Loading NuWatt Energy...
We use your location to provide localized solar offers and incentives.
We serve MA, NH, CT, RI, ME, VT, NJ, PA, and TX
Loading NuWatt Energy...
Most Texas homes have existing ductwork from central AC. But older homes, additions, converted garages, and ADUs may benefit from ductless mini-splits. Here is how to decide which system is right for your home and budget.
Last updated: February 2026
Federal 25C Tax Credit: Expired. The Section 25C energy efficiency tax credit (previously up to $2,000 for heat pumps) expired December 31, 2025. Texas utility rebates from Oncor, CenterPoint, AEP, and others remain available for both ducted and ductless heat pumps that meet efficiency requirements.
Answer one question about your home to find the right system type.
Ducted Central Heat Pump
The right choice for the vast majority of TX homes. Uses your existing ducts, replaces both AC and furnace.
Ductless Mini-Split
Perfect for garage conversions, ADUs, room additions, and older homes without existing duct systems.
Multi-Zone Ductless
2-5 indoor heads on one outdoor unit. Each room gets its own thermostat for precise comfort control.
Ducted Dual-Fuel Hybrid
Heat pump + gas furnace backup. The heat pump handles 90% of heating; furnace kicks in only on the coldest nights.
The most common choice for Texas homes. A ducted central heat pump replaces both your existing central AC and gas furnace using your current ductwork.
Installed cost (with existing ducts)
Efficiency range
Typical installation time
Ductwork Condition Matters
Leaky or poorly insulated ducts waste 20-30% of conditioned air. In Texas, where attic temperatures reach 150 degrees F or higher in summer, duct condition has an outsized impact on efficiency. Have your ducts inspected before installing a new heat pump.
Slim outdoor unit, side-discharge design, fits tight spaces. Great for TX suburban homes with small side yards.
Variable-speed compressor with Greenspeed intelligence. Premium humidity control for Gulf Coast homes.
Variable-speed, excellent dehumidification. Built for long-running cooling seasons like Texas summers.
Budget-friendly option with solid performance. Manufactured in Houston, TX — readily available and well-supported.
No ductwork needed. Indoor heads mount directly on the wall and connect to an outdoor unit through a small refrigerant line. Ideal for spaces without existing ducts.
Single zone
Multi-zone (2-5 heads)
Higher efficiency (no duct losses)
Independent temperature control
Aesthetic Consideration
Indoor wall-mounted heads are visible in your living space. Standard units are rectangular white boxes (~32 inches wide) mounted high on the wall. Some brands like LG Art Cool offer design-forward options with mirror or gallery panel finishes. Ceiling cassette and floor-mounted options are also available for different aesthetics.
Industry-leading reliability. Hyper-Heat models handle cold snaps in North TX. Whisper-quiet indoor units.
Compact, energy-efficient. Strong low-ambient heating capability. Good value compared to Mitsubishi.
Stylish indoor units with mirror or gallery design options. Popular with homeowners who want aesthetics alongside performance.
Ducted central, single-zone ductless, and multi-zone ductless compared across the factors that matter most for Texas homeowners.
| Feature | Ducted Central | Ductless Single | Multi-Zone Ductless |
|---|---|---|---|
| Cost | $5,500 - $11,000 | $1,500 - $5,000/zone | $4,000 - $12,000 |
| Uses existing ducts | Yes | No | No |
| Whole-home | Yes | No (single zone) | Yes (2-5 zones) |
| Efficiency | SEER2 15-24 | SEER2 18-23 | SEER2 18-22 |
| Installation time | 1-2 days | 0.5-1 day/zone | 1-3 days |
| Aesthetics | Hidden (in ducts) | Wall-mounted heads | Wall-mounted heads |
| Zone control | Single thermostat | Per-room | Per-room |
| Best for | Most TX homes | Additions / garages | Homes without ducts |
Texas has unique climate, housing, and HVAC challenges that affect the ducted vs ductless decision. Here are the factors that matter most.
