How much does it cost to heat and cool a 2,000 sq ft home in New York?

In New York (28¢/kWh via Con Edison / National Grid NY), a 2,000 sq ft home averages $1,382/year ($115/month) with a high-efficiency heat pump, $1,053/year with a natural gas furnace and central AC, and $4,164/year with electric baseboards.

Are heat pumps cheaper to run than gas furnaces in New York?

At New York's natural gas rate of $1.78/therm, the economic break-even electricity price for a COP 3.1 heat pump is 20.5¢/kWh. Comparing this against New York's residential electricity rate of 28¢/kWh determines annual operating savings.

New York Heating & Cooling Cost Calculator (2026)

2,000 Sq Ft Heat Pump Bill

$115/mo

NY Electricity / Gas Rate

28¢ / $1.78

15-Yr Savings vs Baseboard

+$38,130

New York Annual Heating & Cooling Bills by Home Size

In New York, a 2,000 sq ft home averages $1,382/year ($115/mo) using a cold-climate heat pump ($1,290/yr winter heating + $92/yr summer cooling), compared to $1,053/year with a natural gas furnace and $4,164/year with electric baseboards.

Home Size	Heat Pump (COP 3.1)	Gas Furnace + AC	Baseboard + Window AC	15-Yr Heat Pump Savings
1,000 Sq Ft	$691/yr ($58/mo)	$527/yr ($44/mo)	$2,082/yr ($174/mo)	+$17,265
1,500 Sq Ft	$1,036/yr ($86/mo)	$790/yr ($66/mo)	$3,123/yr ($260/mo)	+$27,705
2,000 Sq Ft	$1,382/yr ($115/mo)	$1,053/yr ($88/mo)	$4,164/yr ($347/mo)	+$38,130
2,500 Sq Ft	$1,727/yr ($144/mo)	$1,317/yr ($110/mo)	$5,205/yr ($434/mo)	+$48,570
3,000 Sq Ft	$2,073/yr ($173/mo)	$1,580/yr ($132/mo)	$6,246/yr ($521/mo)	+$58,995
3,500 Sq Ft	$2,418/yr ($202/mo)	$1,843/yr ($154/mo)	$7,287/yr ($607/mo)	+$69,435

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