HVAC in New Construction 2023

Almost all new single-family homes that started construction in 2023 used either an air/ground source heat pump or a forced air system (without heat pump) for the primary heating system (98% in 2023), according to the Census’s Survey of Construction.  While this survey data does not separate the air source heat pump systems and ground heat pump systems (geothermals), another study discusses their usage in green building. Additionally, 17% of homes used a secondary type of heating equipment. 

Heating Systems

The type of heating system installed varies significantly by Census Division. In warmer regions of the country, air/ground source systems are more common with an 81% share in the South Atlantic and a 72% share in the East South Central. In colder regions, very few homes have air or ground-source heat pumps: only 7% of new homes started in New England and only 8% in East North Central. Forced air systems without heat pumps burn fuel to produce heat, while heat pumps transfer heat by moving air. Therefore, in extreme climates (below freezing), heat pumps can become less efficient due to the limited ambient heat available.

In general, the share of new homes using an air or ground-source heat pump as the primary means of providing heat has increased, going from 23% in 2000 to 45% in 2023. Meanwhile, the share relying on a forced air system without heat pumps has slipped, going from 71% to 53% in the same time frame.

Primary Fuel for Heating

The SOC also provides data on the primary fuel used to heat new single-family homes. Approximately 54% of new homes started in 2023 use electricity as the primary heating fuel, compared to 43% powered by natural gas, 3% using bottle or liquified petroleum gas (propane), and 0.1% using oil.

Heating fuel sources closely align with the types of heating systems used, with air and ground-source heat pumps running on electricity and most forced air systems without heat pumps using natural gas or propane. Consequently, the primary heating fuel source differs significantly by region across the country. For example, in New England only 10% of new homes used electricity as the primary heating source. In contrast, 83% of new homes started in the South Atlantic use it. Additionally, while most regions fall under 10% in their usage of propane, New England had a 29% share and East North Central had 11%.

Air Conditioning

In 2023, 98% of new single-family homes started had a central AC system, rising from 97.1% in 2022. This percentage has risen steadily since 2000 when only 85.5% of homes had a central AC system.

Though the share of new single-family homes started with central AC differs across the country’s nine Census divisions, the highest share is concentrated in the South region: 100% of homes started in the South Atlantic, East South Central, and West South Central divisions had central AC installed. Closely falling behind were the West North Central and Pacific Divisions, both at 98%. Trailing last were the Middle Atlantic (95%), East North Central (94%), Mountain (93%), and New England (89%) divisions.