Your heat pump proposal
We recommend replacing your 1998 oil boiler with a whole-home cold-climate heat pump system. It heats your whole house through a Newton winter and adds the central air conditioning you don’t have today.
- Home: 1956 colonial, 2,200 sq ft
- Heat today: oil boiler with baseboard
- Oil use: about 800 gallons a year
- Cooling today: 4 window units
- Electric utility: Eversource
- Insulation: attic partial, walls none
Your recommended system
Two outdoor units serve the whole house, 4 tons in total, sized from a room-by-room heat-loss calculation of your home.
| Area | Equipment | Why |
|---|---|---|
| First floor and basement | 2-ton ducted heat pump, attic air handler | Even heat and cooling with no units on the walls downstairs |
| 3 bedrooms and upstairs bath | 3 wall units on one 2-ton outdoor unit | Each bedroom gets its own thermostat |
- One system for heat and air conditioning. The window units go.
- No more oil deliveries, oil tank or yearly boiler tune-up.
- Rated to keep heating efficiently below 0°F, and listed on Mass Save’s qualified product list.
- Warranty: 12 years on parts and compressor from the manufacturer, 2 years on labor from Lantern.
Your investment and rebate
After the Mass Save rebate, your cost is about $19,500, and the 0% HEAT Loan can cover all of it.
| Total project price, including equipment, install, ductwork and permits | $28,000 |
| Mass Save whole-home rebate: 4 tons at $2,650 per ton, capped at $8,500 | −$8,500 |
| Your cost after rebate | $19,500 |
| 0% HEAT Loan over 7 years (example) | about $232 a month |
- There is no federal heat pump tax credit in 2026. The Mass Save rebate is the main incentive.
- To qualify, your home needs a Home Energy Assessment, and it has to meet Mass Save’s insulation and air-sealing requirements before installation.
- Income-eligible households can qualify for a larger rebate. Ask us to check.
Rebates are paid by Mass Save, which sets final eligibility. Amounts shown are 2026 program figures.
What it costs to heat your home
We estimate you’d spend about $990 less a year on heat and upkeep, and gain central air.
| Each year | Oil boiler today | Heat pumps |
|---|---|---|
| Fuel or electricity for heat | $3,352 | $2,663 |
| Boiler service | $300 | $0 |
| Total | $3,652 | $2,663 |
Your boiler is 28 years old. Replacing it with another oil boiler typically costs $12,000 to $15,000 and keeps you on oil for another 20 years.
Heat pump homes on Eversource, National Grid and Unitil also get a lower winter electric rate from November through April.
How we estimated: 800 gallons of oil at $4.19 a gallon and 82% boiler efficiency, compared with about 9,860 kWh at $0.27 per kWh for a heat pump with a seasonal efficiency of 2.7. Your savings depend on the winter, your thermostat settings, and future oil and electric prices.
Your next steps
Most projects take 8 to 12 weeks from today to a working system.
- Book your free Home Energy Assessment by calling Mass Save at 866-527-7283. It’s required for the rebate and the 0% loan. (Weeks 1–2)
- Complete any insulation and air sealing the assessment calls for. Mass Save covers most of the cost. (Weeks 3–6)
- Apply for the 0% HEAT Loan. We’ll send the forms and a list of lenders. Approval can take a few weeks, so start early. (Weeks 2–6)
- Sign your proposal and schedule installation. The install takes 3 to 4 days. (Weeks 6–10)
- Submit your rebate. We give you an invoice with every model number Mass Save requires and help you file. (Weeks 10–12)
Common questions
Will it keep us warm in January? Yes. The system is sized for Newton’s coldest design temperatures, and the equipment keeps heating well below 0°F.
Why do we need an energy assessment first? Mass Save requires it for the rebate and the loan. Sealing leaks first also means a smaller system can heat your home.
What happens to the oil tank? We can remove it as part of the project. Ask us for a separate price.
Will our electric bill go up? Yes, but your oil bill goes away. The table above compares the two.
How long will it last? Heat pumps typically last 15 to 20 years with yearly filter cleaning and a maintenance visit.
Ready to move forward?
Reply to this email or call Lantern Home Comfort at (617) 555-0142.
Lantern Home Comfort and the Alvarez household are fictional. Figures are estimates for this example home.