heat pump package unit prices

The average cost of a packaged heat pump is $5,915. The low cost is $4,125 with a high cost of $8,200. These are direct replacement prices. When extras such as ductwork modification, a new thermostat, zoning controls and other changes are included, the price can approach $10,000.

Last Updated: Wednesday, January 12, 2022

How Much does a Packaged Heat Pump Unit Cost?


$4,125 – $5,385

Average Cost Estimate

$5,500 – $6,650


$6,800 – $8,200

Retail Cost $2,300 – $3,800 $3,900 – $4,775 $4,900 – $6,150
Efficiency 14 SEER 14 – 15 SEER 15 – 16+ SEER
Features Standard Standard or Premium Premium
Unit Size 2-4 Ton 3-5 Ton 4-5 Ton
Installation Location Ground Ground or Roof Roof
Parts Warranty 5 Years 5-10 Years 5-10 Years
Brand Rating Good | 2-3 Stars Better | 3-4 Stars Best | 4-5 Stars
Supplies $250 – $600 $700 – $1,000 $1,000+
DIY Installation Partial DIY Partial DIY or Pro Pro
Permit & Inspection $50 – $100 $100 – $150 More than $150

Sections: Overview | Product Costs | Installation Cost | DIY or Pro

Overview of Heat Pump Package Units

This Costimate provides detailed package heat pump cost information for the units, installation and extras.

Heat pump package cost factors are included to help you determine where in the price range your cost will fall.

Is a packaged heat pump your best option? There are pros and cons.

A package system is a common HVAC choice in homes without basements, especially in moderate and warm climates, or where interior space isn’t sufficient for the equipment. Packaged heat pump prices are lower than split system heat pump costs in most cases.

First, equipment and installation cost is lower because the components are housed in one cabinet instead of two. Also, packaged heat pumps are less efficient than many split system heat pumps, and that keeps cost down too.

The disadvantage, besides lower efficiency, is that all the equipment is subject to the elements, so often requires repair or replacement sooner.

In addition to cost factors below, you will find heat pump installation prices from around the web and actual costs submitted by other readers. Feel free to return to share your own package heat pump cost when your project is complete.

Packaged Heat Pump Cost Details

System Price Factors

While a system cost of $4,000 to almost $8,000 is a wide range, these factors will help you narrow down to a closer range, depending on features and other relevant factors an HVAC installer if going to consider when quoting your job.

  • Energy Efficiency – Packaged heat pumps list SEER and EER ratings for cooling and HSPF ratings for heating. The higher the ratings, the more efficient the unit and the higher the cost.
  • Unit Size – In any model or efficiency level, the larger the capacity, the higher the cost. Your options range from 24,000 to 60,000 BTU/hour, also know as 2-5 tons.
  • Two-stage Operation – A two-stage compressor runs at low speed, which is about 70% of capacity, most of the time. Many have variable-speed fans. These features improve indoor control of temperature and humidity. Low speed quieter. Two-stage packaged heat pumps cost $300 to $6,000 more than comparable single-stage models.
  • Brand Rating – Trane/American Standard, Lennox and Carrier/Bryant are considered premium brands and cost the most. Goodman/Amana are budget brands and cost the least. The rest are moderately priced.
  • Supplemental Heat – Most heat pumps are equipped with heat strips, like space heaters inside the air handler, to provide supplemental and emergency heat. Heat strips from 5kW to 20kW are common, and price rises with kW power.
  • Dual Fuel Models – A dual fuel model packaged heat pump is equipped with a gas furnace instead of an air handler. This is done for installation in cold climates where heat pumps lose efficiency in very cold temperatures. When the temperature falls into the 30s F, the system automatically switches from the heat pump to the furnace. Dual fuel packaged units cost $200-$500 more than comparable units without a gas furnace. The Trane Earthwise, Carrier Hybrid Heat and Goodman dual fuel packaged heat pumps are among the most popular dual fuel series.
  • Warranty – It’s difficult to determine what part in pricing a better warranty plays, but it probably raises cost to cover the manufacturer’s increased risk. Your options are either 5-year or 10-year parts warranties. Heil, Arcoaire and Day & Night are among the brands that also offer complete package unit replacement if the compressor or coil fail during the warranty period.
  • Removal and Disposal of Old HVAC Equipment – This can increase cost by several hundred dollars.
  • Demand at Time of Replacement – Each region of the country has slightly different busy/slow times. If you have to replace your system during the peak busy season, cost will be higher. We recommend proactively replacing an older package unit before it fails. This gives you control over when the job is done – and should help you get a lower cost during a slow season.
  • Cost of Living – You’re likely aware of the relative cost of living in your city or region. Equipment and installation cost reflects the general cost of living in your area.

