Heat in winter and cool in summer from the same outdoor unit

Here is how a heat pump works and when it takes the place of a furnace and an AC.

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Heat and cool

How it works

A heat pump moves heat instead of making it. In summer it pulls heat out of the house like an AC. In winter it runs the other way and brings heat in from the outside air, even on a cold Bay Area morning.

When it replaces a furnace and an AC

If the AC is old and the furnace is close behind, a heat pump with an air handler can take both jobs. If you have ducts, it uses them. If you do not, a ductless system does the same work room by room.

The job, step by step

Look first

We look at the house, the ducts and the electrical panel.
Set and run

The outdoor unit is set, the line set run, and the indoor air handler or coil installed.

Stanford
Test both ways

We start it, check heating and cooling both, and set up the thermostat for a heat pump.

Job photos

Outdoor units from our jobs

See every job

City permit rule

City of San Jose

The rules that come with it

San Jose lists heat pumps, including their condensate, among the mechanical permits filed online.

Heat pump work permitted on or after January 1, 2026, is built to the 2025 Energy Code.
Some heat pump installs need HERS testing by the state's rules, which permitted work sets off.
A homeowner can bring an independent HERS rater rather than one the contractor works with.

Checked November 2026City of San Jose, SJPermits.org Available Online Permits

Checked November 2026California Energy Commission, 2025 Building Energy Efficiency Standards

Checked November 2026California Energy Commission, Home Energy Rating System Program