Water Heating's
Next Big Thing.
Save up to $600/year on energy costs by upgrading to a heat pump water heater.
How Heat Pump Water Heaters Work
Heat pump water heaters operate on a four-step process that uses existing heat in your home's air rather than generating heat through electric resistance, making them significantly more efficient and saving you money each year.
1. Air Intake: A fan pulls ambient air through an evaporator into the system.
2. Heat Absorption: The refrigerant in the evaporator absorbs heat from the air.
3. Compression: The refrigerant passes through a compressor, raising temperature.
4. Heat Transfer: Heated refrigerant flows through coils around the tank to transfer heat to the water.
This process works when the air temperatures the system pulls from stay between 37-120°F, making these units more efficient than standard electric water heaters.
Learn About Heat Pump in 60 Sec.
Real-World Example
A family of four typically spends $800-900 annually on water heating with a standard electric unit.
With a heat pump water heater, the cost drops to $200-300 per year.
Standard Electric vs Heat Pump
No Tax Credits or Rebates Available
*Many factors affect the actual performance of a water heater. This represents our closest approximation of your likely experience with this water heater in your local area, but actual performance may vary depending on factors beyond our ability to control or estimate.
Installation Requirements
Space and Location Needs
Heat pump water heaters need more space than regular water heaters. You'll need at least 450 cubic feet of space around the unit for air circulation.
Basements and garages work well since the heat pump needs air to pull heat from. If space is limited, A. O. Smith offers ducting kits that pull air from another room.
Electrical Setup
With the exception of A. O. Smith's 120V plug-in models that use a standard household outlet, most heat pump water heaters require 240V, which requires dedicated wiring and a 30-amp breaker.
Your installer will check which option works for your home and local electrical codes.
Plumbing and Drainage
The plumbing connections are the same as most replacements. Heat pump units produce condensate like an air conditioner, so you need a drain line to a floor drain or condensate pump.
How Climate Affects Performance
Heat pump water heaters work best when the surrounding air temperature stays between 37°F and 120°F. Most basements and garages meet this requirement year-round. In colder climates, A. O. Smith's hybrid models switch to backup electric heating when needed.
Featured Smart Heat Pump Water Heaters
Still Have Questions?
With A. O. Smith smart hybrid electric heat pump technology, you may save up to $600 annually on energy costs when you upgrade from a standard electric of similar capacity. The heat pump uses heat available in your home to minimize operating costs, which can save you hundreds of dollars annually compared to a standard tank electric water heater.
A. O. Smith smart hybrid electric heat pump water heaters are built with an innovative anode to make sure your water can continue heating within your home quickly and efficiently. A. O. Smith also offers models with 6- to 10-year limited warranty options.
Choosing a smart hybrid heat pump water heater for your home will help save money throughout the water heater’s life and follows the same installation process as a standard electric water heater.
The initial purchase cost of a hybrid electric heat pump tank water heater is usually higher, which can change the cost of installation depending on your plumbing contractor. However, many utility companies around the United States provide rebates to assist in the initial upfront costs of the electric heat pump.
Use A. O. Smith’s Rebate Finder to search for rebates in your area.
A. O. Smith offers three different sizes of smart hybrid electric heat pump tank water heaters to meet your home’s needs—50, 66 and 80 gallons. When choosing the proper water heater, you should consult your local plumbing contractor to provide the correct size and model for your home. Consult A. O. Smith’s online XPERT™ Water Heater Selector.
Due to the smart hybrid electric heat pump technology transferring heat from the air in your home into the water heater, a smart hybrid heat pump water heater operates best when installed in a large space like a basement or garage.
For closets or other smaller spaces, A. O. Smith offers a ducting kit to allow the heat pump to use air from an adjacent room. You should consult your local plumbing contractor to see if a smart hybrid electric heat pump tank water heater is the right fit for your home.
Our pros make it easy.
Upgrade & Save!
Save up to $600+ per year by upgrading from a standard electric unit.
Why A. O. Smith?
A. O. Smith is a leading manufacturer of both residential and commercial water heating technologies, including the #1 most specified commercial water heater.
For more than 145 years, we’ve developed state-of-the art products that push new boundaries and improve the lives of our customers.
We combine cutting-edge technology with committed people who take pride in providing the very best support for our customers.
Our products are put through rigorous quality and endurance testing so no matter where hot water is needed, A. O. Smith can provide a solution you can count on.

