Heat Pump Installation
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Install ducted, ductless or cold-climate heat pumps. Tell us about your heat pump project and we’ll help you find local heat pump installers who serve your area.
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A heat pump heats your home in winter by drawing heat from the outdoor air or the ground and moving it inside, and cools it in summer by doing the reverse. Because it moves heat instead of making it by burning fuel, it is a very efficient way to heat, and it replaces a central air conditioner at the same time.
Heat pump installation includes choosing the right type for the house, sizing it for your heating needs, placing the outdoor unit where snow and ice won't smother it, running refrigerant lines and wiring, and setting up the controls so the heat pump and any backup heating work together. Refrigerant and high-voltage work must be done by licensed technicians.
Newer cold-climate models keep heating well into a Canadian winter, but most homes still keep some form of backup for the coldest nights, whether an existing furnace, electric baseboards or heating elements in the air handler. This page explains the types of heat pumps, how a heat pump compares with a furnace, dual-fuel systems, sizing, the installation process and how incentive programs generally work.
Types of heat pumps: air-source, cold-climate, ductless and geothermal
- A central air-source heat pump connects to your ductwork, with an outdoor unit and an indoor coil at the furnace or air handler.
- A cold-climate air-source heat pump uses a variable-capacity compressor and is designed to keep producing useful heat at much lower outdoor temperatures than older models.
- A ductless mini-split pairs one outdoor unit with one wall-mounted indoor unit, which suits homes heated with baseboards, additions and finished basements.
- A multi-split connects several indoor units to one outdoor unit so each area can be controlled separately.
- A ground-source, or geothermal, heat pump uses a loop buried in the yard or a well, and needs drilling or excavation along with a larger budget of time and planning.
Heat pump vs furnace: how they compare in a Canadian winter
A furnace creates heat by burning gas, propane or oil, or with electric elements, and its output does not depend on the weather. A heat pump moves heat that is already outside, so it delivers more heat than the electricity it uses, but its capacity and efficiency drop as the outdoor temperature falls. Natural Resources Canada notes that newer air-source models have a minimum operating temperature somewhere between -15°C and -25°C, below which another heat source has to take over.
- Heating: a furnace gives steady output in any cold, while a heat pump is most efficient in mild and moderately cold weather.
- Cooling: a heat pump also air-conditions the house, while a furnace needs a separate air conditioner.
- Comfort: a heat pump runs longer at lower output and delivers air that feels less hot at the register than a furnace's.
- Service life: Natural Resources Canada gives air-source heat pumps a service life of 15 to 20 years and ground-source systems about 20 to 25 years.
- Safety: a heat pump burns no fuel in the home, so it produces no carbon monoxide itself, though any fuel-burning backup still does.
Dual-fuel heat pumps and backup heat for the coldest days
In a dual-fuel, or hybrid, system a heat pump handles most of the heating and a gas or propane furnace takes over when it gets colder. Natural Resources Canada describes two switch-over points: the balance point, below which the heat pump can no longer meet the home's heating needs on its own, and the economic balance point, below which running the furnace costs less given local energy prices. The two do not run at the same time, and the controls decide which one is working.
Homes without a furnace use electric backup instead, either heating elements in the air handler or the existing baseboards. Whatever the backup, ask the installer to set it up so it only comes on when needed; backup that starts too early erases much of the savings, while backup that is missing or undersized can leave the house cold during a deep freeze.
Sizing a heat pump for heating, not just cooling
Heat pumps used to be sized like air conditioners, for summer cooling, which left them too small to carry much of the winter heating. Natural Resources Canada recommends sizing the system to cover the majority of the household's annual heating energy, with peak loads met by a supplementary system. That starts with a heat loss calculation for the house, the local winter design temperature and the heat pump's rated output at cold temperatures, not just its nominal size.
If the heat pump is too small, the backup heating runs much more often. If it is too large, it cycles on and off in milder weather, which hurts comfort and efficiency. Variable-capacity cold-climate models give more room for error because they slow down when less heat is needed.
How a heat pump installation works
- The installer assesses the house, the ducts or the rooms that need wall units, and whether the electrical panel has room for a new circuit.
- The outdoor unit goes on a raised stand or wall bracket above expected snow levels, away from roof drip lines and where defrost water can drain without freezing on a path.
- Indoor units or the indoor coil are mounted, and refrigerant lines, the condensate drain and control wiring are run between the indoor and outdoor units.
- A licensed refrigeration technician pressure-tests the lines, evacuates them and charges or releases the refrigerant according to the manufacturer's instructions.
- The electrician connects the dedicated circuit, and the thermostat or controls are set up to coordinate the heat pump with the backup heat.
- The system is started in heating and cooling, and the installer shows you how to use the controls and clean the filters.
