Heat Pump vs Heat Strip PTAC: Which One Saves You More Money?

Take care. Let’s cut the fluff. If you’re looking at PTAC units and stuck between a heat pump and an electric heat strip, you’re really asking one question:

“Which one is going to beat up my power bill less while still keeping people warm?”

Short answer:

• In most climates, a PTAC heat pump will save you serious money.

• In very cold climates or for backup heat, you still need heat strips in the picture.

In this guide, I’ll walk you through:

• Operating cost comparison (with real numbers)

• Heating performance differences

• Best climate use cases

• An efficiency chart you can screenshot and hand to your manager

I’ll keep it direct, because that’s how I like it — and how your budget likes it too.

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Heat Pump PTAC vs Heat Strip PTAC: Quick Definitions

Before we discuss dollars, let’s ensure we’re on the same page.

What’s a PTAC heat pump?

A PTAC heat pump is basically an air conditioner that can run in reverse. It moves heat instead of creating it. That “moving heat” part is why it’s so efficient — you can get 2–3 units of heat for every 1 unit of electricity (COP roughly 2–3 in mild weather). 

Key points:

• Heats and cools through a refrigerant loop

• Efficiency drops as outdoor temperatures fall

• Needs electric strip backup or another heat source in very cold weather

What’s an electric heat strip PTAC?

An electric heat strip PTAC is essentially electric resistance heating: think of a giant toaster coil inside the unit. It turns electricity straight into heat. Technically, it’s 100% efficient at the point of use, but you only get 1 unit of heat for 1 unit of electricity (COP ≈ 1). The Department of Energy's Energy.gov

Key points:

• Simple and cheap up front

• Great as backup or for short bursts

• Most expensive way to run long, steady heating on kWh cost

If you remember nothing else: heat pump = more heat per kWh, heat strip = most expensive heat per kWh.

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Operating Cost Comparison (Where the Real Money Is)

Let’s put real numbers on this so you’re not guessing.

I’ll use a simple scenario, Jake-style:

• PTAC size: 10,000 BTU heating

• Heating hours: 1,000 hours per year (typical light-to-moderate use)

• Electricity price: $0.15 per kWh (slightly above recent U.S. averages to stay conservative) 

Step 1: How many kWh do you burn?

1 kWh = 3,412 BTU of heat.

Electric strip PTAC (COP = 1)

• Heat needed per hour: 10,000 BTU

• kWh per hour = 10,000 ÷ 3,412 ≈ 2.93 kWh

• Over 1,000 hours: 2.93 × 1,000 = 2,930 kWh/year

Heat pump PTAC (average COP ~ 2.5 over the season)

• Effective heat per kWh = 3,412 × 2.5 = 8,530 BTU

• kWh per hour = 10,000 ÷ 8,530 ≈ 1.17 kWh

• Over 1,000 hours: 1.17 × 1,000 = 1,170 kWh/year

Already you can see the punchline:

• Heat pump: ~1,170 kWh/year

• Heat strip: ~2,930 kWh/year

That’s about 2.5× more electricity for the strip heat.

Step 2: Turn that into dollars

Using $0.15/kWh:

• Heat strip PTAC

  • 2,930 kWh × $0.15 ≈ $440/year

• Heat pump PTAC

  • 1,170 kWh × $0.15 ≈ $175/year

So roughly, you save about $265 per year per room by running a heat pump instead of strip-only in this scenario.

Got a 20-room motel, small senior housing building, or dorm floor?

• 20 × $265 ≈ $5,300 per year in potential savings.

That’s why many PTAC manufacturers and energy programs push heat pumps as the go-to when the climate allows it. You can dig deeper into cost comparisons in resources like PICKHVAC – Heat Pump vs. Electric Heat: Costs, Efficiency, Comfort, and Climate. 

Upfront cost vs operating cost

Typical reality:

• Heat pump PTAC: higher upfront cost (let’s say +$150–$300 per unit)

• Electric strip-only PTAC: cheaper to buy, brutal to run for long hours

With the simple math above, a heat pump PTAC can pay back that extra cost in 1–3 heating seasons in most moderate climates — even faster if your local kWh rate is higher.

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Heating Performance Differences (How They Actually Feel in the Room)

Money matters, but the room has to feel comfortable, too. Let’s talk performance.

