Atlanta, GA 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
Atlanta, GA Heat Pump Load Calculator
Use our calculator below to estimate your home’s heating and cooling needs based on square footage. It uses ACCA-standard design conditions for Atlanta, GA: 72°F indoor, 95°F outdoor for cooling, and 14°F for heating. For a precise Manual J load calculation and personalized quote, connect with our 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
Atlanta, GA 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 Atlanta homeowners.
Home Electrification Appliance Rebates
Up to $8,000The Home Electrification and Appliance Rebates (HEAR) will provide rebates to low- to medium-income households for heat pumps; heat pump water heaters; heat pump clothes dryers; electric stoves, cooktops, ranges, or ovens; electric load service center (breaker box/electrical panel); electric wiring; and insulation, air sealing, and ventilation.
Home Efficiency Rebates Program
Up to $16,000The Home Efficiency Rebate (HER) program gives rebates for any work that reduces energy use in the home, so long as the work is estimated to reduce total household energy use by at least 20%. It could be sealing air leaks around windows or doors, fixing leaky air ducts, adding insulation, replacing HVAC or hot water heaters, or any combination of things like this.
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.
Georgia's Home Energy Rebate Programs offer rebates for electrification and efficiency upgrades, helping households save energy and money. Georgia launched statewide Home Energy Rebate Programs in late 2024, providing the opportunity for thousands of households across the state to keep money in their pocket while making home improvements that save energy and improve home comfort. Atlanta homeowners can access both the HEAR and HER programs through approved contractors, plus the federal IRA tax credit. Palmetto can help homeowners navigate these programs, determine eligibility, and maximize available rebates to reduce the cost of heat pump installation.
Incentive information is based on publicly available data as of 2026 and may change. Contact program administrators to verify current availability and eligibility requirements.
04
Climate Zones
Atlanta sits in IECC Climate Zone 8, which means mild winters with design temperatures around 14°F and hot, humid summers reaching 95°F. This balanced climate makes heat pumps an ideal year-round solution—but proper sizing matters. At Palmetto, we understand Atlanta's weather patterns and can help you choose a system that handles both January chills and August heat efficiently. Explore other climate 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
Atlanta Electricity Prices
Understanding Atlanta's electricity costs is essential when evaluating your home heating and cooling options—especially as rates continue to climb.
Georgia electricity rates have risen from 12.5 cents per kWh in 2021 to 14.1 cents in 2024. While still below the national average, that's a 13% increase in just three years for Atlanta homeowners.
Heat pumps offer a smart response to rising rates. Because they're 2-3x more efficient than traditional HVAC systems, they use significantly less electricity to deliver the same heating and cooling—reducing your energy consumption even as prices climb.
As electricity costs continue their upward trend, efficiency becomes increasingly valuable. A heat pump's superior efficiency means lower bills today and protection against future rate increases, making it a practical long-term investment for Atlanta homes.
Price of Energy: Georgia vs National Average
Atlanta Area Utility Providers
Atlanta residents are served by seven main electricity providers, with 2023 rates ranging from 11.7¢ to 14.6¢ per kWh. All local utilities came in below the national average of 16.0¢, making electricity relatively affordable here.
Georgia's competitive energy landscape and abundant natural gas resources help keep rates lower than the national average. Electric membership cooperatives like Cobb EMC and Jackson EMC offer particularly low rates through their nonprofit structure, while Georgia Power's investor-owned model results in slightly higher pricing.
These below-average electricity rates make Atlanta an ideal location for heat pumps. Since heat pumps run on electricity and operate three to four times more efficiently than traditional heating systems, you'll use less energy overall—even compared to natural gas furnaces in areas with cheap gas.
Atlanta 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.
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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
Yes, heat pumps make excellent sense in Atlanta. The city's Climate Zone 8 conditions—with winter lows around 14°F and summer highs near 95°F—are ideal for modern heat pumps, which efficiently handle both heating and cooling. With Georgia's electricity rate at 14.1¢ per kWh, heat pumps typically cost less to operate than traditional HVAC systems while providing year-round comfort.