Retail Cost Range (Packaged Heat Pump Only)

Goodman is one of the few brands that allow their packaged heat pump models to be sold online and at large home improvement stores. Most brands including Carrier, Bryant, Trane, American Standard and Lennox, do not. We mention that because Goodman prices are among the lowest, so not reflective of the whole range of products.

Regardless of the brand you choose, installation has a far bigger impact on the quality and longevity of your packaged unit, than any other factor.

  • $2,300 – $4,450| 14 or 15 SEER single-stage packaged heat pump
  • $3,000 – $5,200| 16 SEER single-stage packaged heat pump
  • $3,300-$5,725| 16 SEER two-stage packaged heat pump
  • $3,550 – $6,150| Dual fuel packaged heat pump

Cost of Installation Supplies

New installations require all the supplies listed. Replacements typically require some of the supplies. If the old package unit is 20+ years old, it might require replacing all the supplies accept ductwork.

  • $75 – $300 | Sheet metal for transition / plenum to return and supply air duct.
  • $40 – $760 | New Thermostat
  • $200 – $400 | Package unit pad for ground installation
  • $500-$850 | Package unit rack and sheet metal for sloped roof installation.
  • $65 – $115 | Electrical wire, and/or new breaker switch for connecting to power.
  • $35 – $100 | Miscellaneous screws, fasteners, mastic, tape etc.
  • $1,250 – $4,000+| New ductwork (if needed)
  • $1,000 – $2,750 | Zoning controls (optional)

Permits, Inspection, and Unit Installation Costs

A permit is required for the installation of a packaged heat pump, whether it is a replacement or installed in new construction. Most permits call for one or two inspections to ensure the work is done properly and the heat pump will operate safely.

  • $50 – $200 | Packaged heat pump installation permit with inspection(s)

Installation Labor Factors

Packaged heat pump installation cost is about $1,100 to $3,300 depending on a range of factors.

  • Ground or Roof – Roof installation usually requires hiring a crane/boom at a cost of $200-$500.
  • Installation of the Supplies and Extras – The more items from the supplies list above that are installed, the higher the labor cost will be.
  • Size of the Unit – Larger units sometimes require a larger crew, so cost is higher.
  • Removal and Disposal of Old HVAC Equipment – Labor costs are higher due to the one to two hours required to remove the old system. Disposal costs are $15 to $50+.

Installation Time

Installation in new construction and when ductwork is installed takes longer than when replacing an old unit with one very much like it.

  • 1-3 days | Install new ductwork, if needed
  • Up to 1 day | Prepare roof or ground and modify connecting ductwork or plenum, if needed
  • Up to half day | Remove old HVAC equipment
  • About 1 day | Install, connect and tune a new package unit

DIY or Hire a Pro

Package units are easier to install in some ways than split systems. There are no refrigerant lines to install, and the system comes precharged. In short, you don’t need a refrigerant handling license for most installations.

But there are a couple things to consider here. First, complete DIY installation voids almost every HVAC warranty in the industry. The manufacturers won’t warranty a unit installed, or at minimum, inspected by by someone that isn’t certified and licensed before the unit is started for the first time, so they don’t incur risks due to faulty installation.  This also protects the network of dealers selling and installing their products.

That is enough reason for most homeowners to choose pro installation. Since your HVAC system is a large investment – one of the 10 most expensive home repairs – it’s important to do it properly.

Secondly, you might be able to find an installer that will allow you to disconnect the old unit and set the new unit. Then they would  do the final connection, test and tune the system for your installation requirements and sign off on the installation. This might cut your installation labor costs in half and still give you warranty coverage. You’ll probably have to shop around for that kind of deal, but it doesn’t hurt to ask.

Rooftop installation is a different animal due to the equipment required and the inherent danger of working on a roof. We recommend leaving every aspect of packaged heat pump rooftop installation to the pros.

