Best Heat Pump Hot Water Brands in Australia (2026 Review)

This review covers the nine heat pump hot water brands with meaningful Australian market presence in 2026: Daikin, Sanden, Reclaim Energy, Stiebel Eltron, Rinnai, Rheem, Chromagen, iStore and Midea. Together they account for the vast majority of residential heat pump installs nationally.

Our brand reviews are based on five criteria that matter most to Australian homeowners:

• Efficiency (COP): How much heat the system produces per unit of electricity. Higher COP means lower running costs. Range across the 9 brands: 3.0-5.1.
• Noise levels: Measured in decibels (dB). Critical for systems installed near bedrooms or boundary fences. Range: 37-52 dB.
• Warranty: Tank warranty (5-15 years) and compressor warranty (5-10 years). Daikin uniquely covers labour for the full warranty period.
• Cold-weather performance: How well the system maintains efficiency when ambient temperature drops. Daikin (-26C), Reclaim/Sanden (-10C), Rheem/Rinnai/Stiebel (-7C), iStore/Midea/Chromagen (-5C).
• Value for money: Balancing upfront cost ($2,500-$8,500 across the range) against long-term running costs, quality, and warranty coverage.

We do not accept payment from any manufacturer. Reviews are based on published specifications, installer feedback, owner reports, and independent testing data where available.

Best for: Cold climates, Australian-made, maximum efficiency

Reclaim Energy is an Australian manufacturer based in Melbourne. Their CO2 heat pump is designed specifically for Australian conditions, with particular attention to cold-climate performance.

Key specifications:

• Type: Split system (separate outdoor unit and indoor/outdoor tank)
• Refrigerant: CO2 (R744) - natural, GWP of 1
• COP: 4.5 at 20C ambient (one of the highest available)
• Cold weather: Operates efficiently down to -10C, maintaining COP above 2.5
• Noise: 38 dB at 1 metre (very quiet, comparable to a library)
• Tank sizes: 270L, 315L stainless steel
• Warranty: 15-year tank, 6-year compressor
• Price range: $4,200-$5,800 installed (before rebates)

Pros: Australian designed and supported, excellent cold-weather performance, very quiet split system, 15-year tank warranty, stainless steel tank resists corrosion. Strong technical support network for installers.

Cons: Premium pricing (higher upfront cost than budget brands), smaller installer network than Rheem (though growing rapidly), fewer tank size options than some competitors.

Best suited for: Victorian and Canberra homeowners in cooler suburbs, households that prioritise quality and warranty, anyone who wants an Australian-made product with local support.

Best for: Quietest operation, premium Japanese quality

Sanden is a Japanese manufacturer with decades of heat pump experience. Their Eco Plus system is widely regarded as one of the best heat pump hot water systems in the world.

Key specifications:

• Type: Split system
• Refrigerant: CO2 (R744)
• COP: 5.1 at rated conditions (the highest COP available in Australia)
• Cold weather: Rated to -10C, excellent performance in cold climates
• Noise: 37 dB at 1 metre (the quietest heat pump hot water system available)
• Tank sizes: 160L, 250L, 315L stainless steel
• Warranty: 15-year tank, 6-year compressor
• Price range: $4,500-$6,500 installed (before rebates)

Pros: Highest COP on the market (5.1), quietest operation (37 dB), proven Japanese engineering with global track record, stainless steel tank, excellent cold-weather performance, 15-year tank warranty.

Cons: The most expensive option upfront, fewer Australian installers certified for Sanden-specific work, parts can take longer to source if needed. The 160L model is too small for most households.

Best suited for: Households where noise is the primary concern (near neighbours, bedroom proximity), buyers who want the highest possible efficiency and are willing to pay the premium, cold-climate installations.

Best for: Availability, trusted brand, wide installer network

Rheem is Australia's most recognised hot water brand with the largest distributor and installer network in the country. Their heat pump range has improved significantly in recent years.

Key specifications:

• Type: Integrated (all-in-one)
• Refrigerant: R290 (propane) in newer models
• COP: 3.5-3.8 at rated conditions
• Cold weather: Rated to -7C
• Noise: 48-50 dB (moderate, typical for integrated systems)
• Tank sizes: 270L, 325L vitreous enamel
• Warranty: 10-year tank, 5-year compressor
• Price range: $3,200-$4,800 installed (before rebates)

Pros: Available from virtually every plumber and hot water specialist in Australia, strong parts availability, competitive pricing, well-understood by installers (fewer installation errors), Rheem's extensive after-sales service network. R290 refrigerant in newer models is environmentally friendly.

Cons: Integrated design is louder than split systems, vitreous enamel tank (less durable than stainless steel in aggressive water conditions), COP is mid-range, 10-year tank warranty is shorter than premium brands. Not ideal for very cold climates.