Atlanta homeowners have flexible options to get started. Palmetto's Comfort Plan requires $0 upfront and includes all maintenance and repairs, making it easy to enjoy immediate savings without large investments. Alternatively, purchasing a heat pump outright may qualify you for up to $2,000 in federal tax credits under the Inflation Reduction Act, plus local rebates that further reduce costs.
Heat pumps are highly efficient in Atlanta's climate, which falls into Climate Zone 8 with mild winters (design temp: 14°F) and warm summers (design temp: 95°F). Modern heat pumps can deliver 2-4 times more heating or cooling energy than the electricity they consume, making them significantly more efficient than traditional HVAC systems in Atlanta's moderate conditions.
With Georgia's electricity rate at 14.1¢ per kWh, heat pumps offer substantial energy savings year-round. Atlanta's relatively mild winters mean heat pumps rarely encounter temperatures where efficiency drops significantly. Palmetto offers heat pumps through a Comfort Plan with $0 upfront and included maintenance, or through direct purchase with potential federal tax credits up to $2,000.
The choice between leasing and buying a heat pump in Atlanta depends on your financial situation and preferences. 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 a Comfort Plan requires $0 upfront and includes all maintenance and repairs in your monthly payment.
For Atlanta homeowners, leasing can make sense if you want predictable costs without maintenance worries, especially given our climate requires year-round heating and cooling use. Buying works well if you have cash available and want to maximize savings through tax incentives while building home equity. Both options deliver the same energy efficiency benefits at Georgia's current 14.1¢ per kWh electricity rate.
Heat pump costs in Atlanta typically range from $5,000 to $15,000 for a complete installation, depending on your home's size, existing ductwork, and the system's efficiency rating. Atlanta's Climate Zone 8 conditions—with winter lows around 14°F and summer highs near 95°F—mean you'll need a system properly sized for both heating and cooling demands year-round.
Palmetto offers two payment 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. Both options help you take advantage of Georgia's relatively affordable electricity rates at 14.1¢ per kWh while upgrading to efficient heating and cooling.
Yes, heat pumps are typically worth it financially in Atlanta. They can reduce heating and cooling costs by 30-50% compared to traditional systems, and with Georgia's moderate electricity rate of 14.1¢ per kWh, most homeowners see meaningful savings on their monthly energy bills. The payback period varies based on your current system and usage patterns.
Palmetto makes heat pumps more accessible through two options: a Comfort Plan with $0 upfront cost and predictable monthly payments, or direct purchase with potential federal tax credits up to $2,000. The Comfort Plan includes all maintenance and repairs, eliminating unexpected costs while you enjoy lower energy bills from day one.
Heat pumps in Atlanta are installed by licensed HVAC contractors who specialize in heating and cooling systems. These professionals assess your home's specific needs in Climate Zone 8, where winter temperatures can drop to 14°F and summer highs reach 95°F, to properly size and install equipment that keeps your home comfortable year-round.
Palmetto offers heat pump installation in Atlanta through certified local contractors with two flexible options: a Comfort Plan with $0 upfront cost and all maintenance included, or direct purchase where you own the equipment outright and may qualify for up to $2,000 in federal tax credits. Both options ensure professional installation tailored to Atlanta's climate and your home's requirements.
HVAC is an umbrella term that stands for Heating, Ventilation, and Air Conditioning—it describes any system that controls your home's temperature and air quality. 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 particularly efficient in Atlanta's Climate Zone 8 conditions.
Unlike traditional HVAC systems that use separate furnaces and air conditioners, a heat pump handles both jobs with one unit. This efficiency can mean lower energy bills at Georgia's current rate of 14.1¢ per kWh. Palmetto makes getting a heat pump simple with flexible options: our Comfort Plan with $0 upfront and included maintenance, or direct purchase with potential federal tax credits up to $2,000.