Photo of author

Author S Krone

A lawyer never retires. So I would just say that I am not as active as I used to be. Now I simply dedicate myself to fishing, my hobby, and my grandchildren. For Business Finance News I write about legal aspects of mortgage policies, mostly regarding the rights of policyholders. I also have articles about personal injuries.

Thank you for visiting businessfinancenews.com

Leave a Comment

Business Finance

About Us

Business Finance News is a brand oriented to business owners and dedicated to analyzing and comparing the cost and conditions of B2B procurement of goods and services through free quotes delivered by business partners.


Address 5050 Quorum Drive, (75254) Dallas TX

telephone 844-368-6072


A personal loan is a medium term loan with a fixed interest rate that is repaid in equal monthly payments and it's usually limited to 24 months. Loan offers and eligibility depend on your individual credit profile. Our lenders can help you obtain as much as $3,000 depending on the lender, your state and your financial situation.

The owner and operator of businessfinancenews.com is not a lender and is not involved into making credit decisions associated with lending or making loan offers. Instead, the website is designed only for a matching service, which enables the users contact with the lenders and third parties. The website does not charge any fees for its service, nor does it oblige any user to initiate contact with any of the lenders or third parties or accept any loan product or service offered by the lenders. All the data concerning personal loan products and the industry is presented on the website for information purposes only.

Businessfinancenews.com does not endorse any particular lender, nor does it represent or is responsible for the actions or inactions of the lenders. Businessfinancenews.com does not collect, store or has access to the information regarding the fees and charges associated with the contacting lenders and/or any loan products. Online personal loans are not available in all the states. Not all the lenders in the network can provide the loans up to $3,000. Businessfinancenews.com cannot guarantee that the user of the website will be approved by any lender or for any loan product, will be matched with a lender, or if matched, will receive a personal loan offer on the terms requested in the online form. The lenders may need to perform credit check via one or more credit bureaus, including but not limited to major credit bureaus in order to determine credit reliability and the scopes of credit products to offer. The lenders in the network may need to perform additional verifications, including but not limited to social security number, driver license number, national ID or other identification documents. The terms and scopes of loan products vary from lender to lender and can depend on numerous factors, including but not limited to the state of residence and credit standing of the applicant, as well as the terms determined by each lender individually. 


APR (Annual Percentage Rate) is the loan rate calculated for the annual term. Since businessfinancenews.com is not a lender and has no information regarding the terms and other details of personal loan products offered by lenders individually, businessfinancenews.com cannot provide the exact APR charged for any loan product offered by the lenders. The APRs greatly vary from lender to lender, state to state and depend on numerous factors, including but not limited to the credit standing of an applicant. Additional charges associated with the loan offer, including but not limited to origination fees, late payment, non-payment charges and penalties, as well as non-financial actions, such as late payment reporting and debt collection actions, may be applied by the lenders. These financial and non-financial actions have nothing to do with businessfinancenews.com, and businessfinancenews.com has no information regaining whatsoever actions may be taken by the lenders. All the financial and non-financial charges and actions are to be disclosed in any particular loan agreement in a clear and transparent manner. The APR is calculated as the annual charge and is not a financial charge for a personal loan product. 

Late Payment Implications

It is highly recommended to contact the lender if late payment is expected or considered possible. In this case, late payment fees and charges may be implied. Federal and state regulations are determined for the cases of late payment and may vary from case to case. All the details concerning the procedures and costs associated with late payment are disclosed in loan agreement and should be reviewed prior to signing any related document. 

Non-payment Implications

Financial and non-financial penalties may be implied in cases of non-payment or missed payment. Fees and other financial charges for late payment are to be disclosed in loan agreement. Additional actions related to non-payment, such as renewals, may be implied upon given consent. The terms of renewal are to be disclosed in each loan agreement individually. Additional charges and fees associated with renewal may be applied. 

Debt collection practices and other related procedures may be performed. All the actions related to these practices are adjusted to Fair Debt Collection Practices Act regulations and other applicable federal and state laws in order to protect consumers from unfair lending and negative borrowing experience. The majority of lenders do not refer to outside collection agencies and attempt to collect the debt via in-house means. 

Non-payment and late payment may have negative impact on the borrowers’ credit standing and downgrade their credit scores, as the lenders may report delinquency to credit bureaus, including but not limited to Equifax, Transunion, and Experian. In this case the results of non-payment and late payment may be recorded and remain in credit reports for the determined amount of time.