Chandler, AZ Heat Pump Leasing & Installation
In this guide
01
Benefits of Palmetto Heat Pumps
Say goodbye to clunky old systems and surprise repairs. Palmetto Comfort Plan gives you a brand-new heat pump, installation, and full support, all wrapped into one subscription.
Year Round Comfort
A high-efficiency heat pump keeps your home cool in summer, warm in winter, and your energy use in check all year long.
Forget the maintenance
With a Comfort Plan subscription, installation and maintenance are fully covered, no surprise bills, no weekend DIY.
Rewards for renewing
Stick with us and earn credits toward your next system upgrade. It’s our way of saying thanks for building a cleaner, comfier future with us.
02
Chandler, AZ Heat Pump Load Calculator
Use this calculator to estimate your home’s heating and cooling needs based on Chandler’s ACCA-standard design conditions: 110°F outdoor cooling temperature, 60°F heating temperature, and 72°F indoor comfort. For an official Manual J load calculation and personalized quote, connect with Palmetto’s team. Get in touch with our team for an official quote.
Step 1 of 3
Home location & size
Your home’s location and size directly impact heating needs.
Step 2 of 3
Home attributes
Step 3 of 3
Additional details
Description of what this means for context.
Estimated Heating Needs
Your home’s location falls within the a climate zone with the average extreme winter falling between 10° – 15° F.
Home Details
Recommended equipment capacity
60,000 BTU
5 Tons
Calculated Cooling Mode
102,000 BTU
8.5 Tons
03
Buy it or finance it. Your comfort, your call
There's no wrong way to get cozy. Here's how the options stack up, so you can choose what works best for you.
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Cash |
Loan |
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|---|---|---|---|
| Payment schedule | $0 upfront, then monthly subscription | Full price upfront | $0 upfront, then monthly payment |
| Term length | 10 or 12 years | None | Variable |
| End of term options | Flexible with 25% renewal term credits to new system | No credits to new system | No credits to new system |
| Maintenance included | |||
| Eligible for incentives |
Cash
Loan
Local Incentives
Chandler, AZ Heat Pump Rebates & Incentives
Local and federal incentive programs can significantly reduce the cost of a new heat pump system. Here are the programs available to Chandler homeowners.
Efficiency Arizona HEAR
Up to $14,000The HEAR program provides rebates for eligible electric appliances and upgrades in low-income and historically underserved households. Up to $8,000 for Energy Star certified electric heat pumps for space heating and cooling.
Efficiency Arizona HOMES
Up to $8,000The HOMES program provides up to $4,000 in rebates to improve the efficiency of your home. The HOME rebates double for lower-income households. Performance-based rebates for whole-home energy efficiency retrofits.
Federal IRA Tax Credit
Up to $2,000The Inflation Reduction Act provides a federal tax credit of up to $2,000 for qualifying heat pump installations through 2032.
Chandler homeowners have access to substantial heat pump incentives through Arizona's Efficiency Arizona program, which offers up to $14,000 in rebates for low- and moderate-income households through the HEAR program, plus additional performance-based rebates through the HOMES program. Combined with the federal IRA tax credit of up to $2,000, homeowners can significantly reduce the cost of heat pump installation. Palmetto's team can help you navigate these programs, verify your eligibility, and maximize available rebates to make your heat pump upgrade more affordable.
04
Climate Zones
Chandler sits in IECC Climate Zone 13, which means mild winters with design temps around 60°F and scorching summers that can hit 110°F. That hot-dry climate puts serious demand on your cooling system most of the year, so sizing your heat pump correctly matters. At Palmetto, we understand what works in Chandler's desert conditions and can help you find the right system. Explore other zones below or enter your ZIP code to confirm yours.
Climate Zone 1
Climate zone 1 is not typically seen within the United States outside of Alaska. It represents the coldest climates on the planet.
Climate Zone 1A
Avg. extreme winters: -60° to -55° F
Climate Zone 1B
Avg. extreme winters: -55° to -50° F
Chandler Electricity Prices
Understanding electricity costs in Chandler helps you make smarter decisions about home comfort and long-term savings.
