Toledo, OH 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
Toledo, OH 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 Toledo, OH: 91°F for cooling, -5°F for heating, and 72°F indoors. For a precise 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
Toledo, OH 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 Toledo homeowners.
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.
HEEHRA Program
Up to $14,000Ohio's High-Efficiency Electric Home Rebate Act provides point-of-sale rebates for low- and moderate-income households installing high-efficiency electric appliances including heat pumps.
HOMES Program
$2,000 - $4,000Ohio's Home Energy Performance-Based Whole-House Rebates program provides rebates for whole-home energy-saving retrofits based on energy savings achieved.
FirstEnergy Heat Pump Rebate
Up to $750Toledo Edison (part of FirstEnergy) offers rebates for qualifying heat pump installations to residential customers.
AEP Ohio Heat Pump Rebate
Up to $500AEP Ohio offers rebates for qualifying air-source heat pump installations to residential customers.
Toledo homeowners have access to several active heat pump incentive programs in 2026. State-administered programs like HEEHRA and HOMES offer substantial rebates for income-qualified households and whole-home retrofits, while utility providers FirstEnergy and AEP Ohio offer point-of-sale rebates. Palmetto's Comfort Plan lease offers an alternative path to heat pump installation with $0 upfront cost, allowing homeowners to benefit from energy savings without managing multiple rebate applications.
Incentive information is based on publicly available data as of 2026 and may change. Contact program administrators to verify current availability and eligibility requirements. Note: Federal tax credits for air-source heat pumps expired December 31, 2025. Geothermal heat pumps remain eligible for federal credits through 2032.
04
Climate Zones
Toledo sits in IECC Climate Zone 6, which means cold winters (design temps around -5°F) and warm summers (reaching 91°F). This wide temperature swing makes proper heat pump sizing critical—you need a system that can handle both extremes efficiently. At Palmetto, we understand Toledo's climate inside and out, so we can recommend the right heat pump for your home. 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
Toledo Electricity Prices
Understanding Toledo's electricity costs helps you make smarter decisions about home heating and cooling—especially as rates continue to climb.
Ohio's electricity rates have risen steadily from 12.8 cents per kWh in 2021 to 16.1 cents in 2024—a 26% increase in just three years that directly impacts your monthly energy 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 comfort.
As electricity costs continue rising, efficiency becomes increasingly valuable. A heat pump's lower energy consumption means your monthly bills stay more manageable, protecting your budget against future rate increases for years to come.
Price of Energy: Ohio vs National Average
Toledo Area Utility Providers
Toledo residents primarily receive electricity from FirstEnergy, which charged an average of 14.6¢ per kWh in 2023—below both Ohio's state average of 15.40¢ and the national average of 16.0¢ per kWh.
Toledo's lower electricity rates stem from Ohio's diverse energy mix, including natural gas and coal generation, plus regional infrastructure that keeps transmission costs competitive. FirstEnergy's established grid network in northwest Ohio also contributes to these below-average rates.
These competitive electricity rates make Toledo well-suited for heat pumps, which use electricity efficiently to both heat and cool your home. Because heat pumps move heat rather than generate it, they typically reduce total energy costs—even compared to gas furnaces.
Toledo Utilities Electricity Rates
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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 sense in Toledo. Modern cold-climate heat pumps work efficiently even at Toledo's design heating temperature of -5°F, and they provide both heating and cooling for the region's 91°F summer days. With Ohio's electricity rate at 16.1¢ per kWh, heat pumps typically cost less to operate than traditional heating systems while keeping your home comfortable year-round.
Toledo homeowners have flexible options for heat pump installation. Palmetto's Comfort Plan offers $0 upfront cost with maintenance included, ideal if you want predictable monthly payments without repair worries. Direct purchase may qualify you for up to $2,000 in federal tax credits under the Inflation Reduction Act, plus local rebates, making ownership more affordable than ever.
Heat pumps are highly efficient in Toledo's Climate Zone 6, even during cold winters. Modern cold-climate heat pumps can effectively heat homes down to -5°F and below, delivering 2-3 times more heating energy than the electricity they consume. This efficiency translates to meaningful savings compared to traditional furnaces, especially with Ohio's current electricity rate of 16.1¢ per kWh.
During Toledo's mild springs, falls, and summers (with design cooling temps around 91°F), heat pumps excel at both heating and cooling your home. Their year-round efficiency means lower energy bills in every season. Palmetto makes upgrading accessible through our Comfort Plan with $0 upfront cost 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 Toledo depends on your financial situation and preferences. Purchasing outright means you own the equipment and can claim federal tax credits up to $2,000 under the Inflation Reduction Act, plus any local rebates. Leasing through a Comfort Plan requires $0 upfront and includes all maintenance and repairs for the life of the plan.
Toledo's Climate Zone 6 winters (design temp: -5°F) mean your heat pump will work hard during heating season. With Ohio's electricity rate at 16.1¢ per kWh, predictable monthly costs through leasing can help with budgeting, while purchasing gives you full ownership and potential tax savings. Consider whether you prefer lower upfront costs with included maintenance or long-term ownership with immediate equity.
Heat pump costs in Toledo typically range from $5,000 to $20,000 for a complete installation, depending on your home's size, existing ductwork, and the system's capacity needed to handle Toledo's Climate Zone 6 conditions (winter lows around -5°F). The specific price varies based on whether you need a ducted or ductless system and any necessary electrical upgrades.
Palmetto offers two payment options to fit your budget: a Comfort Plan with $0 upfront cost and predictable monthly payments that include 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 Ohio rebates.
Yes, heat pumps are typically worth it financially for Toledo homeowners. With Ohio's electricity rate at 16.1¢ per kWh, heat pumps can reduce heating and cooling costs by 30-50% compared to traditional systems because they move heat rather than generate it, making them highly efficient even in Climate Zone 6.
Palmetto makes heat pumps more accessible with two options: a Comfort Plan with $0 upfront and maintenance included, or direct purchase with potential federal tax credits up to $2,000. Most Toledo homeowners see the investment pay for itself through lower energy bills within 5-10 years, while enjoying year-round comfort.
Heat pumps in Toledo are installed by licensed HVAC contractors who specialize in heating and cooling systems suitable for Climate Zone 6 conditions. Palmetto partners with certified local installers to provide heat pump installation services throughout the Toledo area, ensuring equipment is properly sized and installed to handle Toledo's -5°F winter design temperatures and 91°F summer peaks.
Palmetto offers two installation options for Toledo homeowners: a Comfort Plan with $0 upfront cost that includes all maintenance and repairs, or direct purchase where you own the equipment and may qualify for up to $2,000 in federal tax credits. Both options include professional installation by experienced technicians who understand Ohio's climate requirements and local building codes.
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 through combustion, making it a single unit that replaces both a furnace and air conditioner.
In Toledo's Climate Zone 6, modern heat pumps work efficiently even when winter temperatures drop to -5°F. With electricity at 16.1¢ per kWh in Ohio, heat pumps can significantly reduce energy costs compared to traditional HVAC systems. Palmetto makes installation accessible through a Comfort Plan with no upfront costs and included maintenance, or direct purchase with potential federal tax credits up to $2,000.