Heat pump (ducted, outdoor unit + air handler) replacement cost in Grand Rapids, MI
Installed, 3 ton system
A typical heat pump (3 ton system) costs about $5,750 installed in the Grand Rapids area, about the same as the national figure, because HVAC technicians here earn a median $29 an hour against $29 nationally.
Prices by size in Grand Rapids
| Size | Low | Typical | High | National typical |
|---|---|---|---|---|
| 2 ton system | $3,900 | $4,850 | $6,950 | $4,850 |
| 3 ton system | $5,000 | $5,750 | $7,650 | $5,750 |
| 4 ton system | $6,450 | $7,100 | $9,400 | $7,150 |
| 5 ton system | $7,650 | $8,450 | $10,950 | $8,450 |
Local labor: what HVAC technicians earn here
| Hourly wage | Grand Rapids metro | United States |
|---|---|---|
| 25th percentile | $24 | $23 |
| Median | $29 | $29 |
| 75th percentile | $37 | $37 |
The Grand Rapids market
Grand Rapids' FY2027 fee schedule lists residential replacement equipment under mechanical permits: furnaces, AC units and heat pumps, and water heaters at $21 each, plus a $52 application that includes one inspection. Plumbing permits also carry a $52 application and a $21 water heater line. No city page states the requirement in words, but the fee lines make a permit the expected route. A homeowner may apply in person at the Development Center for a mechanical permit on their primary single-family residence; properties with two or more units must use a licensed contractor, who registers their State of Michigan license with the city. DOE puts Kent County in cold climate zone 5A. EIA's 2020 survey found 77% of Michigan homes heat with natural gas and 83% use a furnace.
Michigan's MiHER program offers HEAR rebates for households at or below 150% of area median income, but new income-qualified applications in the Grand Rapids district were temporarily unavailable in October 2026. In zone 5A, ask whether a cold-climate model or a gas furnace backup suits your home. Ask for the unit's heating capacity at low outdoor temperatures. Check Consumers Energy's official site for utility offers.
Permits in Grand Rapids
| Permit for this job | Yes (inferred from 'Residential Replacement Equipment' fee lines; residential mechanical permit page says work under the Michigan Mechanical/Residential Code needs a permit) (source) |
|---|---|
| Fee | Mechanical: Application (includes 1 inspection) $52.00 + furnace replacement $21.00, AC/heat pump replacement $21.00, water heater replacement $21.00. Plumbing: Application (includes 1 inspection) $52.00 + water heater $21.00. |
| Who can pull it | Homeowner of single-family primary residence (in person) or licensed contractor; 2+ unit properties must use a licensed contractor |
| Inspection | Yes (permit application fee includes 1 inspection) |
Rebates in Michigan
HEAR: open with limits. HOMES: open with limits. Source: EGLE Materials Management Division, Energy Services, checked October 13, 2026.
What these programs cover, and other states
Other systems in Grand Rapids
Heat pump (ducted, outdoor unit + air handler) cost in other metros
Sources
- Grand Rapids, MI permit source (water heater permit)
- Grand Rapids, MI permit source (who can pull)
- Grand Rapids, MI permit source (notable local rule)
- Grand Rapids, MI permit source: Same homeowner/contractor rules for plumbing
- DOE Building America: Guide to Determining Climate Regions by County
- Michigan EGLE: Home Energy Rebate programs
- EIA RECS 2020: Highlights for space heating fuel in U.S. homes by state
- EIA RECS 2020: Highlights for space heating in U.S. homes by state
- EIA RECS 2020: Highlights for air conditioning in U.S. homes by state
- EIA RECS 2020: Highlights for water heating in U.S. homes by state
- BLS OEWS May 2025, Grand Rapids-Wyoming-Kentwood, MI (49-9021 HVAC mechanics and installers)
- DOE Residential CAC & Heat Pumps Direct Final Rule TSD (Dec 2016), Table 8.2.30, split heat pump (2015$; 4-ton interpolated)