Overview

• In 2024, 69.4% of Germany’s 76,100 newly completed residential buildings installed heat pumps, marking a 5-point increase from the prior year.
• Adoption varies by building type, with 74.1% of single- and two-family homes fitted with heat pumps compared to 45.9% of multi-family dwellings.
• Average prices for air-to-water heat pumps rose 6% in 2025 to around €36,000, while gas boiler costs stabilized at approximately €16,000.
• Federal programs now subsidize up to 70% of heat pump investment costs—capped at €21,000—and include a 20% ‘speed bonus’ for installations completed by 2028.
• Despite a 59.4% drop in domestic production in 2024, first-quarter sales jumped 35%, lifting heat pumps to a 42% share of all new heating system installations.