System Guides7 min

What Is a Heat Pump and How Does It Work?

A heat pump is an HVAC system that heats AND cools your home using a single unit by moving heat rather than generating it.

By Kodiak HVAC TeamUpdated January 6, 2026

Quick Answer

A heat pump is an HVAC system that provides both heating AND cooling by transferring heat rather than generating it. In summer, it works like an air conditioner, removing heat from your home. In winter, it reverses and extracts heat from outdoor air to warm your home. Heat pumps are 2-3x more efficient than traditional heating because they move heat instead of creating it.

If someone mentions a "heat pump," you might picture some kind of heater. But here's the thing: a heat pump is actually a complete heating AND cooling system in one unit. It looks like an air conditioner, works like an air conditioner in summer, and provides heat in winter—all using the same technology.

Let's break down how this works in simple terms, without the engineering jargon.

The Simple Explanation

A heat pump doesn't create heat—it moves it. Think of it like a pump that moves water, except it's pumping heat energy from one place to another.

  • In summer: Pumps heat OUT of your house (just like AC)
  • In winter: Pumps heat INTO your house (the reverse)

The Magic Trick

Even when it's 35°F outside, there's still heat energy in that air. A heat pump can extract that heat and concentrate it to warm your home. It's counterintuitive, but it works—and it's incredibly efficient.

How a Heat Pump Works (Simple Version)

Cooling Mode (Summer)

Cooling Process

  1. 1

    Absorb indoor heat

    Refrigerant in the indoor coil absorbs heat from your home's air.

  2. 2

    Compress and move

    The compressor pumps the heated refrigerant to the outdoor unit.

  3. 3

    Release heat outside

    The outdoor unit releases the collected heat into the outside air.

  4. 4

    Repeat

    Cool refrigerant returns inside to absorb more heat.

This is exactly how air conditioners work. In cooling mode, a heat pump IS an air conditioner.

Heating Mode (Winter)

Here's where it gets interesting. The heat pump reverses the process:

Heating Process

  1. 1

    Absorb outdoor heat

    Refrigerant in the outdoor coil absorbs heat from outside air (yes, even cold air has heat).

  2. 2

    Compress and concentrate

    The compressor concentrates this heat, making it hotter.

  3. 3

    Release heat inside

    The indoor unit releases the concentrated heat into your home.

  4. 4

    Repeat

    The refrigerant goes back outside to collect more heat.

Why Heat Pumps Are So Efficient

Traditional heating (furnaces, electric heaters) creates heat by burning fuel or converting electricity directly to heat. This process is at most 100% efficient—you get out what you put in.

Heat pumps move existing heat rather than creating it. This is like the difference between carrying water uphill in buckets versus pumping it through a pipe. The pump method takes far less energy.

100%
Electric heater efficiency
80-98%
Gas furnace efficiency
300-400%
Heat pump efficiency

A heat pump rated at 300% efficiency (common in Charlotte's climate) delivers 3 units of heat for every 1 unit of electricity consumed. You literally get more heat out than the energy you put in—because you're harvesting heat from outdoor air.

Do Heat Pumps Work in Cold Weather?

This is the most common question we get. The answer: yes, but with limitations.

Modern heat pumps work efficiently down to about 25-30°F. Below that, they still work but efficiency decreases. In extremely cold weather (below 10-15°F), some heat pumps need backup heat.

Perfect for Charlotte

Charlotte's average winter temperature is 40-50°F—well within heat pump optimal range. We only see a handful of days below 25°F each year. Heat pumps handle Charlotte winters easily without backup heat most of the time.

Heat Pump vs. Air Conditioner: What's the Difference?

Physically, heat pumps and air conditioners look nearly identical. The difference is internal:

  • Air conditioner: Only cools (one-way heat transfer)
  • Heat pump: Cools AND heats (reversible heat transfer)

A heat pump has a reversing valve that lets it switch direction. This adds about $500-1,000 to the cost compared to an AC-only unit, but you get heating capability included.

Types of Heat Pumps

Air-Source Heat Pumps (Most Common)

Transfer heat between your home and the outdoor air. This is what most people mean by "heat pump." Cost: $7,000-$18,000 installed.

Mini-Split Heat Pumps (Ductless)

Same technology, but without ductwork. Great for room additions or homes without ducts. Cost: $3,500-$6,000 per zone.

Ground-Source Heat Pumps (Geothermal)

Transfer heat to/from the ground instead of air. Extremely efficient but expensive to install due to required underground piping. Cost: $20,000-$40,000.

Should You Get a Heat Pump?

Heat pumps make excellent sense for most Charlotte homes because:

  • Our mild winters are perfect for heat pump efficiency
  • You get heating AND cooling in one system
  • Operating costs are typically lower than gas + electric AC
  • Electric is often cheaper than gas in our area
  • Environmental impact is lower than burning gas

Gas furnaces might still make sense if: gas is very cheap in your area, your home has poor insulation (needs high-output heat), or you strongly prefer the feel of gas heat.

Frequently Asked Questions

Need Help With Your HVAC?

$89 diagnostic fee waived with repairs. Same-day service available.

Frequently Asked Questions

Yes. Modern heat pumps work effectively well below freezing. In Charlotte, where temperatures rarely drop below 25°F for extended periods, heat pumps can handle virtually all our heating needs efficiently.
No—they're typically less expensive than gas furnaces or electric resistance heating. Because heat pumps move heat rather than create it, they use significantly less energy to produce the same amount of heating.
With proper maintenance, 15-20 years is typical—similar to air conditioners. The Kodiak Care Club ($19.95/month) includes bi-annual tune-ups to maximize lifespan.
Yes! That's their main advantage. One system handles both, simplifying maintenance and reducing equipment needs.
In cooling mode, they're nearly identical. The difference is that a heat pump has a reversing valve that allows it to also heat by running the cycle in reverse. An AC can only cool.

Ready for a Free Estimate?

No pressure, no obligation. Get honest pricing for your HVAC project.

KHT

Written by

Kodiak HVAC Team

HVAC professional at Kodiak Heating & Cooling.

Need Help With Your HVAC System?

Our $89 diagnostic fee is waived with repairs. Same-day service available in Charlotte and surrounding areas.