A furnace burns fuel to create heat, whereas a geothermal heat pump exchanges heat between the ground or water source and the air to heat the home. ... The fluid within the ground loop absorbs the heat from the Earth, then cycles it to the heat pump where its heat exchanger transfers the heat from the fluid to the air.

How does geothermal work step by step?

This fluid is pumped through the ground loop up to the heat pump, which is housed inside the home. The heat pump's heat exchanger uses the energy to warm the air that passes through the unit. The heated air circulates through the ductwork into indoor areas throughout the home or building.

How do geothermal systems work?

Just to recap, geothermal heating works by moving temperature-conducting fluid through an underground loop of pipes beneath or near your home. ... Here's the short explanation: As air is circulated through your house, your heat pump removes heat from the air and transfers it to the fluid that circulates to the ground.