How heat pump rebates and incentives work
Heat pump incentives come from federal, provincial and utility programs, and they open, change and close often, so check what is available where you live before you sign a contract. Most programs share a few conditions: the model must appear on the program's list of eligible equipment, often ENERGY STAR certified or rated for cold climates; the work must be done by a properly licensed contractor; and you must keep invoices and photos of the equipment's nameplate. Some programs require an energy evaluation before the work, while others take applications only after installation.
In Quebec, Hydro-Québec's LogisVert program was accepting applications when this page was reviewed. It supports ENERGY STAR certified heat pumps, with more support for cold-climate models, requires an installer holding the appropriate Régie du bâtiment du Québec licence, and asks you to apply after the installation, within nine months. Confirm the current conditions on Hydro-Québec's site, since they can change.
Heat pump maintenance through a Canadian winter
- Natural Resources Canada recommends changing or cleaning the air filter every 3 months and having a qualified contractor service the unit every year.
- After each snowfall, clear snow from around and on top of the outdoor unit, and never chip ice off the coil with a tool.
- Keep the space under the outdoor unit open so defrost water can drain away instead of building up as ice.
- Steam rising from the outdoor unit during a defrost cycle in cold weather is normal, but ice encasing the whole unit calls for a technician.
- Keep registers and indoor wall units unobstructed, since poor airflow can shorten the equipment's life.
Heat Pump Installation: frequently asked questions
Do heat pumps work in a Canadian winter?
Yes, especially cold-climate models, which keep heating at much lower temperatures than older units. Their output still drops as it gets colder, and every air-source model has a minimum operating temperature, so most homes keep a furnace or electric backup for the coldest stretches.
Do I have to remove my furnace to install a heat pump?
No. A central heat pump is often added to a working furnace, which then becomes the backup in a dual-fuel system. If the furnace is near the end of its life, the installer can replace it with a new furnace or with an air handler that has electric backup heat.
Can I get a heat pump if my house has no ducts?
Yes. Ductless mini-split and multi-split heat pumps use wall-mounted indoor units connected to an outdoor unit by small refrigerant lines. They are a common choice in homes heated by electric baseboards, which then stay in place as backup heat.
Will my electrical panel handle a heat pump?
A heat pump needs its own circuit, and electric backup heat adds more load. The installer or a licensed electrician should check the panel's capacity and free spaces during the assessment; some older homes need a panel or service upgrade first.
Are there rebates for installing a heat pump?
Often, but they vary by province and change over time. Check current federal, provincial and utility programs before you sign, confirm that the model and the installer qualify, and find out whether you must apply before or after the work. In Quebec, Hydro-Québec's LogisVert program was open when this page was reviewed.
Where should the outdoor unit go?
On a raised stand or wall bracket, above the usual snow depth, out from under roof edges where water and ice fall, and with clearance around it for airflow and service. Placing it away from bedroom windows and property lines also keeps its sound from bothering anyone.
Sources
Written by the LokalMatch editorial team. Last reviewed September 10, 2026.
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Ontario
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Quebec
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What affects the cost of heat pump
Prices depend on the details of your project. We only publish price ranges when they’re backed by real LokalMatch quote data or reliable sources. Until then, here’s what usually changes the price:
- Type of system and fuel source
- Size and efficiency of the equipment
- Condition of the existing ductwork and venting
- Electrical or gas line changes
- Access to the furnace room, attic or outdoor unit location
- Removal and disposal of the old equipment
- Emergency or after-hours service
How to compare heat pump installers before you hire
- Hire a technician who is licensed for heating, cooling and gas work in your province.
- For a new system, ask for a load calculation for your home rather than a size based on the old unit.
- Get written quotes that list the equipment, ductwork changes, removal of the old unit and any electrical work.
- Ask how they handle service calls and repairs after installation, including in the middle of winter.
- Compare the full scope of each quote, not only the equipment on it.
Questions to ask heat pump installers before you hire
- Are you licensed for this type of heating, cooling or gas work in my province?
- How did you decide what size of system my home needs?
- Does this installation need a permit, and will you take care of it?
- What does the manufacturer's warranty cover, and what does your labour warranty cover?
- Will you need to change the ductwork, venting or electrical to make this work?
- Do you offer maintenance plans, and what do they include?
- How quickly can you respond if the system stops working?
When to call a pro for heat pump
- If you smell gas, leave the home and call your gas utility's emergency line from outside.
- If a carbon monoxide alarm goes off, get everyone outside and call emergency services.
- No heat in cold weather, or a furnace that keeps shutting off
- Unusual noises, burning smells or a big jump in energy use
Heat pump permits and local rules
Some heat pump work needs a permit or has to meet local bylaws. Rules vary by municipality, so ask your pro whether a permit is needed and who will apply for it — and check with your city or town if you’re unsure.
Permits and licensingSeasonal maintenance
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