In Houston and Southeast TX, ducted systems with variable-speed compressors handle humidity better than single-speed units. Variable-speed compressors run longer at lower capacity, pulling more moisture from the air. A properly sized ducted system keeps your home comfortable even in 90%+ humidity.
Many Texas homes built in the 1970s-1990s have aging ductwork with loose connections and deteriorated insulation. Before choosing a ducted system, have an HVAC tech inspect your ducts. Leaky ducts waste 20-30% of conditioned air and negate efficiency gains from a new heat pump.
Texas attics reach 150 degrees F or higher in summer. Uninsulated ducts running through the attic lose significant efficiency — your cooled air heats up before reaching the rooms. Consider duct sealing and insulating ($1,000-$2,000) or switching to ductless to avoid attic losses entirely.
Converting a garage to living space is extremely common in Texas. Running new ductwork to a converted garage is expensive and often impractical. A single-zone ductless mini-split ($1,500-$3,500) is the clear winner for garage conversions — fast installation and independent temperature control.
Accessory dwelling units are a growing trend in Austin, Houston, San Antonio, and DFW. A ductless mini-split is the most practical HVAC solution for an ADU — no need to extend the main house ductwork and the ADU gets its own independent thermostat and system.
Combines a ducted heat pump with a gas furnace backup for maximum reliability during Texas cold snaps. Popular in DFW, Amarillo, and the Panhandle.
Installed cost
Heating hours handled by heat pump
Switchover temperature to gas
The heat pump handles all heating above 30-35 degrees F and all cooling in summer. In Texas, this covers 90%+ of all heating hours. More efficient than gas — COP of 2.5-3.5 means you get 2.5 to 3.5 units of heat for every unit of electricity.
On the coldest winter nights (below 30-35 degrees F), the system automatically switches to the gas furnace. This provides maximum heating output when you need it most. Particularly valuable in North TX where temps occasionally drop into the teens or single digits.
Why North TX homeowners choose dual-fuel: After Winter Storm Uri in 2021 and subsequent cold weather events, many DFW and North TX homeowners want the reliability of a gas furnace backup. Dual-fuel gives you the best of both worlds — heat pump efficiency for 90% of the year and gas furnace reliability for the most extreme cold snaps.
Both ducted and ductless systems qualify for TX utility rebates. Rebate amounts vary by provider and change annually — contact your utility for current program details.
DFW, Waco, Tyler, Midland
Rebates for ENERGY STAR certified heat pumps meeting minimum SEER2 requirements
Houston metro area
Residential HVAC rebate program for qualifying high-efficiency heat pumps
South and West TX
Energy efficiency rebates for ducted and ductless heat pump installations
Various TX areas
Residential rebate program for qualifying HVAC upgrades
Austin metro area
Power Saver rebate program with higher rebates for higher efficiency systems
San Antonio area
HVAC rebate program for qualifying residential heat pump installations
The Section 25C energy efficiency tax credit (previously up to $2,000 for heat pumps) expired December 31, 2025. No federal tax credit is available for heat pump installations in 2026.
Federal HEAR rebates (up to $8,000 for low-income, $4,000 for moderate-income) are pending DOE approval for Texas. These are direct point-of-sale rebates, not tax credits. Funded through 2031 or until funds exhausted.
Overview of heat pumps in TX with cost, rebates, and climate info
Read guideFull cost breakdown by system type and home size
Read guideUtility rebate programs across Texas
Read guideHow to vet HVAC contractors in Texas
Read guideWhy one heat pump replaces two separate systems
Read guideManaging Gulf Coast humidity with heat pumps
Read guideWhether ducted or ductless is right for your Texas home, NuWatt Energy connects you with qualified installers who will assess your ductwork, recommend the best system, and help you maximize available utility rebates. Free, no-obligation assessment.