Best suited for: Homeowners who want a simple, reliable system from a trusted brand, straightforward replacements where installer availability matters, mild to moderate climates.

Best for: Budget-conscious buyers, best value

iStore is an Australian brand offering competitively priced integrated heat pump systems. They have grown rapidly by offering solid performance at a lower price point than premium competitors.

Key specifications:

• Type: Integrated (all-in-one)
• Refrigerant: R290 (propane)
• COP: 3.0-3.5 at rated conditions
• Cold weather: Rated to -5C
• Noise: 48 dB
• Tank sizes: 180L, 270L
• Warranty: 5-year tank, 5-year compressor (with extended warranty options)
• Price range: $2,800-$4,000 installed (before rebates)

Pros: Most affordable heat pump option, good basic performance, growing installer network, R290 natural refrigerant, compact design suitable for smaller spaces. Often the cheapest installed price after rebates.

Cons: Shorter warranty than premium brands (5-year tank vs 10-15 years), lower COP means slightly higher running costs, not recommended for cold climates (rated to -5C only), smaller tank range (no 315L+ option). Build quality is adequate but not on par with Sanden or Reclaim.

Best suited for: Budget-conscious homeowners, rental properties, mild climates (coastal QLD, northern NSW, Perth), smaller households (1-3 people) where the 270L tank is sufficient.

Best for: German engineering, build quality, long-term reliability

Stiebel Eltron is a German manufacturer with over 100 years of experience in heating technology. Their heat pump hot water systems are engineered for durability and long-term performance.

Key specifications:

• Type: Integrated and split options available
• Refrigerant: R134a (older models), R290 (newer models)
• COP: 3.5-4.0 at rated conditions
• Cold weather: Rated to -7C (split models to -10C)
• Noise: 45-50 dB (integrated), 40-45 dB (split)
• Tank sizes: 220L, 302L integrated; various split options
• Warranty: 10-year tank, 5-year compressor
• Price range: $3,800-$5,500 installed (before rebates)

Pros: German engineering with excellent build quality, good efficiency ratings, well-established in the Australian market with strong distributor network, decent cold-weather capability, smart controller with WiFi connectivity on newer models.

Cons: Mid-to-premium pricing, some older models still use R134a (being phased out), integrated models are louder than split competitors, parts sourced from Germany can have longer lead times. Not quite as efficient as CO2 models in cold weather.

Best suited for: Homeowners who value build quality and long-term reliability, those who want a European-engineered product, households in temperate climates (zone 4-6) looking for a premium alternative to Rheem.

Best for: Best-in-market warranty, cold climates, premium performance

Daikin is the world's largest air conditioning manufacturer and a relative new entrant to the Australian heat pump hot water market. Their CO2 split system goes further than any competitor on warranty terms.

Key specifications:

• Type: Split system (separate outdoor compressor + indoor tank)
• Refrigerant: CO2 (R744)
• COP: 4.5 at rated conditions
• Cold weather: Operates down to -26C - the widest cold-weather envelope on the market
• Noise: 40 dB at 1 metre (the quietest outdoor compressor unit in market)
• Tank sizes: 250L, 315L stainless steel
• Warranty: 10 years parts AND labour across the entire system - unmatched in Australia
• Price range: $5,500-$8,500 installed (before rebates)

Pros: Best-in-market 10-year parts and labour warranty (most competitors offer 5-15yr tank but only 5-6yr compressor cover, and labour is rarely included). Heats water to 90C without electric boost. Highest STC allocation due to CO2 efficiency. Tropical/cold-climate rated. Backed by the world's largest HVAC manufacturer.

Cons: The most expensive option upfront. Split system requires more complex installation (refrigerant lines + electrical + plumbing). Newer to AU hot water market so installer base is smaller than Rheem.

Best suited for: Homeowners who treat hot water as a 15-year asset and want maximum warranty cover, anyone in a cold or alpine climate, buyers who want the absolute best technical performance regardless of upfront price.

Best for: Australian-made VIC rebate eligibility, large households, wide installer network

Rinnai is one of Australia's most trusted hot water brands with decades of dominance in gas water heaters. Their AR Series heat pumps are designed and built in Keysborough, Victoria - which qualifies them for the higher Victorian Solar Hot Water rebate tier ($1,400 vs $1,000 for imported brands). The AR 340L is the largest integrated residential heat pump in Australia.

Key specifications:

• Type: Integrated
• Refrigerant: R290 (propane) on newer models
• COP: 3.6-3.9 at rated conditions
• Cold weather: Rated to -7C
• Noise: 45-46 dB at 1 metre
• Tank sizes: 250L, 280L, 340L
• Warranty: 7-year tank, 5-year compressor
• Price range: $3,350-$4,800 installed (before rebates)

Pros: Locally manufactured AR Series qualifies for the $1,400 VIC rebate tier. Australia's widest installer network for hot water. 340L tank handles 5-6 person households without compromise. Trusted brand with 50+ years in Australia. R290 refrigerant has near-zero global warming potential.