1. Heat pump PTAC performance

Pros:

• Smooth, even heat. Feels less “blast furnace” and more steady comfort.

• Better humidity control in many setups.

• Generally quieter when running at a steady speed.

Cons:

• Heating capacity drops as outdoor temperatures fall.

• Below a certain outdoor temp (often in the 20s–30s °F / around -5 to 0 °C depending on the unit), the heat pump either:

  • Struggles to keep up, or

  • Hands off to the electric strip backup inside the PTAC. 

Manufacturers like GE explicitly call this out in their guidance — their PTACs with heat pumps rely on integrated electric strip heating for very low outdoor temperatures. You can see this in more detail at GE Appliances – Do I Need a Heat Pump or an Electric Strip Heating System?. 

2. Electric heat strip PTAC performance

Pros:

• Full heating output no matter how cold it gets outside (as long as power is on).

• Very fast warm-up — people feel the heat almost immediately.

• Simple design, fewer refrigerant-system issues.

Cons:

• Air can feel “dry” and a bit harsh during long runs.

• Comfort is often more “on/off blast” rather than smooth.

• The biggest one: operating cost spikes the moment it runs more than just occasionally.

Comfort summary

• For guests or tenants who hate cold spots: a properly sized heat pump PTAC with backup strip gives the best mix — efficient most of the time, reliable when it’s really cold.

• For rarely used spaces or very cold locations where the unit only cycles occasionally, strip heat might be acceptable. But you’ll still feel it on the bill if someone cranks it and leaves it.

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Best Climate Use Cases: Where Each Option Makes Sense

Here’s Jake’s climate-based cheat sheet.

Warm and hot climates (South, coastal, Sunbelt, similar)

Think: long cooling season, short mild winter.

• Heat pump PTAC is a no-brainer.

• You get efficient cooling in summer and cheap heating in winter.

• Strip heat should be there only as backup, not your primary heat source.

Energy programs like ENERGY STAR – Air-Source Heat Pumps highlight that heat pumps can slash heating costs compared with electric resistance or older systems in these conditions. 

Moderate / shoulder climates

Think: mixed seasons, some freezing but not Arctic-level.

• Heat pump PTACs still save a lot of money most of the season.

• On the coldest days, they’ll switch to or supplement with strip heat.

• You still come out ahead over the full year because most hours are in the efficient range.

For small hotels, multifamily, or assisted living in these regions, I almost always recommend heat pump PTACs with integrated strips:

• Run as a heat pump whenever outdoor temp allows.

• Let strips kick on only when absolutely necessary.

Cold climates (long, harsh winters)

Think: sustained sub-freezing temps, long winter heating seasons.

Here’s where you have to decide what your primary heating strategy is:

• If the PTAC is the only heat source:

  • Strip heat PTAC will give reliable capacity, but expect big energy bills.

  • A heat pump PTAC will spend a lot of time in its least efficient mode or on strip backup anyway.

• Better setup:

  • Use central heating (hydronic, boiler, or high-performance cold-climate heat pump) for base heat.

  • Use PTAC (with a heat pump if you want) mainly for shoulder seasons and room-by-room control, not as the primary deep-winter system.

Independent comparisons like Electric Resistance Heating vs Heat Pump – HeatPumpPricesReviews break this down and generally favor heat pumps for most climates, but they also show where resistance heat still plays a role. 

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Efficiency Chart: Heat Pump vs Heat Strip at Different Outdoor Temps

Here’s a simple chart showing the approximate performance of a typical PTAC heat pump vs electric resistance strip at different outdoor temperatures.

Assumptions:

• Heating load: 10,000 BTU

• Electric strip: COP = 1

• Heat pump COP drops with outdoor temperature (fairly typical for standard, not “cold climate,” units)

• Electricity price example: $0.15/kWh

This isn’t brand-specific data, it’s a realistic ballpark you can use for decision-making.

Even when a heat pump’s efficiency drops in the cold, it still usually beats pure strip heat on operating cost — until conditions are so harsh that it mostly falls back to the strip coil anyway.

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How Much More Efficient Is a Heat Pump PTAC, Really?

Let’s boil down what the big agencies and manufacturers keep saying:

• Electric resistance heating (heat strips) has a COP of about 1.0 — 1 kWh in, 1 kWh of heat out. The Department of Energy's Energy.gov

• Air-source heat pumps can deliver 2–3× as much heat per kWh in mild conditions. 

