Where heat pumps pay off in Alabama

In a typical Alabama house heated with gas, a heat pump saves the most near Hollywood (Scottsboro 2 NE) ($381 a year) and the least near Gulf Shores ($154). Typical savings $270 a year on a $900 heating bill. Pays for itself within 10 years in 9% of its ZIP codes with a hired installer, 100% if you install it yourself.

Same typical house everywhere: 1,800 sq ft, built 1970 to 1989, heating costs only, 46 places in Alabama. How

Show Savings a yearPayback time
Installed by A contractorYou (DIY)
Yearly savings on heating (hired installer)
Costs more Under $100 $100-300 $300-600 $600-1,000 $1,000-2,000 $2,000-4,000 $4,000+

Alabama at a glance

Gas heat

$270 a year

Pays for itself within 10 years in 9% of its ZIP codes with a hired installer, 100% if you install it yourself. Typical heating bill today $900.

Oil heat

$1,650 a year

Pays for itself within 10 years in 100% of its ZIP codes with a hired installer, 100% if you install it yourself. Typical heating bill today $2,250.

Propane heat

$1,250 a year

Pays for itself within 10 years in 100% of its ZIP codes with a hired installer, 100% if you install it yourself. Typical heating bill today $1,850.

Electric baseboard heat

$1,400 a year

Pays for itself within 10 years in 100% of its ZIP codes with a hired installer, 100% if you install it yourself. Typical heating bill today $2,000.

Model your own house

These open the home model at the place with the typical house filled in and gas as today's heat. Change anything to match yours.

Every place in Alabama, gas heat

PlaceHeating todaySaves a year Pays back (contractor)Pays back (DIY)Heat from the heat pump
Hollywood (Scottsboro 2 NE) $1,438 $381 8.7 years 4.7 years 85%
Valley Head $1,286 $345 9.6 years 5.2 years 85%
Russellville $1,228 $336 9.8 years 5.3 years 87%
Cullman $1,193 $334 9.9 years 5.3 years 88%
Crossville $1,180 $332 9.9 years 5.4 years 88%
Tanner $1,117 $314 10.5 years 5.6 years 88%
Meridianville $1,135 $311 10.6 years 5.7 years 87%
Haleyville $1,107 $310 10.6 years 5.8 years 87%
Collinsville $1,095 $309 10.7 years 5.7 years 88%
Eastaboga $1,067 $309 10.7 years 5.7 years 89%
Courtland $1,108 $308 10.7 years 5.8 years 88%
Muscle Shoals (Muscle Shoals 2 N) $1,098 $306 10.8 years 5.8 years 88%
Hollywood (Scottsboro Municipal Airport Word Field) $1,077 $306 10.8 years 5.8 years 89%
Madison $1,073 $302 10.9 years 5.9 years 88%
Oxford $1,022 $300 11.0 years 5.9 years 90%
Alexander City $982 $298 11.1 years 5.1 years 92%
Clanton $972 $293 11.3 years 4.4 years 91%
Muscle Shoals (Muscle Shoals Airport) $998 $287 11.5 years 4.5 years 89%
Saginaw $963 $284 11.6 years 4.6 years 90%
Tuscaloosa (Tuscaloosa Airport ASOS) $937 $280 11.8 years 4.6 years 91%
Marion Junction $952 $280 11.8 years 4.6 years 90%
Gainesville $906 $273 12.1 years 4.8 years 91%
Birmingham $903 $269 12.3 years 4.8 years 91%
Selma $890 $268 12.3 years 4.9 years 91%
Eufaula $875 $267 12.4 years 4.9 years 92%
Tuscaloosa (Northport 2 S) $844 $262 12.6 years 5.0 years 93%
Troy (Troy Municipal Airport) $857 $260 12.7 years 5.0 years 91%
Greensboro $847 $259 12.7 years 5.0 years 92%
Fulton $862 $259 12.7 years 5.0 years 91%
Montgomery (Montgomery Airport) $828 $254 13.0 years 5.1 years 92%
Greenville $820 $250 13.2 years 5.2 years 92%
Troy (Troy 2 W) $806 $249 13.2 years 6.0 years 93%
Highland Home $790 $246 13.4 years 6.0 years 93%
Evergreen $817 $246 13.4 years 5.3 years 91%
Montgomery (Maxwell AFB) $761 $240 13.8 years 6.2 years 94%
Brewton $783 $240 13.7 years 5.4 years 92%
Fort Rucker (Ft Rucker Lowe Army Heliport) $743 $231 14.3 years 5.6 years 93%
Andalusia $732 $229 14.4 years 5.7 years 93%
Midland City $713 $226 14.6 years 6.4 years 93%
Fairhope $675 $217 15.2 years 6.6 years 95%
Daleville $671 $214 15.4 years 6.1 years 94%
Montrose $649 $207 16.0 years 6.3 years 94%
Fort Rucker (Ozark Ft Rucker) $621 $199 16.6 years 6.6 years 95%
Mobile $626 $199 16.6 years 6.5 years 94%
Mobile (Mobile Dwtn Airport) $590 $189 17.5 years 6.9 years 94%
Gulf Shores $537 $154 19.8 years 6.8 years 86%

Contractor installed unless marked DIY. Place names are the nearest ZIP code city to each weather station. Download all places.

Neighboring states

How these numbers are made

Every place on the map is the area closest to one of 1,983 weather stations. For each one we ran the HeatPushers home model (the same code you can use for your own house) with the past year of hourly weather at that station (2025-10-28 to 2026-10-28) and the state's average electricity and fuel prices from the EIA (the US average where the EIA has no figure for the state).

  • The house: 1,800 sq ft, 2 stories, built 1970 to 1989 (wall insulation R-14, attic R-16), 3 bedrooms, thermostat at 70°F. The heat pump heats the whole house.
  • Heat today: gas furnace (80% efficient); oil boiler (85% efficient); propane furnace (92% efficient); electric baseboard (100% efficient). Furnace houses have ducts inside the heated space; boiler and baseboard houses have no ducts, so only ductless heat pumps count there.
  • The heat pump: out of 772 models sold online, the one with the lowest 10-year cost (price, installation and energy), in the number of units that costs least. The old heat stays and takes over in the hours it is cheaper to run.
  • Installation: a contractor at $2,500 per indoor unit, or yourself: $350 of tools once and $300 of materials per indoor unit.
  • Payback: what it costs up front divided by what it saves a year. Under 10 years means it pays for itself within the lifetime we assume.
  • Heating only. Cooling is left out. A heat pump also cools: against old central AC that saves a bit more; in a house without AC, using it in summer costs extra.
  • Not included: rebates and tax credits, electrical upgrades, new ductwork, heat-pump electricity rates and financing.
  • Shares of ZIP codes: each place counts by how many US ZIP codes are closest to its station, so cities count more than empty desert.

Your house is not this house. Size, insulation, prices and what you already own change the answer, often a lot. Use "Model your own house here" on the map, or start at the home model. More: full method and how we know.

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