVAC system. A new HVAC system can boost your home’s value by 5% to 7%.

If you decide to sell your home, a dependable heating system is something that most buyers will expect—and a heat pump can provide that. While many older heat pumps would lose efficiency in chilly temperatures, modern models are designed to work well in cold climates (like Minneapolis).

How Angi Gets Its Cost Data

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. 

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