The Cost Desk

Cost estimate

Heat pump water heater (50-gallon)

What swapping a tank water heater for a 50-gallon heat pump unit can cost, before any rebates, built from published wages, shelf prices and contractor cost data.

Data last checked . Every input is dated below.

heater

Most homes have one. Count each unit being replaced.

Adjusts labor (state wages for this trade), materials and permits (state price levels). Permit fees are a rough stand-in; towns vary.

Fine-tune the estimateoptional

Know what your materials cost or how long the crew will take? Move a slider and the estimate follows. It stays in your browser.

4 hours per heater
1.5Ours: 3 to 57.5
$1,960 per heater
$820Ours: $1,650 to $2,250$3,380

Stays in your browser. We only place it against the range.

Typical cost

Planning range $2,450 to $4,400

Where the money goes

  • Labor$1805%
  • Materials$2,00058%
  • Permits and inspections$1304%
  • Haul-away and disposal$401%
  • Contractor overhead and profit$1,10032%

For information only. A planning range, not a quote. We take care, but our sources can lag and so can we, so a figure may be out of date. It combines the low end of every input and the high end of every input, so it is deliberately wide. Real quotes can still fall outside it.

What moves the price

The same job can quote very differently. These are the usual reasons.

The unit you choose
Shelf prices for 50-gallon heat pump units ranged from about $1,600 to $1,950 at one store; other sizes and brands differ.
Space and air
A heat pump unit is taller than a standard tank and needs open air around it. A tight closet can mean ducting or a new location.
Drainage
The unit makes condensate. Without a nearby floor drain, a condensate pump or a new drain line adds parts and time.
Electrical
A like-for-like swap often reuses the existing 240-volt circuit. A new or upgraded circuit by an electrician is extra and not in these figures.
Rebates
State and utility rebates can lower your net cost a lot. They are not subtracted here because they vary by address.

The same job at other sizes, and in each state

Both tables use the same estimate as the calculator above. They are here to read across; the calculator takes your own size and state.

Estimate at five sizes, US average
SizeTypicalRangePer heater
1 heater$3,450$2,450 to $4,400$3,443
2 heater$6,700$4,850 to $8,500$3,346

Small jobs cost more per heater because a contractor has a minimum charge, and the per-unit figure falls as the job grows until the minimum no longer applies.

Cost by state, at 1 heater
Estimate by state and the District of Columbia at 1 heater
StateTypicalRangeAgainst the US average
Alabama$3,250$2,350 to $4,150−6%
Alaska$3,700$2,650 to $4,800+8%
Arizona$3,300$2,350 to $4,250−4%
Arkansas$3,150$2,250 to $4,000−9%
California$3,700$2,650 to $4,750+7%
Colorado$3,400$2,450 to $4,350−1%
Connecticut$3,400$2,400 to $4,350−2%
Delaware$3,300$2,350 to $4,250−4%
District of Columbia$3,750$2,650 to $4,850+9%
Florida$3,300$2,400 to $4,250−4%
Georgia$3,350$2,400 to $4,250−3%
Hawaii$3,850$2,750 to $4,950+12%
Idaho$3,250$2,350 to $4,150−5%
Illinois$3,650$2,600 to $4,700+6%
Indiana$3,300$2,350 to $4,250−4%
Iowa$3,250$2,300 to $4,150−6%
Kansas$3,250$2,300 to $4,150−6%
Kentucky$3,300$2,350 to $4,200−4%
Louisiana$3,200$2,300 to $4,100−7%
Maine$3,350$2,400 to $4,250−3%
Maryland$3,550$2,550 to $4,550+3%
Massachusetts$3,500$2,500 to $4,550+2%
Michigan$3,350$2,400 to $4,300−3%
Minnesota$3,500$2,500 to $4,550+2%
Mississippi$3,250$2,350 to $4,150−6%
Missouri$3,350$2,400 to $4,300−3%
Montana$3,350$2,400 to $4,300−3%
Nebraska$3,200$2,300 to $4,150−6%
Nevada$3,350$2,400 to $4,300−3%
New Hampshire$3,400$2,450 to $4,350−2%
New Jersey$3,750$2,650 to $4,850+9%
New Mexico$3,250$2,350 to $4,200−5%
New York$3,700$2,650 to $4,800+8%
North Carolina$3,250$2,350 to $4,150−5%
North Dakota$3,250$2,350 to $4,200−5%
Ohio$3,250$2,300 to $4,150−6%
Oklahoma$3,200$2,300 to $4,050−8%
Oregon$3,700$2,650 to $4,800+8%
Pennsylvania$3,450$2,450 to $4,450about the same
Rhode Island$3,400$2,400 to $4,400−1%
South Carolina$3,250$2,350 to $4,150−6%
South Dakota$3,200$2,300 to $4,100−7%
Tennessee$3,250$2,350 to $4,200−5%
Texas$3,350$2,400 to $4,250−3%
Utah$3,300$2,350 to $4,250−4%
Vermont$3,350$2,400 to $4,300−3%
Virginia$3,400$2,450 to $4,350−1%
Washington$3,650$2,600 to $4,700+6%
West Virginia$3,250$2,350 to $4,150−5%
Wisconsin$3,300$2,350 to $4,300−3%
Wyoming$3,250$2,350 to $4,150−6%

Each state's wages for this trade, material price level and permit level are applied to the same job. They are statewide averages; towns within a state differ, and an expensive city and a rural county can sit far apart.

How we got these numbers

Labor, parts, overhead and permits, added up. Each assumption below says how solid it is.

Checked sourcePublished, secondhandOur estimate
  • Our estimateLabor hours of 3 to 5 per heater are our estimate: we found no time study. One do-it-yourself guide says 3 to 4 hours for a heat pump unit, against 2 to 3 for a standard tank.
  • Checked sourceEquipment and parts of $1,650 to $2,250 come from Lowe's shelf prices on 4 Nov 2026: a 50-gallon heat pump unit at $1,599 (on sale from $1,799) to $1,950, plus connectors, a relief valve, an expansion tank and an allowance for a condensate pump.
  • Our estimateThe condensate pump allowance has no price source yet.
  • Checked sourcePermit fees of $70 to $190: a water heater permit cost $70 to $126 in the official city fee schedules we read (Auburn CA, Pleasanton CA, Albany NY; a small sample, not a national survey); the top end allows for surcharges and higher-priced places. A separate electrical permit for a new circuit is not included.
  • Our estimateHaul-away of the old tank is $0 when the installer takes it as part of the job.
  • Checked sourcePayroll costs of 27% to 35% of wages follow the Census 2022 figure for plumbing, heating and air-conditioning contractors (fringe benefits 29.4% of payroll).
  • Checked sourceOverhead and profit of 35% to 55% is added on top of wages with payroll costs, materials, permits and disposal. Census 2022: these contractors' receipts were 53% above direct cost; NAHB's remodeler study gives 43%.
  • Published, secondhandTax credits and rebates are not subtracted. The federal credits ended for work after 31 December 2025.
  • Checked sourceCross-check: the US government-funded REMDB database (2023 dollars) puts a 50-gallon heat pump water heater swap at about $3,190 installed, about $3,340 with gas capping and about $3,640 if a new 240-volt circuit is also needed; our range spans those figures.
  • Not includedA new circuit or electrical panel work, ducting, moving the heater, gas line capping, code upgrades and water damage repairs are not included.

Sources

Where each input comes from, and when we last looked.

Related project costs