Arizona electricity rates have climbed steadily from 12.5 cents per kWh in 2021 to 14.9 cents in 2024—a 19% increase in just three years that directly impacts your monthly utility bills.
Heat pumps offer a practical response to rising rates. Because they're 2-3 times more efficient than traditional HVAC systems, they use significantly less electricity to deliver the same heating and cooling for your home.
As electricity costs continue rising, that efficiency gap becomes increasingly valuable. A heat pump's lower energy consumption means your monthly bills stay more manageable, protecting your budget for years to come.
Price of Energy: Arizona vs National Average
Chandler Area Utility Providers
Chandler residents are served primarily by two utility providers: Arizona Public Service (APS) and Salt River Project (SRP). According to 2023 data, APS averaged 15.3¢ per kWh while SRP averaged 12.5¢ per kWh.
Both utilities sit below the 2023 national average of 16.0¢ per kWh, though APS slightly exceeds Arizona's state average of 14.0¢. These competitive rates reflect Arizona's diverse energy mix and abundant solar resources, helping keep electricity costs relatively manageable.
With electricity prices this reasonable, efficient heating and cooling becomes even more cost-effective. Heat pumps use significantly less energy than traditional HVAC systems, meaning your lower per-kilowatt-hour rate translates into even greater monthly savings on your energy bills.
Chandler Utilities Electricity Rates
Let our smart tools do the heavy lifting.
Get personalized tips, usage insights, project tracking, and that daily satisfaction of making your energy work smarter with the Palmetto mobile app.
- Rewards for smarter energy usage
- Energy insights & Dashboard
- Personalized Savings Tools
- Whole Home Energy Management
- Support Whenever You Need It
Repair versus replace
When a heat pump is in need of repair it is worth considering whether a replacement would be a better investment. While each case is unique, we generally recommend investing in a new unit when repairs exceed $5,000.
A heat pump's lifetime is impacted by a number of factors including environment, use and the quality of the unit. It's important to choose the right unit for your climate zone and home's unique attributes.
When you are in need of repair, we recommend choosing a service provider that is an expert in the heat pump brand you have installed, and checking online reviews to ensure you are investing in the right level of service.
| Potential repair | Cost range | Description |
|---|---|---|
| Capacitor Replacement | $150 - $400 | Common issue when unit struggles to start or makes a humming noise. Capacitors store the electrical energy needed to start the compressor and fan motors. |
| Refrigerant Recharge | $250 - $750 | Needed when the system loses cooling or heating efficiency due to low refrigerant levels. Includes leak detection, repair of minor leaks, and recharging the system to the manufacturer-specified level. |
| Reversing Valve Replacement | $450 - $900 | Required when the unit cannot switch between heating and cooling modes. The reversing valve directs refrigerant flow and is unique to heat pump systems. |
| Compressor Replacement | $1,500 - $3,000 | Major repair needed when the unit fails to heat or cool entirely. The compressor is the heart of the system, circulating refrigerant between the indoor and outdoor coils. |
| Evaporator/Condenser Coil Replacement | $1,200 - $2,800 | Replacement needed when coils develop leaks or corrosion that cannot be economically repaired. Coil damage reduces heat transfer efficiency and can cause refrigerant loss. |
| Control Board Replacement | $500 - $1,200 | Required when the system has electrical failures or erratic behavior. The control board manages all system operations including defrost cycles, fan speeds, and compressor staging. |
| Full System Replacement | $4,500 - $8,000+ | When repairs exceed the value of the unit or multiple major components fail simultaneously. Includes removal of the old system and installation of a new heat pump with updated refrigerant lines and electrical connections. |
Frequently Asked Questions
Heat pumps make excellent sense in Chandler, where cooling demand dominates most of the year. With design temperatures ranging from 60°F in winter to 110°F in summer (Climate Zone 13), heat pumps efficiently handle both heating and cooling needs while working with Arizona's 14.9¢ per kWh electricity rates to deliver year-round comfort.
Palmetto makes heat pump installation accessible through two options: a Comfort Plan with $0 upfront and all maintenance included, or direct purchase with potential federal tax credits up to $2,000. Both approaches help Chandler homeowners upgrade to efficient climate control that handles the desert's extreme temperatures while managing energy costs effectively.
