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Geothermal heating systems, also called ground source heat pumps, are the most cost effective, long-term alternative to conventional heating and cooling. They operate by using the earth's ability to store heat in soil, then capturing this heat energy and moving it from the soil to a home or building. By using this type of heating system, a homeowner will save money each month, use less energy, and eliminate the pollution that is often produced with other systems. Typical geothermal heating systems transfer heat using a network of tubes, called "closed loops" or "open loops." The loops are filled with water, refrigerant or an anti-freeze solution. A process, in which the liquid absorbs the earth's heat and then transfers it to the building, is repeated over and over. Geothermal heating systems can also be used for cooling during warm seasons. The process is basically reversed, which results in heat energy from the building being transferred to the ground. This process is recognized by the department of energy to be more energy efficient for cooling than a traditional air conditioner. There are four main ways that the earth loop for a geothermal system can be installed. The method you choose depends mainly on the size and features of your property.

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Horizontal Coiled Loops are similar to the more common horizontal straight loops, except rather than burying straight runs of pipe, the pipe is spread out in flattened, overlapping coils. This type of loop, also known as a Slinky loop, allows for adequate pipe surface area in shorter trenches, allowing it to fit in some areas where horizontal straight loops would be impractical.

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Horizontal Straight Loops consist of lengths of pipe installed into bore holes under the lawn that are installed using a horizontal boring machine. These loops are installed approximately six feet underground well below the frost line. Directional bore loops can be used when the site is heavily wooded or when there is extensive landscaping in place. A machine is used to drill tunnels underneath the yard into which the loop pipes are then installed. This allows the installation to be completed with a minimum of disruption to the existing yard. When adequate land is available, and trenching is not an option, this becomes a great cost effective alternative.

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Vertical Loops run deep into the ground and are ideal for properties lacking the larger areas of lawn needed for a horizontal loop. They cost more to install than horizontal loop systems, but they have the advantage that they can be installed on small lots where not enough open land exists to install a horizontal loop. Vertical loops are also often used for installations at large commercial buildings, because the land area required for horizontal loops for such large buildings is often prohibitive.

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Pond Loops take advantage of an existing body of water located on the property to extract energy with a minimum of excavation work required. The coiled loops are floated into the pond, then filled with liquid and sunk to the bottom. Because there is much less digging required, the pond loop option is often the lowest-cost method for sites that already contain a suitable body of water.

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