This means:

• If your strip-only PTAC costs you $400 to run for heating in a mild climate, a comparable heat pump PTAC might be $150–$200 for the same comfort level.

• And as electricity prices keep creeping up in many regions, your savings grow. Sources like ElectricChoice – Electricity Prices by State and the U.S. Chamber’s 2024 electricity price map show steady increases in average residential rates across much of the U.S. 

That’s why energy-efficiency programs, rebates, and the ENERGY STAR Clean Heating and Cooling guidance keep coming back to heat pumps as a core upgrade path. 

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Real-World Example: Small Hotel / Motel

Let’s say you manage a 30-room motel in a mild-to-moderate climate.

• Average heating hours per room per year: 800

• Each room has ~10,000 BTU PTAC

Using the same math as before:

• Strip-only PTAC:

  • ~2.93 kWh/hour × 800 × 30 rooms

  • ≈ 70,320 kWh/year

• Heat pump PTAC (avg COP ≈ 2.5):

  • ~1.17 kWh/hour × 800 × 30

  • ≈ 28,080 kWh/year

At $0.15/kWh:

• Strip heat: 70,320 × $0.15 ≈ $10,550/year

• Heat pump: 28,080 × $0.15 ≈ $4,210/year

Annual savings: ~$6,300

If the heat pump PTACs cost $250 more each than strip-only models:

• 30 rooms × $250 = $7,500 extra upfront

• Payback: just a bit over one heating season.

That’s the kind of math that gets ownership’s attention fast.

For a deeper breakdown tailored to PTAC units specifically, you can also check 

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Where Heat Strips Still Make Sense

Don’t get me wrong — Jake’s not here to pretend strip heat is useless.

Heat strips are still the right tool in these situations:

1. Backup / Emergency Heat

   • When the heat pump can’t keep up in a cold snap, strip coils come in and save the day.

   • This is exactly how many PTAC heat pump units are designed: heat pump first, strip as backup.

2. Rare-use spaces

   • Storage rooms, back offices, or spaces that are barely heated.

   • If the unit only runs for short bursts, the energy penalty might be acceptable vs higher equipment cost.

3. Very cold climates where PTAC isn’t the primary heating system

   • If the main heating is something else (like a central boiler or cold-climate heat pump), strip heaters in PTACs might only run a handful of days a year.

4. Low upfront budget and very low electricity rates

   • If local electricity is dirt cheap and you absolutely must minimize initial cost, strip-only might be the compromise — but know you’re trading long-term savings for short-term cash flow.

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Jake’s Checklist: Should You Choose a Heat Pump or Heat Strip PTAC?

Here’s the decision process I’d use if I were in your shoes.

Choose a PTAC Heat Pump (with Strip Backup) if:

• You’re in a warm or moderate climate (long cooling season, moderate winters).

• The PTAC will be used as primary heating for many hours per year.

• You pay average or higher kWh prices (check something like ElectricChoice – Electricity Prices by State if you’re in the U.S.).

• You plan to own/manage the building for several years, so payback matters.

In other words, this is most hotels, motels, multifamily, and assisted living in non-Arctic climates.

Choose Strip-Only PTAC if:

• The space is rarely occupied or used for short bursts.

• You’re in a very cold climate and have another primary heating system, so PTAC heat is truly occasional.

• Your budget is extremely tight, and electricity is cheap — and you’ve accepted that bills will be higher if usage grows.

Even then, I’d seriously consider at least a small heat pump PTAC if there’s any chance those heaters will run more than you expect. People love to crank thermostats.

Conclusion

If Jake had to put this whole article into one blunt verdict:

• In most real-world PTAC situations, a heat pump PTAC with integrated strip backup is the money-saving, comfort-boosting choice.

• Strip-only PTACs are niche tools: okay for backup, rarely used spaces, or where someone else is paying the ridiculous electric bill.

If your goal is to lower operating costs, reduce complaints, and future-proof yourself a bit against rising kWh prices, you go heat pump first and let the strip heat sit in the background as a safety net — not the star of the show.

 

In the next blog, you will learn about Installation Rules for Amana PTAC Heat Pumps (Professional Checklist)