Heating and cooling days in four California cities
A degree day measures how far a day's temperature sits from 65 F. NOAA's 1991 to 2020 normals give Sacramento 2,436 heating and 1,292 cooling degree days a year, Fresno 2,187 and 2,209, San Francisco 2,475 and 200, and Bakersfield 1,958 and 2,425. A heat pump does both jobs. Weigh both numbers for your city against a furnace and an AC.
What a heat pump installation costs in California
A single-unit swap, a heat pump replacing a heat pump or air conditioner on the ducts and air handler already in the house, is estimated at $4,300 to $10,400. For a whole-home ducted system that replaces the furnace and the AC, with the line set, electrical work and typical duct changes, the estimate is $10,000 to $33,600. Both include a median California permit fee of $148 and are modeled with the wage ratio of 1.16, so they're estimates, not quotes.
| Item | Figure | What it is |
|---|---|---|
| Estimated range, heat pump, single-unit swap, not a quote | $4,300 to $10,400 per installed heat pump, single-unit swap | A heat pump unit replacing an existing heat pump or air conditioner on the ducts and air handler already in the house. Built from one national published range, adjusted by the California HVAC technician wage ratio (1.16) plus a typical permit fee ($148). Basis: no state company sample (no counted California company price for this job), national estimate only. |
| Estimated range, whole-home ducted system, not a quote | $10,000 to $33,600 per installed whole-home ducted system | A ducted heat-pump system (outdoor unit and air handler) that replaces the furnace and air conditioner for the whole home, with the line set, electrical work and typical duct changes. Built from one national published range, adjusted by the California HVAC technician wage ratio (1.16) plus a typical permit fee ($148). Basis: no state company sample (no counted California company price for this job), national estimate only. |
| Technician wage, California mean | $36.24 an hour | Wages from BLS for May 2025, shown so the ratio behind the estimates is visible. |
| Heat pump permit, California middle of published fees | $148 | Taken from 24 California city schedules for replacing equipment; use it as a guide only. |
| Mechanical gas appliance permit including heat pumps, San Francisco | $290 | Category 1M; permits issued from July 12, 2026. |
| Heat pump HVAC rebate, SMUD | $2,000 to $3,000 | Gas-to-electric; subject to funding; plus a $2,000 panel bonus. |
| Heat pump HVAC rebate, LADWP | up to $2,500 per ton | Equipment installed on or after November 1, 2025. |
Estimated ranges, with a row for each scope of work. Built from national published ranges (2 sources in all, 1 per row), adjusted by California's HVAC technician wage ratio to the US (1.16, BLS May 2025), plus the local permit fee where the city publishes one. Not a quote. Fifteen California HVAC companies publish a regular price for some HVAC service, but only one publishes a repair or installation price we could count, which is too few to show a range. Full method. Prices as of Oct 23, 2026.
Cities that tilt replacements toward heat pumps
The CEC's list of local ordinances beyond the 2025 Energy Code includes Menlo Park, Moreno Valley, Mountain View and Palo Alto. Palo Alto's entry sets a mechanical cooling requirement for altered systems in existing single-family homes, one that encourages air source heat pumps but still lets an air conditioner in with added efficiency measures. Your building department can say whether your city has a rule like it.
Rebates and credits as of October 20, 2026
TECH Clean California reports its single-family heat pump HVAC incentives reserved statewide as of November 14, 2025. HEEHRA rebates, which offered up to $8,000 for low-income and $4,000 for moderate-income households, were fully reserved for single-family projects statewide on February 24, 2026. The CEC says Phase II, with $152 million, isn't available yet, and neither are HOMES rebates.
The federal 25C credit allowed $2,000 a year for qualified heat pumps, for improvements made through December 31, 2025. California Energy Smart Homes says its 2026 funding was fully subscribed as of April 20, 2026.
Two utilities, SMUD and LADWP, still list heat pump rebates. SMUD pays $3,000 for a variable-stage heat pump HVAC system replacing gas and $2,000 for a two-stage one, plus a $2,000 panel-upgrade bonus, subject to funding. LADWP pays up to $2,500 per ton for equipment bought and installed on or after November 1, 2025, with a final approved permit and an AHRI certificate on the invoice. SDG&E's rebates page lists no heat pump HVAC rebate, and as of October 20, 2026 neither PG&E's nor BayREN's listed one for a single-family home.
Refrigerant on a new heat pump
CARB's table counts ducted central heat pumps and mini- and multi-splits among the new residential equipment that can't use a refrigerant with a global warming potential of 750 or greater from January 1, 2025. EPA's limit for residential and light commercial heat pump systems is 700 from the same date. Technicians who service equipment that could release refrigerant must hold EPA Section 608 certification.
Before you sign a large install
B&P 7071.6 requires every licensee to keep a $25,000 contractor's bond on file. The surety's total liability to claimants other than the homeowners and others listed in B&P 7071.5(a) is capped at $7,500, with the rest reserved for those beneficiaries. CSLB has no consumer recovery fund. Its complaint page says an investigation may end without restitution for you and points to small claims or the courts.
B&P 7159.5 caps the down payment at $1,000 or 10 percent of the contract, whichever is less, and bars later payments that run ahead of the work done or the material delivered.
When a heat pump problem is urgent
- You smell gas near the old furnace or its piping: leave, then call 911 and your gas utility.
