Heat Pumps vs Gas Furnaces — Which Is Better for Your Home?
For decades, gas furnaces ruled home heating. But today’s high-efficiency inverter heat pumps — with SEER2 ratings reaching the mid-20s and HSPF2 near 10 — are changing the game. Let’s break down how these systems compare in comfort, cost, and performance.
How Each System Works
Gas furnaces burn natural gas or propane to create heat, which is distributed through ducts by a blower motor. Simple, powerful, and time-tested.
Heat pumps don’t generate heat — they move it. In heating mode, they extract warmth from the outdoor air (even in cold weather) and transfer it indoors using refrigerant and a compressor cycle. In cooling mode, they work just like an air conditioner.
Efficiency Ratings Explained
- SEER2 (Seasonal Energy Efficiency Ratio 2): Measures cooling efficiency. Modern inverter-driven heat pumps now reach SEER2 ratings of 20–25+.
- HSPF2 (Heating Seasonal Performance Factor 2): Measures heating efficiency. Top-tier systems achieve HSPF2 9–10+, meaning they produce 3–4 units of heat energy for every 1 unit of electricity used.
- AFUE (Annual Fuel Utilization Efficiency): Used for furnaces. A 95% AFUE furnace converts 95% of gas into heat — excellent, but it can’t exceed 100% because it burns fuel.
Comparing Efficiency
| System Type | Cooling Efficiency | Heating Efficiency | Fuel Type |
|---|---|---|---|
| Standard Heat Pump | 15–17 SEER2 | 7.5–8.5 HSPF2 | Electric |
| Inverter Heat Pump | 20–25 SEER2+ | 9.5–10.5 HSPF2 | Electric |
| High-Efficiency Gas Furnace | — | 95–98% AFUE | Natural Gas/Propane |
While furnaces are capped below 100% efficiency, inverter-driven heat pumps can achieve 300–400% efficiency equivalents (producing up to four times the heat energy they consume in electricity).
Inverter Technology: The Game Changer
Traditional systems run at full power or not at all. Inverter compressors adjust speed dynamically, maintaining steady indoor temperatures while using far less power. Benefits include:
- Up to 40% lower energy use compared to single-stage systems.
- More consistent comfort — no temperature swings or hot/cold blasts.
- Quieter operation due to variable fan and compressor speeds.
- Longer lifespan with fewer hard starts and stops.
Cold-Climate Performance
Old heat pumps struggled below 40°F — but not anymore. Advanced inverter models can heat effectively even at -5°F to -15°F outdoor temperatures. Many now include integrated crankcase heaters, enhanced refrigerant flow controls, and cold-weather defrost algorithms.
Pairing a heat pump with a small backup furnace or electric strip heat creates a dual-fuel system — maximizing efficiency in all seasons.
Operating Costs
- Electricity vs gas: In areas with low electric rates or high gas prices, heat pumps usually cost less to run year-round.
- Maintenance: Heat pumps require biannual tune-ups; furnaces need annual inspections and more frequent filter changes.
- Lifespan: Furnaces typically last 15–20 years, while inverter heat pumps average 12–15 years — though fewer moving parts often mean fewer repairs.
Environmental Impact
Heat pumps are the clear winner in sustainability — zero on-site combustion means no carbon monoxide and fewer greenhouse gas emissions. Combined with clean electricity sources, they offer one of the most eco-friendly home heating solutions available.
When a Gas Furnace Still Makes Sense
- Extremely cold regions where electric rates are high and gas is cheap.
- Homes with existing gas infrastructure that would be costly to remove.
- Large, drafty homes with poor insulation or ductwork not designed for heat pumps.
When to Choose a Heat Pump
- Mild or moderate climates where heating and cooling are both needed.
- Homes without natural gas service or where electricity is affordable.
- Homeowners wanting lower carbon emissions and higher long-term efficiency.
- New builds or remodels that support ductless or variable-speed systems.
FAQ
Are heat pumps efficient in cold weather?
Yes. Modern inverter-driven systems maintain high output even in sub-freezing temperatures. Many models operate efficiently down to -15°F.
What’s the highest SEER2 available?
As of 2025, top-tier variable-speed heat pumps from major manufacturers offer SEER2 ratings in the 23–25+ range with HSPF2 up to 10.5 — delivering year-round efficiency gains of 40% or more over legacy systems.
Is it cheaper to run a heat pump or gas furnace?
In most U.S. regions with moderate electricity costs, heat pumps are cheaper to operate annually, especially inverter models that modulate power output based on demand.
Related reads:
Seasonal HVAC Maintenance Checklist ·
Understanding Refrigerants & EPA Rules
Shop the basics:
Heat Pumps ·
Gas Furnaces ·
Thermostats & Smart Controls