A geothermal heat pump installation cost may fall somewhere between $15000 to $25000. These are the sums that you should have in mind when you plan the budget for this pump’s installation at your place.
However, there is a variety of factors that share a huge influence on the cost. The place where you live and the type of pump you want to install can be real game-changers. Similarly, if you want to get these pumps installed for your home or industry, it is entirely a separate debate that can make significant changes in its installation cost.
We have come up with a guide to explain all the important factors by breaking them down to make it easier for you. Keep scrolling to read further;
Factors Affecting the Cost of Geothermal Heat Pump:
Numerous factors can skyrocket the cost of geothermal heat pumps. Before you invest in these pumps’ installation, skim through the below discussion. This will help you get a clearer idea;
System Size and System Capacity
Technology has become advanced enough to offer varieties in the geothermal heat pump. It all depends on the system size your pump has and the place where you live. A rough estimation of the geothermal heat pump installation cost can range from $20000 to $25000 if your pump weighs around 5 tons.
Moreover, the horizontal loops cost you around $15000 if you are looking for something that comes more under the budget. It is because these loops require drilling of only 2 to 3 feet which means their installation does not involve that much trouble.
For the people looking for larger system capacity, the vertical ones are ideal for you. They will cost more but the massive energy Geothermal Heating Pumps Produce will Give You an Advantage to cover all your energy needs. Their prices are greater because for them you have to install a whole borehole. This is why it is a better choice for the industrial level.
Home and System Size
Let us break it down to you by sharing the per-ton installation cost of a geothermal heat pump which ranges somewhere between $4000 to $8000.
Now the biggest misconception people have about using these pumps in homes is that their cost depends on the number of rooms in a house. This is not the right way to generate an ideal quote for its installation. Instead, you have to focus on the area your house covers.
For instance, a regular home in the US depicts an area of 2400 square feet. This is an ideal home to work with a geothermal pump of 4 tons. In this case, you will have to pay around $32000. This is the amount that you can rely on while designing the budget for this pump’s installation at your place.
We know that this can be a whopping amount so let us tell you the ideal estimation for a small house. If your house is 1100 square feet this means that you will not have to pay more than $15000. This is something you can rely on if you have a tight budget.
Types of Heat Pump System
Let us discuss with you two main types of the heating pump system. The first one is the closed-loop geothermal system that comprises plastic pipes. These pipes are buried deep in the ground and require only a small amount of solution.
This solution is repeatedly used to generate huge amounts of energy. The Special Feature Of this Geothermal Heating Pump is that it costs around $30000 which is the biggest sum you can think of while planning for the geothermal heat pump installation cost. This is the super expensive one and only people with large-scale energy needs invest in it.
Afterwards, we have the open loop system. This is the type that is mostly used in hydraulic cylinders. Now if we talk about its price, it will cost you around $10000. This is why it is considered a cheaper option for people who want an economical geothermal heat pump.
The ground conditions affect the geothermal heat pump installation cost especially when you want to install ground loops. This is because the hard soil makes it tricky for the installers to dig through it.
For this reason, they rely on expensive machinery as a last resort. All this adds to the main installation cost of this pump. Also, if the area is not a large one, moving the machinery around will give a hard time to the people you have hired for the job.
They will charge you more, ultimately, leading to a higher installation cost.
Let us break down this technical jargon for you. The energy efficient ratio is a term that comes from the metric system which is used to calculate the power of a geothermal heat pump.
This system works by taking the amount of heat that is removed from your home and dividing it by the amount of electricity that was used up during the process. This is the basic understanding that you should have when you are out to purchase these pumps. An ideal figure that you should look out for ranges somewhere between 13 to 18.
It is good to know that the higher the EER, the more you will have to pay.
Installation Location and Complexity
Installation location is the one decisive factor that beginners usually fail to take into consideration. It is obvious that when you have a system that you want to install around your home, it is going to cost less. If you can provide the installers with smooth and even ground, without stubborn layers of rocks, the installation will be a piece of cake.
On the other hand, if you want to go for a whole system that needs a separate pond. You can imagine how much of a toll it is going to take on your budget. This is why it is important to share your desired location with the professionals before you start the installation process.
Frequently Asked Questions About Geothermal Systems:
Are Geothermal Heat Pumps Worth the Money?
Geothermal heat pumps are worth the money because they are the cheapest source to generate a whopping amount of energy. It also checks the damage done to the environment while working.
Can I Install a Ground Source Heat Pump Myself?
You cannot install a ground source heat pump yourself since it requires a properly designed plan for the installation. This is what is needed the most to increase its efficiency.
How Long Does It Take For Geothermal To Pay For Itself?
It takes a geothermal 3 to 10 years to pay for itself. The pump might cost you a fortune at the time of its installation but once everything is running smoothly, it is worth every buck of your money.
Is There a Tax Credit For Geothermal Heat Pumps?
There is a 30% federal tax credit for geothermal heat pumps. This is the tax that will be observed all across the US till 2032. This is why it is important to keep the taxes in mind while you plan the installation of these heat pumps.
What is the Tax Credit For Geothermal Heat Pumps in 2023?
The tax credit for geothermal heat pumps in 2023 has increased from 26% to 30% since January of this year. This is going to remain effective till December of 2032. It also varies from the different types of geothermal heat pumps.
How Much Does a Geothermal Heat Pump Installation Cost Per Square?
A geothermal heat pump installation cost per square ranges from $10000 to $30000. It can also leap up to $45000 if you go for the closed loop system. The more attachments you use with the pump, the higher the price will get.
How Much Does an Open-Loop Geothermal System Cost?
An open-loop geothermal system can cost as little as $10000. It may sound rather costly but compared to the other types, this one tends to be the cheapest one among geothermal heat pumps. This is because they do not require any trenching or burying which saves the cost of labor force.
Our Take on Heat Pump Installation Cost:
The geothermal heat pump installation cost can vary between $15000 to $25000. It all depends on the budget you have and the purpose of the installation of these pumps.
For homes, you can rely on an open open-loop type of pump. It will cost you less and provide you with enough energy to serve the purpose.
Similarly, for the industrial scale, the closed-loop system is the better choice. Moreover, if you wish to install this pump on a rocky terrain, be ready to see the cost increase at a bullet’s speed.
This is why it is important to consult a qualified installer so that you can have a clear idea about how much the pump installation might cost you.