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4 Min Read

Pros and Cons: Furnace vs Heat Pump

Front Exterior View Of Custom Built Home by GTG Builders

When it's time to upgrade your home's heating system, you might wonder if you should stick with what you know or try something new. Choosing between a heat pump and a furnace is a decision that should be made with education and all the facts. Here, we'll discuss the pros and cons of furnaces versus heat pumps based on the situation and common questions homeowners like you have.

 

What’s the Difference Between a Heat Pump and a Furnace?

Choosing between a heat pump and a furnace starts with understanding how they work. After all, you can't just base such an important choice on a whim. A furnace generates heat by burning natural gas, propane, oil, or through electric resistance. It’s tried and true technology that’s been relied on for decades, especially in colder climates.

A heat pump, by contrast, moves heat rather than creating it. It uses electricity to draw heat from the air outside and transfer it indoors. In many cases, a heat pump that runs on electricity can be quite efficient, particularly in homes built or upgraded for energy efficiency.

All about heat pumps

Is a heat pump worth it in New Jersey? Absolutely, it is. According to real-world data from the U.S. and Europe, a heat pump lasts 12 to 15 years on average. You might hear claims that this option can last infinitely, but the data does not support that. How long your heat pump lasts depends heavily on how hard it has to work. A high-efficiency, airtight home will last longer and run more efficiently. However, the strain in an older, drafty home could shorten its life.

Longevity Tips

Here are a few best practices to keep your heat pump working as long as possible:

  • Invest in insulation and sealing before installing a heat pump.
  • Maintain it regularly without unnecessary maintenance agreements.
  • Choose professional installation to maximize efficiency.

Looking at furnaces

How long does a furnace last in NJ? A well-maintained furnace typically lasts 20 to 25 years, making it a longer-term investment than a heat pump. If you're staying with natural gas, you can expect decades of reliable service, especially if you choose a newer, high-efficiency model. This is a tried-and-true technology, meaning you can relax in the knowledge that it will work.

Longevity Tips

Yes, even the ever-popular furnace can be optimized in a few ways, like:

  • Not getting locked into an unnecessary furnace service.
  • Maintain your furnace with an HVAC professional annually.
  • Investing in a newer, ultra-efficient furnace. 

Is It Better to Replace Your Furnace or Get a Heat Pump?

If you're considering replacing your furnace with a heat pump, it's important to assess your specific situation. However, a good rule of thumb is: if you specifically want a furnace or heat pump, go with your specific preference. If you're undecided, here are a few ideas to consider. 

Think about fuel. Switching to a heat pump can significantly cut your heating costs if you rely on oil, propane, or electric resistance. A furnace might still be your best choice if natural gas is available. If you’ve improved your home's insulation and sealing, a heat pump could be the smarter move. The energy efficiency envelope can be built by installing solar panels and pairing them with an electric furnace or heat pump, which could dramatically reduce your energy costs. The specifics will always depend on the details of your home. You can check out our Energy Efficiency Checklist to see what might be possible in your home. 

The gas or electric choice

If you stay with a furnace, you'll need to choose gas or electric. Here are a few of the differences between the two options. Natural gas furnaces are more economical in New Jersey in the long term. Still, electric furnaces are cleaner and easier to pair with solar energy solutions, making them particularly appealing for eco-conscious homeowners. Talk to an HVAC professional to help you decide on the right furnace for your home.

When comparing gas heat vs electric heat, gas is often better if you can access it. Here are a few more differences:

  • Gas heat is cheaper month-to-month than electricity in most parts of NJ.

  • Gas furnaces are robust and reliable, especially during cold snaps.

  • Electric options are cleaner but can cost more unless combined with solar panels.

If your home is set up for it, natural gas remains one of the best values for residential heating in New Jersey.

Cost of Heat Pump vs Gas Furnace

You’re probably wondering about the cost of a heat pump versus a gas furnace. Budget is always important, but shouldn't be the driving factor in any decision you make. Here’s what you need to know about operating costs and more:

  • Heat pumps usually cost more to install.

  • If you have affordable gas service, gas furnaces tend to have lower monthly bills.

  • Well-sealed, efficient homes can close the cost gap with a heat pump, especially if they integrate solar.

  • Gas furnaces deliver lower costs if you're connected to affordable natural gas.

  • Heat pumps offer big savings when combined with airtight construction, solar energy, and rebates.

The safety aspect

Do heat pumps produce carbon monoxide? No, heat pumps do not produce carbon monoxide. Because they don’t burn fuel, there’s no combustion risk. If indoor air quality and safety are important to you, a heat pump offers some peace of mind. Heat pumps are among the safest home heating options available.

Are furnaces safe? When properly installed and maintained, furnaces are very safe. Today’s models have advanced safety features like automatic shutoff sensors, sealed combustion chambers, and carbon monoxide detectors. However, because gas and oil furnaces involve combustion, regular inspections are essential to catch any issues early. Installing a carbon monoxide detector near your furnace is a simple step that adds extra protection. With the proper care, your furnace can safely heat your home for decades.

Is a Furnace or a Heat Pump Right for You?

As you've learned, the pros and cons of a furnace versus a heat pump depend on the type of home, the insulation, and your preferences. If your home is older, a highly efficient furnace is likely the best choice. But if you're building a new custom home, a heat pump gives you new options. In this day and age, there's hardly a poor choice; just a decision that's up to you. Our Custom Home Guide can give you even more ideas of your options when you're building a custom home. 

Working with GTG Builders

When you work with GTG Builders, you gain a trusted advisor with over 20 years of hands-on experience. We’ve built strong relationships with local HVAC pros, suppliers, and inspectors, which means you get accurate, up-to-date advice and smart, vetted options tailored to your home. We guide you every step of the way, from the first question to the final finish of your custom home.

That means you get real-world insights, not just product specs. Whether you're exploring heat pumps, furnaces, or net-zero upgrades, our resources can help you make confident, informed decisions tailored to your home’s unique needs. We know what works here in New Jersey and have a glowing portfolio to prove it.

Contact Us 

Are you ready to discuss building a custom home or perhaps remodeling one? We'd love to hear from you. 

Contact us today for a consultation.