- A carbon monoxide alarm is going off: get into fresh air and call 911.
- You're weighing a heat pump for next season.
- Your system works and you want quotes to compare.
What to line up before quotes
- Ask your utility which rebate is open now; as of October 20, 2026, SMUD and LADWP listed heat pump rebates and the statewide programs were reserved.
- Ask each company what the heat pump replaces: the furnace, the AC or both.
- Get the permit holder and the deposit amount in writing.
Permits and licensing for a heat pump
CSLB's letter to C-20 contractors lists replacing the air handler, coil, furnace or condenser as a change-out that needs a building permit. San Francisco's fee table names heat pumps in its mechanical gas appliance category, and San Diego lists a heat pump package unit under its Simple MEP permit. Check the C-20 number on CSLB's lookup.
Before any work starts, get the license number and check it with your state's licensing board; our state pages link the lookup.
Questions people ask
How much does a heat pump cost to install in California?
We estimate $4,300 to $10,400 for a single-unit swap and $10,000 to $33,600 for a whole-home ducted system. Both are models from national ranges, adjusted for California technician pay and a median permit fee, with no counted California company price behind either. Read them as estimates, not quotes.
Which heat pump rebates in California still have money?
SMUD and LADWP list programs; the statewide TECH and HEEHRA funds are fully reserved. SMUD's rebates are subject to funding, and LADWP's apply to equipment installed on or after November 1, 2025. The CEC says HEEHRA Phase II and HOMES rebates are not yet available.
Is the federal heat pump tax credit still available?
Not for property placed in service after December 31, 2025, according to the IRS. The IRS page describes a credit of up to $2,000 a year for qualified heat pumps for improvements made through December 31, 2025.
Do heating and cooling needs differ much across California?
By a wide margin: San Francisco's airport averages 2,475 heating degree days and 200 cooling, Fresno's 2,187 and 2,209. Those are NOAA's 1991 to 2020 normals. Ask the company how it sized the heat pump for your city's coldest days.
What protects me if the contractor walks away?
A $25,000 contractor's bond and the deposit cap; CSLB has no consumer recovery fund. B&P 7071.6 sets the bond, and the surety's liability to claimants other than homeowners and the others in 7071.5(a) is capped at $7,500. Hold the deposit to $1,000 or 10 percent, whichever is less, and pay only for work performed.
- U.S. Bureau of Labor Statistics, OEWS May 2025: Heating, Air Conditioning, and Refrigeration Mechanics and Installers (SOC 49-9021), California, mean hourly wage Read Oct 23, 2026.
- U.S. Bureau of Labor Statistics, OEWS May 2025: Heating, Air Conditioning, and Refrigeration Mechanics and Installers (SOC 49-9021), United States, mean hourly wage Read Oct 23, 2026.
- HVACMatch: how we estimate costs, California (editorial policy) Read Oct 23, 2026.
- SF DBI Table 1A-C (July 2026) Read Oct 20, 2026.
- SMUD: Home Performance Program (Improve Home Efficiency) Read Oct 20, 2026.
- LADWP Consumer Rebate Program Read Oct 20, 2026.
- NCEI U.S. Climate Normals 1991-2020 annual/seasonal (data service) Read Oct 20, 2026.
- NCEI U.S. Climate Normals 1991-2020 annual/seasonal (data service) Read Oct 20, 2026.
- NCEI U.S. Climate Normals 1991-2020 annual/seasonal (data service) Read Oct 20, 2026.
- NCEI U.S. Climate Normals 1991-2020 annual/seasonal (data service) Read Oct 20, 2026.
- CEC: Local Ordinances Exceeding the 2025 Energy Code Read Oct 20, 2026.
- TECH Clean California: Single Family Incentives Read Oct 20, 2026.
- TECH Clean California: HEEHRA Rebates Read Oct 20, 2026.
- CEC: Inflation Reduction Act Residential Energy Rebate Programs Read Oct 20, 2026.
- IRS: Energy Efficient Home Improvement Credit Read Oct 20, 2026.
- California Energy-Smart Homes Read Oct 20, 2026.
- Rebates | San Diego Gas & Electric Read Oct 20, 2026.
- PG&E: Rebates and incentives Read Oct 20, 2026.
- BayREN: EASE Home Read Oct 20, 2026.
- Cal. Code Regs. tit. 17 section 95374 (Cornell LII) Read Oct 20, 2026.
- EPA: Technology Transitions HFC Restrictions by Sector Read Oct 20, 2026.
- EPA: Section 608 Technician Certification Read Oct 20, 2026.
- California Legislative Information: BPC 7071.6 Read Oct 20, 2026.
- California Legislative Information: BPC 7159.5 Read Oct 20, 2026.
- CSLB: C-20 Permit Enforcement Letter (PDF, 2010) Read Oct 20, 2026.
- City of San Diego DSD: What Permits Do I Need? Read Oct 20, 2026.
- CSLB: Licensing Classifications Detail, C-20 Read Oct 20, 2026.
- CSLB: Check a License Read Oct 20, 2026.
- Gas Safety | PG&E Read Oct 20, 2026.
- Emergency Information | SoCalGas Read Oct 20, 2026.
- Gas safety | San Diego Gas & Electric Read Oct 20, 2026.