Instead of relying on a standard furnace for heating and a separate air conditioner for cooling, install a heat pump. However, if you plan on using a heat pump to control your home's climate year round, you'll need the right thermostat.

So, what's the difference between a heat pump and a furnace and why does it matter? For a furnace to function, it relies on gas or oil for fuel. In comparison, a heat pump uses electricity and refrigerant, which is usually less expensive.

If you choose a heat pump system, it is ideal for homes in areas that don't get too cold, as heat pumps don't generate as much heat as a traditional furnace. Also, a heat pump transfers heat and requires less energy than a heat-generating furnace.

Be advised, if you will ever experience prolonged periods where the temperatures fall below freezing, you will want a secondary heat source to take over. Heat pumps warm a home by drawing outside heat inside and using electricity.

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