McKinney, TX 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
McKinney, TX Heat Pump Load Calculator
Use this calculator to estimate your home’s heating and cooling needs based on square footage. It uses ACCA-standard design conditions for McKinney, TX: 72°F indoor, 95°F outdoor for cooling, and 33°F for heating. 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
McKinney, TX 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 McKinney homeowners.
Oncor Heat Pump Rebate
Up to $600Oncor Electric Delivery offers rebates for qualifying high-efficiency heat pump installations in North Texas, including McKinney. Rebate amounts vary based on SEER2 efficiency ratings and energy savings calculations.
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.
McKinney homeowners can access the Oncor utility rebate (up to $600) for qualifying heat pump installations, which can be combined with the federal IRA tax credit (up to $2,000) for total savings of up to $2,600. While Texas state-level HOMES and HEAR rebate programs have not yet launched as of February 2026, Palmetto's Comfort Plan lease offers an alternative with $0 upfront cost, allowing homeowners to benefit from heat pump efficiency without the burden of purchasing and financing equipment outright.
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
McKinney sits in IECC Climate Zone 10, which means mild winters with design temperatures around 33°F and hot summers reaching 95°F. This mix of moderate heating needs and significant cooling demand makes proper heat pump sizing essential for year-round comfort and efficiency. At Palmetto, we understand McKinney's unique climate and can help you choose a system that's right 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
McKinney Electricity Prices
Understanding electricity costs in McKinney helps you make smarter decisions about heating and cooling your home for years to come.
Texas electricity rates have climbed 23% since 2021, rising from 12.1 to 14.9 cents per kWh. For McKinney homeowners, this upward trend means higher monthly bills for the same comfort.
Heat pumps use 2-3 times less electricity than traditional HVAC systems to deliver the same heating and cooling. That efficiency gap becomes increasingly valuable as electricity rates continue their climb.
Over a heat pump's 15-year lifespan, this efficiency advantage compounds significantly. You're not just saving on today's electricity rates—you're protecting yourself against future increases while maintaining the same comfort.
Price of Energy: Texas vs National Average
McKinney Area Utility Providers
McKinney residents primarily receive electricity from Denton County Electric Cooperative (DCEC). According to 2023 data (the most recent available), DCEC's average rate was 12.8¢ per kWh—below both the Texas average of 14.50¢ and the national average of 16.0¢.
DCEC's competitive rates reflect Texas's deregulated energy market and the cooperative's nonprofit structure, which returns savings to member-owners. The state's diverse energy mix, including natural gas and renewable sources, helps keep costs lower than many other regions.
Even with below-average electricity rates, efficiency matters. Heat pumps use significantly less energy than traditional heating and cooling systems, meaning McKinney homeowners can reduce their total energy spending while maintaining year-round comfort—maximizing the value of already competitive local rates.
McKinney 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 McKinney. With design temperatures of 33°F in winter and 95°F in summer, McKinney's Climate Zone 10 conditions are ideal for heat pump efficiency. These systems provide both heating and cooling year-round, and with Texas electricity rates at 14.9¢ per kWh, heat pumps typically cost less to operate than traditional HVAC systems.
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. McKinney's mild winters mean your heat pump won't strain during cold weather, maximizing efficiency and comfort while keeping your energy bills predictable throughout the year.
Heat pumps are highly efficient in McKinney's climate. Located in Climate Zone 10 with mild winters (design heating temperature of 33°F) and hot summers (design cooling temperature of 95°F), McKinney's conditions are ideal for heat pump performance. Modern heat pumps can achieve 200-400% efficiency, meaning they transfer much more energy than they consume, helping you save significantly on energy costs compared to traditional heating and cooling systems.
With Texas electricity rates at 14.9¢ per kWh, the efficiency advantage translates to real savings on your monthly bills. Heat pumps work especially well in McKinney because they rarely face the extreme cold that can reduce efficiency in northern climates. Whether you choose Palmetto's Comfort Plan with no upfront cost or purchase directly to access federal tax credits up to $2,000, you'll benefit from year-round efficient heating and cooling.
The choice between leasing and buying a heat pump in McKinney depends on your financial priorities and homeownership plans. Leasing through Palmetto's Comfort Plan requires $0 upfront and includes all maintenance and repairs, making it ideal if you prefer predictable monthly costs. Buying outright means you own the equipment and may qualify for federal tax credits up to $2,000 under the Inflation Reduction Act.
Consider McKinney's climate—with cooling season temperatures reaching 95°F and heating needs down to 33°F—your heat pump will work year-round. If you plan to stay in your home long-term and have available capital, purchasing lets you maximize tax incentives and build equity. If you want immediate comfort without maintenance concerns or large upfront costs, leasing offers a hassle-free path to efficient heating and cooling.
Heat pump costs in McKinney 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. McKinney's Climate Zone 10 conditions—with design temperatures of 33°F in winter and 95°F in summer—mean you'll need a properly sized system to handle both heating and cooling efficiently.
Palmetto offers two ways to get a heat pump that fit different budgets and preferences. Our Comfort Plan requires $0 upfront and includes all maintenance and repairs in one predictable monthly payment. Alternatively, you can purchase your system outright and potentially qualify for up to $2,000 in federal tax credits under the Inflation Reduction Act, plus local rebates that may be available in Texas.
Yes, heat pumps are financially worth it for most McKinney homeowners. Heat pumps can reduce heating and cooling costs by 30-50% compared to traditional systems, and with Texas electricity at 14.9¢ per kWh, those savings add up quickly. McKinney's moderate winters (design temp: 33°F) make heat pumps especially efficient here.
Palmetto makes heat pumps accessible with two options: a Comfort Plan with $0 upfront and all maintenance included, or direct purchase with potential federal tax credits up to $2,000. Most homeowners see the investment pay for itself through lower energy bills within 5-10 years, while enjoying consistent comfort year-round.
Heat pumps in McKinney are installed by licensed HVAC contractors who specialize in heating and cooling systems. Palmetto partners with certified local installers who understand McKinney's Climate Zone 10 requirements, where systems must efficiently handle 33°F winter lows and 95°F summer highs while managing Texas electricity costs averaging 14.9¢ per kWh.
Palmetto offers two installation options: 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 under the Inflation Reduction Act. Both options connect you with experienced local professionals who ensure proper installation for your home's specific needs.
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 specific type of HVAC system that both heats and cools your home by transferring heat rather than generating it through combustion.
In McKinney's Climate Zone 10, where winter lows reach around 33°F and summer highs hit 95°F, heat pumps work efficiently year-round as a complete HVAC solution. Unlike traditional systems that use separate furnaces and air conditioners, a single heat pump handles both seasons while typically using less electricity at Texas's current rate of 14.9¢ per kWh.