Heat pumps are highly efficient in Chandler's climate, particularly for cooling during the hot summers when temperatures reach 110°F. Modern heat pumps can deliver 2-4 times more heating or cooling energy than the electricity they consume, which translates to significant savings at Arizona's current rate of 14.9¢ per kWh. Since Chandler's mild winters rarely drop below 60°F, heat pumps don't struggle with extreme cold conditions that can reduce efficiency.
The year-round performance makes heat pumps an excellent investment for Chandler homeowners. Palmetto offers flexible options to fit your budget: our Comfort Plan requires $0 upfront with all maintenance included, or you can purchase directly and potentially qualify for up to $2,000 in federal tax credits under the Inflation Reduction Act. Both options help you maximize efficiency while managing costs effectively.
The choice between leasing and buying a heat pump in Chandler depends on your financial priorities and homeownership plans. Buying means paying upfront but owning the equipment outright, plus you may qualify for up to $2,000 in federal tax credits under the Inflation Reduction Act. Leasing through Palmetto's Comfort Plan requires $0 upfront and includes all maintenance, repairs, and warranty coverage in your monthly payment.
Consider Chandler's extreme climate (cooling temps reach 110°F) when deciding—a lease includes worry-free repairs during peak summer when your system works hardest. With Arizona's electricity rate at 14.9¢ per kWh, both options deliver energy savings compared to traditional HVAC systems. The right choice comes down to whether you prefer ownership with potential tax benefits or predictable payments with full maintenance included.
Heat pump installation costs in Chandler typically range from $5,000 to $15,000 for a complete system, depending on your home's size, existing ductwork, and the unit's efficiency rating. Given Chandler's Climate Zone 13 conditions—with summer temperatures reaching 110°F—proper sizing and installation are essential for year-round comfort and efficiency.
Palmetto offers two flexible options to fit your budget: our Comfort Plan with $0 upfront cost and a predictable monthly payment that includes all maintenance and repairs, or direct purchase where you own the equipment outright and may qualify for up to $2,000 in federal tax credits under the Inflation Reduction Act plus local rebates.
Yes, heat pumps are typically worth it financially in Chandler, especially given Arizona's moderate winters and hot summers. Heat pumps can reduce cooling and heating costs by 30-50% compared to traditional systems, and with electricity at 14.9¢ per kWh in Arizona, the energy savings add up quickly over the system's 15-20 year lifespan.
The financial picture becomes even more attractive with available incentives and flexible payment options. Direct purchasers may qualify for up to $2,000 in federal tax credits under the Inflation Reduction Act, plus local rebates. Alternatively, Palmetto's Comfort Plan requires $0 upfront and includes all maintenance and repairs in a predictable monthly payment, eliminating unexpected costs while delivering immediate energy savings.
In Chandler, heat pumps are installed by licensed HVAC contractors who specialize in heating and cooling systems. These professionals assess your home's specific needs, considering Chandler's extreme climate (with summer temperatures reaching 110°F), and ensure proper sizing and installation for optimal efficiency in Arizona's Climate Zone 13.
Palmetto offers heat pump installation in Chandler through licensed professionals, with two flexible options: a Comfort Plan with $0 upfront cost and all maintenance included, or direct purchase where you own the equipment and may qualify for up to $2,000 in federal tax credits. Both options ensure quality installation tailored to handle Chandler's demanding cooling requirements.
HVAC stands for Heating, Ventilation, and Air Conditioning—it's an umbrella term for all climate control systems in your home. A heat pump is actually a type of HVAC system that both heats and cools your home by transferring heat rather than generating it, making it more energy-efficient than traditional furnaces and air conditioners.
In Chandler's Climate Zone 13, where temperatures range from 60°F in winter to 110°F in summer, a heat pump handles both seasons efficiently using Arizona's 14.9¢ per kWh electricity rate. Palmetto makes upgrading simple with two options: our Comfort Plan with $0 upfront and all maintenance included, or direct purchase with potential federal tax credits up to $2,000.