When it comes to heating your home, you’ve got options. But if you’re like many homeowners, you might be wondering: Should I go with a traditional furnace or switch to a heat pump?

At B.A.P Heating & Cooling, I get this question all the time. And the answer? It depends! Both systems have their advantages, and the best choice for you depends on your home, budget, and climate.

Let’s break it all down so you can make the smartest decision for your heating needs.

1. How Do Furnaces and Heat Pumps Work?

Before we compare efficiency and cost, let’s go over how these systems actually work.

Traditional Furnaces: The Workhorse of Home Heating

✔ Uses natural gas, propane, or electricity to generate heat
✔ Heats air and distributes it through ducts
✔ Works well in cold climates and runs independently from an AC

Furnaces are a solid choice if you live in an area with harsh winters since they provide strong, consistent heat even in extreme cold.

Heat Pumps: A 2-in-1 Solution

✔ Uses electricity to transfer heat rather than generate it
✔ Works as both a heater and an air conditioner
✔ Best for mild to moderate climates

A heat pump doesn’t create heat; it moves it. In winter, it pulls heat from the outside air and brings it inside. In summer, it reverses to cool your home just like an air conditioner.

2. Energy Efficiency: Which One Saves More?

If energy efficiency is a priority for you (and let’s be honest, who doesn’t want lower bills?), heat pumps have the edge—but only in the right climate.

🔥 Furnaces:
✔ Gas furnaces have an AFUE rating (Annual Fuel Utilization Efficiency). Newer models are 80-98% efficient, meaning almost all the fuel gets converted into heat.
✔ Electric furnaces are 100% efficient, but because electricity costs more than gas in most areas, they’re less cost-effective.

🌡️ Heat Pumps:
✔ Heat pumps are 300-400% efficient because they transfer heat instead of generating it.
✔ In milder winters, they cost much less to operate than a gas furnace.
✔ But in freezing temperatures, they become less efficient and might need a backup heating source.

👉 Bottom Line: If you live in a place with mild winters, a heat pump will be cheaper to run. If you live in an area with freezing temps, a furnace might be the better choice.

3. Installation & Upfront Costs

💰 Furnace Installation Cost:
✔ Gas furnace installation typically costs between $3,000 – $7,000, depending on the size and efficiency rating.
✔ If you already have ductwork, it’s usually a straightforward install.

💰 Heat Pump Installation Cost:
✔ Heat pumps cost more upfront—typically $4,000 – $10,000 for a whole-home system.
✔ However, since they replace both your heater and air conditioner, you save on buying separate systems.
✔ Ductless mini-split heat pumps (great for homes without ductwork) can be cheaper per unit, but you may need multiple units for a large home.

👉 Bottom Line: Furnaces cost less upfront, but heat pumps can save you money in the long run—especially if you need both heating and cooling.

4. Maintenance & Lifespan

Keeping your heating system running efficiently requires maintenance, but the level of upkeep varies between furnaces and heat pumps.

🛠 Furnace Maintenance & Lifespan:
✔ Needs annual maintenance to check burners, gas lines, and filters.
✔ Can last 15-20 years with proper care.

🛠 Heat Pump Maintenance & Lifespan:
✔ Needs bi-annual maintenance since it runs year-round (for heating & cooling).
✔ Typically lasts 10-15 years, slightly shorter than a furnace.

👉 Bottom Line: Furnaces tend to last longer, but heat pumps require more frequent maintenance since they work all year.

5. Which One Should You Choose?

It all comes down to your climate, budget, and home setup.

✔ Choose a Furnace If:
✅ You live in an area with harsh, freezing winters
✅ You already have natural gas hookups
✅ You want a lower upfront cost

✔ Choose a Heat Pump If:
✅ You live in a mild or moderate climate
✅ You want a high-efficiency, all-in-one heating & cooling system
✅ You’re looking for long-term energy savings

Still not sure which one is right for you? That’s what we’re here for! At B.A.P Heating & Cooling, we specialize in helping homeowners find the best heating solution for their needs.

📞 Call us today at (519) 835-4858 for a free consultation!
💻 Visit our website at www.bapheating.ca to schedule an appointment.