AFUEAnnual Fuel Utilization EfficiencyGas furnace efficiency - 95% AFUE means only 5% of fuel is wasted up the flue.
COPCoefficient of PerformanceHow much heat you get for your electricity dollar. COP 3 = 3x more efficient than a space heater.
EEREnergy Efficiency RatioHow well your AC performs on the hottest days. Less important than SEER2 for overall costs.
HSPFHeating Seasonal Performance FactorOld heat pump heating efficiency - higher = cheaper winter heating.
HSPF2Heating Seasonal Performance Factor 2Heat pump heating efficiency rating - higher number means cheaper winter heating.
SEERSeasonal Energy Efficiency RatioOld cooling efficiency rating - higher number = lower electric bills.
SEER2Seasonal Energy Efficiency Ratio 2Cooling efficiency rating - higher number means lower electric bills. The current standard.
Air HandlerAir Handler Unit (AHU)The indoor unit that moves air through your home. Contains the blower fan and, for heat pumps, the indoor coil.
Auxiliary HeatBackup/Supplemental HeatingBackup heating that kicks in when heat pump can't keep up - can be electric strips OR gas furnace.
Cold Climate Heat PumpCold Climate Air Source Heat Pump (ccASHP)Heat pump designed for extreme cold - works efficiently down to -15°F.
CondenserOutdoor Condensing UnitThe outdoor unit of your AC or heat pump. Contains the compressor that does the heavy lifting.
Condensing FurnaceHigh-Efficiency Condensing Gas FurnaceA 90%+ AFUE furnace that extracts extra heat by condensing exhaust gases. Requires drain line for condensate.
Defrost CycleHeat Pump Defrost ModeWhen your heat pump briefly reverses to melt ice off the outdoor unit. Normal in winter.
Dual FuelDual Fuel Heat Pump SystemHeat pump + gas furnace that automatically switches to whichever is cheaper to run.
DuctedDucted HVAC SystemTraditional central heating/cooling that uses ductwork to distribute air throughout the home.
DuctlessDuctless HVAC SystemHeating/cooling without ductwork - typically mini-splits with wall-mounted indoor units.
Inverter CompressorVariable Speed Inverter-Driven CompressorCompressor that adjusts speed to match demand - runs quieter and uses 20-50% less energy.
Mini SplitMini-Split SystemSplit system with compact outdoor unit. Can be ductless (wall units) OR ducted (regular air handlers). 'Mini' refers to the outdoor unit size.
ModulatingModulating/Variable CapacityThe most advanced stage control - adjusts output continuously from 10% to 100%. Maximum comfort and efficiency.
Side DischargeSide-Discharge Outdoor UnitOutdoor unit with the fan on the side instead of the top. Becoming standard in 2025+ equipment.
Single-StageSingle-Stage Compressor/FurnaceBasic on/off operation - runs at 100% or not at all. The most common and least expensive option.
Split SystemSplit HVAC SystemAny system with separate indoor and outdoor units connected by refrigerant lines. Includes both central AC and mini-splits.
Two-StageTwo-Stage Compressor/FurnaceHas high and low settings - starts on low, switches to high if setpoint isn't reached.
Variable SpeedVariable Speed Furnace/BlowerFurnace fan that adjusts airflow for quieter operation and better comfort.
ZoningHVAC Zone ControlDividing your home into independent temperature zones. Heat or cool only the rooms you're using.
Balance PointHeating Balance Point TemperatureThe temperature where your heat pump needs help from backup heating.
Manual JManual J Load CalculationCalculation that determines the right size system for your home. Wrong size = comfort problems and wasted money.
Short CyclingHVAC Short CyclingWhen your system turns on and off too frequently - usually a sign of oversizing. Variable-speed systems don't short cycle.
Switchover PointDual-Fuel Economic Switchover TemperatureThe temperature where your thermostat switches from heat pump to backup heating to save money.
TonTon of Cooling/Heating CapacityUnit of HVAC size. Most homes need 2-5 tons depending on square footage.
Altitude DeratingHigh-Altitude Equipment Performance LossHVAC equipment works harder at altitude. Denver systems need to be sized ~20% larger than sea level.
25C Tax CreditFederal Energy Efficient Home Improvement Credit (Section 25C)Former federal tax credit for heat pumps - ended December 2025. No longer available.
30C Tax CreditAlternative Fuel Vehicle Refueling Property Credit (Section 30C)Federal tax credit for EV charger installation - 30% of cost, up to $1,000. Expires June 30, 2026.
AMIArea Median IncomeIncome limit for HEAR rebates. Based on your household size and county - use the calculator to check.
Clean Heat PlanColorado Clean Heat PlanColorado's policy requiring utilities to cut emissions. The reason Xcel heat pump rebates tripled in 2025.
HEARHigh-Efficiency Appliance RebateColorado's income-based rebate - up to $8,000 for heat pumps if you qualify.
Xcel EnergyXcel Energy ColoradoColorado's largest electric and gas utility. Offers the biggest HVAC rebates in the state.
R-32R-32 RefrigerantAlternative refrigerant common in Asia and Europe. Not ideal for cold climates like Colorado.
R-410AR-410A Refrigerant (Puron)The refrigerant in most existing AC/heat pump systems. Being phased out but your system will still be serviced.
R-454BR-454B Refrigerant (Opteon XL41)The new standard refrigerant - 78% lower environmental impact than R-410A.