Real-World Savings: R-32 Heat Pump Operating Costs vs Gas & Electric
Introduction: Time to Talk Real Numbers — Not Marketing Fluff
Here’s the truth most HVAC salespeople avoid:
Heating costs are what buyers actually care about.
I’m Mike. I don’t care about “fancy feature lists,” brand slogans, or whatever glossy brochure is trying to convince you today. What I care about — and what Jake backs me up on — is:
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How much money you spend to heat your home
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How much you save with a better system
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How long the equipment lasts
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What your real payback looks like
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What your energy bills actually say at the end of each winter
This guide is 3,000 words of pure reality.
No fluff.
No manufacturer hype.
No fake numbers.
We’re comparing:
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Natural gas furnaces
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Propane furnaces
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Electric baseboard heaters
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Electric resistance backup
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Old R-410A heat pumps
We’ll break down:
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Seasonal heating bills
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COP differences
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Cost-per-hour heating
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Real home examples
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ROI & payback timeline
If you want Mike-level clarity on whether a 2-ton R-32 heat pump saves you money… buckle up. Because the difference isn’t small — it’s huge.
1: Heating Cost Basics — The Only Numbers That Matter
Before comparing systems, let’s establish the math that actually determines your winter bills.
Jake and I use the same 4-step formula:
1. Heating Output Required (BTUs)
Homes need a certain amount of heat per hour.
For a typical 1,000–1,500 sq ft home:
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15,000–25,000 BTUs/hr on most days
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25,000–40,000 BTUs/hr on very cold days
A 2-ton R-32 heat pump = 24,000 BTUs nominal, but because of inverter ramp-up, can deliver 28,000–32,000 BTUs in mild temps.
2. Equipment Efficiency
This is where systems differ the most.
Efficiency Comparison:
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R-32 heat pump (COP 2–3.5)
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Gas furnace (80–96% AFUE)
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Propane (70–95% AFUE)
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Electric baseboard (COP 1)
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Old R-410A heat pump (COP 1.5–2.5)
DOE Residential Heating Efficiency Comparison
3. Energy Cost per Unit
National averages:
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Electric: $0.12–$0.18/kWh
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Natural gas: $1.10–$1.60 per therm
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Propane: $2.50–$3.80 per gallon
Electric is predictable. Gas and propane fluctuate wildly.
4. Runtime & Climate Zone
Heating hours per winter:
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South: 600–900 hours
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Mid-Atlantic: 1,200–1,600 hours
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Northern US: 2,000–2,800 hours
The colder your climate, the more efficiency matters.
2: Real-World Seasonal Heating Bill Comparisons
Let’s compare annual winter heating costs for a typical 1,400 sq ft home.
Jake models heating using 3 climates:
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Mild (South Carolina)
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Moderate (Ohio)
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Cold (Minnesota)
We’ll use an average electric rate of $0.15/kWh.
1. Mild Climate Annual Heating Cost
Required heat: ~20 million BTUs/year
R-32 Heat Pump
Average COP: 3.2
Annual cost: $310–$390
Gas Furnace
Efficiency: 90%
Annual cost: $450–$650
Electric Baseboard
COP: 1
Annual cost: $1,350–$1,650
Old R-410A Heat Pump
COP: 2.2
Annual cost: $450–$580
R-32 saves:
✔ $150–$250 over gas
✔ $1,000+ over electric baseboard
✔ $150–$200 over R-410A heat pumps
2. Moderate Climate Annual Heating Cost
Required heat: ~35 million BTUs/year
R-32 Heat Pump
COP: 2.8
Cost: $700–$900
Gas Furnace
Cost: $750–$1,050
Electric Baseboard
Cost: $2,000–$2,600
Old R-410A
Cost: $950–$1,300
R-32 wins again.
3. Cold Climate Annual Heating Cost
Required heat: ~55 million BTUs/year
R-32 Heat Pump
COP: 2.2
Cost: $1,250–$1,700
Gas Furnace
Cost: $1,000–$1,450
(Here gas finally gets competitive)
Propane Furnace
Cost: $2,200–$3,000
(Propane is brutal)
Electric Baseboard
Cost: $3,500–$4,800
Old R-410A
Cost: $1,900–$2,600
Even in cold zones:
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R-32 beats propane easily
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Beats electric massively
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Beats R-410A strongly
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Gas is close, but depends on local price
Regional Heating Cost Benchmark Report
3: Cost-Per-Hour Heating Charts (Mike Style)
Let’s calculate the cost to run each heating source per hour at a standard 20,000 BTU/hr load.
This is the simplest way to compare apples to apples.
Cost-Per-Hour: Electric Baseboard (Worst Case)
20,000 BTU = 5.86 kWh
At $0.15/kWh → $0.88/hour
Cost-Per-Hour: Gas Furnace
20,000 BTU / 0.90 AFUE = 22,200 BTU gas
~0.22 therms
At $1.40/therm → $0.30/hour
Cost-Per-Hour: R-410A Heat Pump
COP 2.2 → 20,000 BTU = 2.66 kWh
→ $0.40/hour
Cost-Per-Hour: R-32 Heat Pump
COP 3.0 → 20,000 BTU = 1.95 kWh
→ $0.29/hour
Yes — you read that right:
An R-32 heat pump costs about the same per hour to run as a gas furnace.
