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2024 Heat Pump Guide: Single-Stage vs. Two-Stage vs. Variable-Speed/Inverter Systems Explained 

Two-Stage Heat Pump | Two-Stage Heat Pump Cost | Two-Stage Heat Pump Installation | West Chester, PA
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Heat pump systems have surged in popularity recently, becoming a household name in the evolving world of high-efficiency home heating and cooling solutions.  

This rise isn’t just a fleeting trend, it represents our shifting mindset on energy consumption and environmental sustainability.  

Homeowners and businesses alike are seeking smarter ways to manage their energy usage, leading many to turn to heat pumps as a standout option that promises significant cost savings and a smaller carbon footprint. 

This shift in thinking has been supported by increasingly stringent efficiency rules from the Dept. of Energy (DOE), and has helped spotlight heat pumps as a modern, sensible home solution. 

Anyone planning to purchase a heat pump has likely encountered the terms single-stage, two-stage, and variable-speed/inverter as system options, potentially complicating the process. We at Mattioni have helped thousands of homeowners evaluate each of these types of heat pumps, and we get this question all the time.  

In this article, we’ll explain the differences between single-stage, two-stage, and variable-speed heat pumps, and how they impact installation costs, comfort levels, and system efficiency. That way, you can feel confident in your heat pump installation decision. 

 

What is a Single-Stage Heat Pump? 

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Single-stage heat pumps have a fixed compressor and are the least expensive to install, with installation costs between $12,000 and $20,000. They represent the most basic type of heat pump, offering only a fixed running speed 

This type of system encounters the highest number of start-up sequences (the moment when nearly all energy is consumed by the system), typically making it the least efficient type of heat pump.  

Its lack of output throttling can also cause gaps in comfort, as the system has no choice but to turn off completely when it achieves the thermostat temperature. This is sometimes called short cycling. 

Think of single-stage heat pumps like riding a fixed-gear bike; you’ll have to work very hard to get up to speed (achieve the thermostat temperature) and then when you take your foot off the pedal, your speed drops (your indoor temperature rises or falls) quickly. 

Single-stage heat pumps are a great choice for homeowners with short-term budgeting restraints that are looking for an efficiency boost to their heating and cooling systems. 

 

What is a Two-Stage Heat Pump? 

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If a single-stage heat pump is a fixed-gear bike, then a two-stage heat pump is, obviously, a two-speed bike. By adding a second speed to your bike, you won’t have to work as hard to get up to speed. Then, when you are at top speed, you can maintain that speed easier by using the lower gear. 

The second run speed of a two-stage heat pump is a product of a more advanced compressor and is typically about 65% full capacity. This keeps the unit running for longer periods of time, resulting in two important things: 

  1. The system won’t have to endure as many start-up sequences (far less energy consumed) 
  1. Your home will stay closer to the set thermostat temperature 

Two-stage heat pumps cost between $14,000 and $24,000 to install and represent a “happy medium” of efficiency, comfort, and installation costs between the different types of compressors in heat pumps. They’re the perfect choice for homeowners looking for a high-quality heat pump system, without breaking the bank on installation costs. 

 

What is a Variable-Speed/Inverter Heat Pump? 

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Variable-speed/inverter heat pumps have the most sophisticated compressor, as they can throttle run speeds to virtually any capacity between 30% and 100%, making them the most advanced of your available system options. The standout features of this type of heat pump are a minimized number of start-up sequences and maximized comfort in your home. 

While they’re the most expensive of all your options (average installation costs between $15,000 and $25,000) variable-speed heat pumps are also the most efficient. Because of this, at some point you’ll see a return on the higher installation costs through the long-term utility savings. 

Variable-speed heat pumps also yield the most consistently heated and cooled home environments because they end up running virtually all the time at a very low speed. These are great fits for homes that value lowered monthly utility costs above all else, including initial installation pricing. 

 

The Big Considerations to Make When Choosing a Heat Pump System 

At this point, you should have a working knowledge of the differences between each type of heat pump system. Now we can dive into the considerations that go into a purchase decision so that you can prioritize them based on your situation. 

 

Balancing Upfront Installation Costs with Energy Efficiency 

Like most purchases, cost is at the forefront of any HVAC investment, and making your heat pump system choice should include choosing a unit that you can afford 

It’s important to know that heat pumps average a higher price than air conditioners, furnaces, and boilers, but are capable of both cooling your home and heating it more efficiently.  

Balancing your short-term budget with long-term utility cost expectations is an important consideration to make before finalizing your decision. Some homeowners may value short-term savings, and others may want to lower ongoing bills. 

No matter your situation, making an informed decision that reflects your financial circumstances and goals for the future will get you squared away with the right heat pump for you. 

 

Household Humidity Control Needs 

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Indoor humidity has a direct impact on the comfort level of your home. Too much humidity in the summer or too little in the winter can even cause health problems, among other consequences. 

While heat pumps aren’t explicitly designed to dehumidify a space, they do passively (and slightly) remove humidity from your home. Heat pumps shouldn’t be viewed as an equal replacement to a dehumidifier, which has the sole purpose of lowering humidity levels. 

However, an important thing to know when evaluating heat pump system types is that the longer the system runs, the greater the dehumidification effect on your home. This means that, you guessed it, variable-speed heat pumps are the best at moderating your home’s humidity levels. 

 

Choosing the Right HVAC Installation Partner 

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Any homeowner looking to install an HVAC system should properly vet the company they end up going with, which may include talking to a few different companies before finalizing a decision. 

The heating and cooling service industry is flooded with a range of workmanship, expertise, and professionalism, potentially making it a challenge to find a company that will provide the detail-oriented considerations necessary to properly install your heat pump. 

Make sure to check for online reviews of any service provider you’re considering, and don’t be afraid to ask as many questions as it takes for you to feel comfortable with the expertise of the person you’re talking with. 

Oftentimes the professionalism of an HVAC service provider reflects their level of installation workmanship, which is vital to get the most out of your new heat pump system. 

 

Capitalizing on Financial Incentives and Warranties 

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Tax credits and rebates for energy-efficient heat pumps are often made available via government programs and utility companies, and capitalizing on these saving opportunities is a frugal move not to be missed. 

If you’re able to, choose a system that qualifies for government and utility incentives, typically ENERGY STAR-certified equipment. 

 

Which is Right for Me: Single-Stage, Two-Stage, Variable-Speed Heat Pumps 

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Ironing down on which heat pump system type is right for you is subject to details of your home, your financial circumstances and your personal wants when it comes to heating and cooling There isn’t a way to make a general recommendation. 

For homeowners who value their short-term budget beyond anything else, single-stage heat pumps are the way to go. Likewise, those who care most about minimizing monthly utility bills should look closely at variable-speed systems for their homes. 

And, of course, two-stage heat pumps offer a happy medium when it comes to initial costs, energy efficiency, and home comfort. 

Don’t be afraid to share some information about your home and personal heating and cooling desires with an HVAC professional, to help them guide you to a system that works best for you. 

Making additional considerations including humidity control, choosing a qualifying system for financial incentives, and picking a high-quality installation partner can help make your heat pump purchase experience one that you’ll be glad you made. 

For answers to any questions about heat pump system types and installations, reach out to the HVAC team at Mattioni by calling (610) 400-8510 or by scheduling a free consultation online today. 

2024 Heat Pump Guide: Single-Stage vs. Two-Stage vs. Variable-Speed/Inverter Systems Explained 

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