Geothermal (ground-source or water-source) heat pumps achieve higher efficiencies by transferring heat between your house and the ground or a nearby water source. Although they cost more to install, geothermal heat pumps have low operating costs because they take advantage of relatively constant ground or water temperatures. Geothermal (or ground source) heat pumps have some major advantages. They can reduce energy use by 30%-60%, control humidity, are sturdy and reliable, and fit in a wide variety of homes. Whether a geothermal heat pump is appropriate for you will depend on the size of your lot, the subsoil, and the landscape. Ground-source or water-source heat pumps can be used in more extreme climates than air-source heat pumps, and customer satisfaction with the systems is very high.