Cons: Mid-range COP (3.6-3.9) means slightly higher running costs than CO2 split systems. Integrated design is louder than split competitors. Tank warranty (7 years) shorter than Reclaim/Sanden/Daikin.

Best suited for: Victorian homeowners wanting to maximise the local-content rebate, large households (5+ people) who need 340L capacity, buyers prioritising fast installer access and parts availability.

Best for: Tightest budget, smallest spaces, mild climates

Midea is a major global appliance manufacturer and an aggressive price competitor in the Australian heat pump market. Models are widely available through plumbing wholesalers and retailers and routinely undercut other brands on installed price.

Key specifications:

• Type: Integrated
• Refrigerant: R134a
• COP: 3.2-3.4 at rated conditions
• Cold weather: Rated to -5C
• Noise: 50-52 dB at 1 metre
• Tank sizes: 170L, 200L, 280L
• Warranty: 5-year tank, 5-year compressor
• Price range: $2,500-$3,800 installed (before rebates)

Pros: Lowest installed price in the Australian market. 170L compact size suits tight townhouse and apartment installs. Wide retail availability via plumbing supply chains. After rebates, often the cheapest path to compliance with the Victorian gas ban.

Cons: Lower COP means meaningfully higher running costs over a 12-15 year service life. Louder than premium brands. Shorter warranty (5 years tank). Not designed for cold climates - performance drops materially below 5C.

Best suited for: Coastal QLD, northern NSW, WA, NT and other mild climates. Investment property landlords meeting minimum efficiency standards at lowest cost. Compact installations where 170L is genuinely sufficient.

Best for: Compact installations, established mid-tier brand, broad installer support

Chromagen has been operating in the Australian solar and heat pump hot water market since 1962 and is one of the most established mid-tier brands. Their heat pump range covers small to mid-size households at a competitive price point.

Key specifications:

• Type: Integrated
• Refrigerant: R134a
• COP: 3.4-3.5 at rated conditions
• Cold weather: Rated to -5C
• Noise: 48-50 dB at 1 metre
• Tank sizes: 170L, 200L, 280L
• Warranty: 5-year tank, 5-year compressor
• Price range: $2,800-$4,200 installed (before rebates)

Pros: Long-established Australian brand (60+ years) with strong installer recognition. Three tank sizes suit different household sizes. Competitive pricing - sits between iStore and Rheem. Decent efficiency for the price tier.

Cons: Standard R134a refrigerant rather than CO2 or R290. Shorter warranty than premium brands. Not Australian-made. Cold-climate performance lags behind CO2 split systems.

Best suited for: Buyers wanting a known mid-tier brand at a competitive price, smaller households where the 170L or 200L tank is sufficient, mild to temperate Australian climates.

Prices are supply and installation before rebates. COP at 20C ambient, heating from 15C to 55C. Noise at 1 metre distance.

Based on our analysis, here are our picks by scenario:

• Best warranty (parts AND labour): Daikin - 10 years on parts AND labour across the entire system is unmatched in Australia. Most rivals only cover the tank that long.
• Best overall efficiency: Sanden - COP of 5.1 is the highest available in Australia. Every kWh of electricity produces 5.1 kWh of heat.
• Best for noise-sensitive locations: Sanden (37 dB) and Reclaim (38 dB) - Practically inaudible from a few metres away. Essential when the outdoor unit sits near a bedroom or neighbour's fence.
• Best availability/easiest replacement: Rheem or Rinnai - Every plumber in Australia knows both brands. Fast installation, guaranteed parts.
• Best Victorian rebate-eligible: Rinnai AR Series - Made in Keysborough VIC, qualifies for the higher $1,400 Victorian Solar Hot Water rebate tier vs $1,000 for imported units. Stack against the 2027 gas ban deadline.
• Best value for money (premium tier): Reclaim Energy - Australian-made CO2 split system with 15-year tank warranty for less than Sanden or Daikin.
• Best value for money (budget tier): Midea or iStore - Lowest installed prices in market. Ideal for investment properties, rentals, or budget-limited installations in mild climates.
• Best build quality: Stiebel Eltron - German engineering means precision manufacturing. A solid mid-premium choice for homeowners in temperate climates.
• Best for cold climates: Daikin (rated to -26C), Reclaim or Sanden (both -10C). All three use CO2 refrigerant which maintains high efficiency at low ambient temperatures. Essential for Canberra, Ballarat, Blue Mountains, and Tasmania.
• Best for large households (5-6+ people): Rinnai AR 340L - The largest integrated residential heat pump in Australia.
• Best mid-tier established brand: Chromagen - 60+ years in Australia, sits price-wise between iStore and Rheem.