Georgia Heat Pump Leasing & Installation Guide
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.
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.
| Comfort Plan | Cash | Loan | |
|---|---|---|---|
| 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 | Yes | No | No |
| Eligible for incentives | Yes | No | No |
Get a quote See how Comfort Plan works
Georgia Heat Pump Rebates & Incentives
State and federal incentive programs can significantly reduce the cost of a new heat pump system. Here are the programs available to Georgia homeowners.
Home Efficiency Rebate (HER)
Up to $16,000
Provides rebates for any work that reduces energy use in the home, including replacing HVAC systems, as long as the work is estimated to reduce total household energy use by at least 20%. Participation requires residents to work with an approved contractor who will use specialized diagnostic tests and software to figure out which measures will reduce the most energy use and save the most money.
Eligibility: The efficiency rebate program covers 98% of the project cost up to $16,000 per household for low-income households (making less than 80% of the median income for the local area) and 50% of the project costs up to $4,000 for all other households. There is no income cap—any household that saves enough energy through qualifying improvements can receive a rebate.
Home Electrification and Appliance Rebates (HEAR)
Up to $8,000
Provides rebates to low- to medium-income households for heat pumps, heat pump water heaters, heat pump clothes dryers, electric stoves, cooktops, ranges, ovens, and other electrification upgrades.
Eligibility: The Electrification and Appliance program rebates are reserved for only low- and middle-income households, with low-income households (making less than 80% of the median income) eligible for larger rebates than middle-income households (making between 80% and 150% of the area median income). Households with income less than 80% of AMI qualify for a 100% rebate.
Federal IRA Tax Credit
Up to $2,000
The Inflation Reduction Act provides a federal tax credit of up to $2,000 for qualifying heat pump installations through 2032.
Eligibility: Available to homeowners who purchase and install a qualifying heat pump system. Claimed on your annual federal tax return.
Georgia homeowners have access to two robust state-level heat pump rebate programs in 2026. The Home Efficiency Rebate (HER) program offers up to $16,000 for whole-home energy efficiency improvements including heat pump installation, while the Home Electrification and Appliance Rebates (HEAR) program provides up to $8,000 for qualifying low- and moderate-income households switching to electric heat pumps. Combined with the federal IRA tax credit of up to $2,000, Georgia residents can significantly reduce the upfront cost of heat pump installation. Palmetto can help homeowners navigate these programs, verify eligibility, and maximize available rebates and incentives.
Incentive information is based on publicly available data as of 2026 and may change. Contact program administrators to verify current availability and eligibility requirements.
Georgia Electricity Prices
Understanding Georgia’s electricity costs is essential when considering your home’s heating and cooling options—especially as rates continue to climb.
Georgia electricity rates have increased 12.8% since 2021, rising from 12.5 to 14.1 cents per kWh. While still below the national average, these steady increases impact your monthly energy bills year after year.
Heat pumps offer a practical solution to rising electricity costs. Because they’re 2-3x more efficient than traditional HVAC systems, they use significantly less electricity to deliver the same heating and cooling comfort for your home.
As electricity rates continue their upward trend, efficiency becomes even more valuable. A heat pump’s lower energy consumption means you’re better insulated from future rate increases, keeping more money in your pocket over time.
Price of Energy: Georgia vs National Average
0¢
10¢
20¢
30¢
13.7¢
12.5¢
15.0¢
13.8¢
16.0¢
13.7¢
16.5¢
14.1¢
2021
2022
2023
2024
US Average
Georgia
Source: US Bureau of Labor Statistics, Energy Information Administration, Form 861
Georgia Utility Providers
Georgia residents benefit from electricity rates below the national average. Based on 2023 data, major providers like Georgia Power, Cobb EMC, and GreyStone Power charge between 11.67¢ and 14.62¢ per kWh—well under the national average of 16.0¢.
Georgia’s competitive electricity costs stem from diverse energy sources, including nuclear, natural gas, and renewable energy. The state’s electric cooperatives often deliver lower rates through community-focused operations, while Georgia Power’s extensive infrastructure serves millions efficiently across urban and rural areas.
Even with Georgia’s favorable rates, heat pumps can reduce your total energy spending. Their exceptional efficiency means they use less electricity than traditional HVAC systems to heat and cool your home—turning Georgia’s already-reasonable electricity costs into even greater savings year-round.
Georgia Utilities Electricity Rates
| Utility Provider | Rate (per kWh) | Change |
|---|---|---|
| Georgia Power Co | 14.62¢ | -9% |
| Jackson Electric Membership Corp | 11.98¢ | -25% |
| Cobb Electric Membership Corp | 11.67¢ | -27% |
| Sawnee Electric Membership Corp | 12.58¢ | -21% |
| GreyStone Power Corporation | 11.98¢ | -25% |
| Walton Electric Membership Corp | 13.36¢ | -16% |
| Adjustment 2023 | 13.37¢ | -16% |
| Snapping Shoals Electric Membership Corp | 12.41¢ | -22% |
| GA Average | 13.70¢ | -14% |
| US Average | 16.0¢ | — |
Source: US Energy Information Administration, 2023, Form 861, Table 6
Georgia Heat Pump City Guides
Explore detailed heat pump installation guides for cities across Georgia. Each guide includes local utility rates, incentives, and climate-specific recommendations.
City Guides
Frequently Asked Questions
Do heat pumps work well in Georgia?
Yes, heat pumps work exceptionally well in Georgia’s mild climate. The state’s moderate winters rarely see extended periods below freezing, which allows heat pumps to operate efficiently year-round for both heating and cooling.
How much does a heat pump cost in Georgia?
Heat pump costs in Georgia typically range from $5,000 to $20,000 for a complete system, depending on your home’s size, the equipment type, and installation complexity.
What are the best heat pump brands for Georgia homeowners?
The best heat pump brands for Georgia homeowners include Carrier, Trane, Lennox, Rheem, and Mitsubishi Electric.
Are there heat pump rebates available in Georgia?
Yes, Georgia homeowners can access heat pump rebates through federal programs.
Should I lease or buy a heat pump in Georgia?
The choice depends on your financial situation and preferences.
Is a heat pump worth it financially in Georgia?
Yes, heat pumps typically use 50% less electricity for heating compared to traditional systems.
What size heat pump do I need for my Georgia home?
The right heat pump size for your Georgia home depends on several factors: your home’s square footage, insulation quality, ceiling height, window efficiency, and local climate conditions.