Plug In Heat Pump Water Heaters: Hybrid Electric Models
Save an average of $600 annually on energy costs when upgrading from a standard electric water heater to a A.O Smith smart heat pump water heater - that's $6,000 in savings over 10 years!
ACT NOW - Federal Tax Incentive ends 12/31/2025
NOTICE: When filing a federal tax return, include A. O. Smith's Qualified Manufacturer (QM) code A5X5 on tax form 5695.
Learn About Heat Pump Tech in 60 Sec.
A. O. Smith high-efficiency hybrid electric heat pump water heaters have 4x more efficiency using heat pump technology compared to standard tank units. Using ambient heat from the air, it keeps the water stored in the tank hot and ready.
Understanding Heat Pump Water Heater Technology
Heat pump water heaters move heat instead of creating it. A fan pulls air into the system, where the refrigerant soaks up heat from that air. The refrigerant gets compressed to make it hotter, then flows through coils around your tank to heat the water. This works when air temperatures stay between 37-120°F, making these units more efficient than standard electric water heaters.
Why Choose a Hybrid Electric Heat Pump Water Heater?
Superior Energy Efficiency
- Reduces operating costs by up to 70% compared to standard electric water heaters
- Saves homeowners an average of $600 per year on energy bills
- Operates 4x more efficiently than conventional electric water heaters of similar capacity
- Qualifies for ENERGY STAR® rebates that can offset initial purchase costs
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.
Highest Efficiency Ratings & Rebates
- UEF (Uniform Energy Factor) ratings up to 3.2 on plug-in models
- ENERGY STAR® certified for guaranteed energy performance
- Qualify for up to $2,000 in federal tax credits when filing your tax return
- Local utility rebates up to $1,600 may be available in your area
- Combined savings potential of $3,600 in rebates and tax credits
Pro tip: Use A. O. Smith's Qualified Manufacturer Code A5X5 on tax form 5695 when claiming federal tax credits.
Durable with 10-Year Peace of Mind
Advanced Protection Features:
- Anti-leak protection system with real-time monitoring and alerts
- Automatic shut-off valve compatibility for added safety
- Corrosion-resistant tank construction for extended lifespan
- Smart diagnostic capabilities for proactive maintenance
Warranty Coverage:
- 10-year limited warranty on tank and parts
- Professional installation support through certified contractors
- Average lifespan of 12-15 years with proper maintenance
- Lower maintenance costs compared to traditional water heaters
Better for the Environment
- 70% less energy consumption than standard electric water heaters
- Significantly lower carbon footprint - equivalent to removing a car from the road for 6 months annually
- Uses renewable ambient air heat as the primary energy source
- Reduces strain on the electrical grid during peak demand periods
Electric Tank vs Electric Heat Pump Water Heaters: Which is Right for You?
When choosing a new water heater, two popular options are traditional electric tank water heaters and hybrid electric heat pump water heaters. Both have their advantages, but they differ in how they operate, how much they cost to run, and their environmental impact. Here’s a side-by-side comparison to help you decide.
Choosing the right water heater involves balancing factors such as fuel availability, energy efficiency, household size and upfront costs. For many, the choice eventually narrows down to gas or electric heat pump water heaters.
Rebates & Tax Credits
Get up to $2,000 in federal tax credits, plus up to $1,600 in local utility rebates may be in your area when you upgrade to a Smart Heat Pump Water Heater!
ACT NOW - Federal Tax Incentive ends 12/31/2025
When filing a federal tax return, include A. O. Smith's Qualified Manufacturer Code A5X5 on tax form 5695.
How Plug In Heat Pump Water Heaters Work
Heat pump water heaters operate using a four-step process:
1. Air Intake: A fan pulls ambient air through an evaporator
2. Heat Absorption: The Refrigerant in the evaporator absorbs heat from the air
3. Compression: The refrigerant passes through a compressor, raising temperature and pressure
4. Heat Transfer: Heated refrigerant flows through condenser coils around the tank, transferring heat to the water
This process uses existing heat in your home's air rather than generating heat through electric resistance, making it significantly more efficient.
Why Choose a Plug in Heat Pump Water Heater
Save an Average of $600 Annually on Energy Bills
A. O. Smith's plug-in heat pump water heaters use up to 70% less electricity than standard electric models. A typical family spending $800-900 annually on water heating with a standard electric unit can drop to $200-300 per year with a heat pump water heater. These ENERGY STAR® certified units deliver the same hot water you need while providing substantial energy savings. Learn more about our hybrid water heater technology and efficiency ratings.
Installation Made Simple
Plug-in models are easy to install. A. O. Smith's 120V plug-in heat pump water heaters work with standard household outlets, so you don't need new electrical wiring. These units cost more upfront than regular electric water heaters, but federal tax credits up to $2,000 help with the cost. The energy savings typically pay back your investment in 3-6 years.
Better for Your Home and the Environment
Heat pump water heaters use 70% less energy than standard electric units, which reduces your carbon footprint. These units also cool and dehumidify the air around them while running, which helps if they're installed in your basement or garage during summer.
Installation Requirements for Plug In Heat Pump Water Heaters
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
A. O. Smith's 120V plug-in heat pump water heaters use standard household outlets. This makes installation easier than 240V models that need 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 those of any water heater replacement. Heat pump units produce condensate like an air conditioner, so you need a drain line to a floor drain or condensate pump. Your installer will set this up during installation.
How Climate Affects Performance
Heat pump water heaters work best when the air around them stays between 37-120°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, though efficiency drops during cold weather.
Still Have Questions?
With A. O. Smith smart hybrid electric heat pump technology, you may save an average of $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™ Product 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.
Electric Tank vs Electric Heat Pump Water Heaters: Technical Stats
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.
Our pros make it easy – install & save!
Save more than $600 annually when you upgrade from a standard electric of similar capacity. Get it professionally installed by local independent contractors.
Featured Smart Hybrid Electric Heat Pump Tank Water Heaters
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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.