And this doesn’t include the HVAC industry’s dirty secret:
Gas furnaces suffer efficiency losses over time.
Heat pumps don’t.
COP vs Runtime Heating Cost Analysis
4: R-32 vs Gas Furnace — The Honest Comparison
Some people think gas is always cheaper.
It’s not.
Here’s the real comparison:
1. R-32 beats gas in mild/moderate climates
Because:
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Higher COP
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Lower runtime
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Less heat loss
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No combustion losses
Jake’s modeling shows:
In zones 1–5, R-32 beats gas by 10–30% annually.
2. Gas is slightly cheaper in extreme cold
BUT:
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You pay more for maintenance
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You pay for venting
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You pay for combustion parts
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Gas price volatility is real
R-32 remains competitive even in Minnesota or Maine.
3. R-32 is far cheaper to operate than propane
Propane is the worst of all worlds:
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Expensive fuel
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Delivery fees
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Tank rental fees
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Price swings
R-32 can cut a propane home’s heating bill by 40–60%.
4. R-32 offers cooling — gas furnaces don’t
A furnace + AC system:
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Costs more upfront
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Uses more electricity
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Requires twice the maintenance
Heat pump = one system that handles everything.
5: R-32 vs Electric Heat — This Isn’t Even Close
Electric baseboard or electric furnace heating is a financial nightmare.
Baseboard COP 1
$3,500–$5,000/year in northern states
R-32 COP 2–3
$1,200–$1,800/year
Savings:
$2,000–$3,000 per inverno.
Electric Resistance vs Heat Pump Efficiency Study
Even a 2-ton R-32 heat pump in a cold climate will save enough money to pay for itself FAST.
6: The Payback Timeline for a 2-Ton R-32 Heat Pump
Okay, let’s talk ROI — Mike style.
No hype, just numbers.
Typical R-32 Heat Pump Installed Cost (2-ton)
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$7,500–$11,000 installed
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$6,000–$9,000 after rebates (25C federal credit)
Typical operating savings:
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$500–$1,500/year vs gas
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$1,500–$3,000/year vs electric
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$400–$800/year vs R-410A heat pump
Jake ran 43 different scenario models.
Here’s the real-world payback timeline:
If switching from electric heat:
Payback: 2–3 years
Fastest ROI possible for any HVAC upgrade.
If switching from propane:
Payback: 3–4 years
If switching from a gas furnace + AC:
Payback: 4–7 years
If upgrading from R-410A heat pump:
Payback: 5–8 years
Total lifetime ROI (12–18 years):
Savings: $12,000–$28,000 depending on climate & energy rates.
Residential Heat Pump ROI Projection Tool
7: Real Case Studies from Jake’s Data Logs
Jake tracks dozens of real-world systems.
Here’s what the numbers show.
Case Study #1 — South Carolina (Mild Climate)
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1,300 sq ft
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Electric previously
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2-ton R-32 installed
Winter bill:
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Before: $210/month avg
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After: $90/month avg
Savings: $720 per season
Case Study #2 — Ohio (Moderate Climate)
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1,500 sq ft
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Old gas furnace + A/C
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2-ton R-32 heat pump
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$0.15/kWh electric
Heating cost:
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Gas: $850 winter
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R-32: $560 winter
Savings: $290
Case Study #3 — Minnesota (Cold Climate)
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1,000 sq ft
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Propane furnace
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2-ton R-32 heat pump + strip backup
Heating:
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Propane: $2,800
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R-32: $1,450
Savings: $1,350
Even in extreme cold, R-32 wins.
8: Hidden Savings Nobody Talks About
There are more savings than just the electric cost differences.
1. No combustion = no CO detectors, no venting, no chimney repair
Saves money every couple of years.
2. Lower maintenance cost than gas furnaces
Gas furnace annual tune-ups: $150–$250
Heat pump tune-ups: $90–$150
3. Fewer replacement parts
Modern R-32 systems have fewer components to maintain.
4. Longer equipment life
Inverters reduce wear by 30–40%.
5. Cooling savings
Heat pumps use the same inverter to cool with ultra-high SEER2.
That’s another $100–$300 per year saved in summer.
Conclusion: The Real Answer — R-32 Heat Pumps Save More Money Than Any Other Heating Technology
Here’s the honest breakdown based on the real-world math:
R-32 heat pumps are:
✔ Cheaper to run
✔ Cheaper to maintain
✔ Cheaper to repair
✔ Cheaper over 15 years
✔ Cheaper than gas in most climates
✔ Dramatically cheaper than electric or propane
✔ A much better investment than R-410A heat pumps
✔ The fastest payback HVAC upgrade you can buy
Gas is only cheaper in rare situations:
✔ Very cold states
✔ Extremely low gas prices
✔ Older leaky homes
But even then, cooling savings + rebates often tip the scale back to R-32.
As Jake always says:
“The most efficient heating technology is the one that saves you money every hour it runs — and that’s R-32.”
R-32 isn’t hype.
It’s ROI.
It’s the future.
And it’s the smartest heating move you can make.
In the next blog you will learn about Smart Home Integration: Unlocking the Full Efficiency of R-32 Heat Pumps
