Rheem Heat Pumps: An Independent Review

Rheem-Heat-Pump-Review

Note: Solar Choice is not associated with Rheem Heat Pumps Manufacturer or any heat pump installer and has no financial or other incentives to promote any product brand over another.

At a Glance: Rheem AmbiPower MDc-180 Scores 3.5 Out of 5

Scoring is based on our heat pump scorecard, which is consistently applied to each brand and heat pump model available on the Australian market.

$$ Price: The AmbiPower MDc-180 is positioned in the lower cost category of the Australian heat pump market, with typical retail pricing between $2,800–$3,200 (excluding installation and rebates) on the Solar Choice Scorecard.

  • Company Backing & Trustworthiness – Score 5/5: Rheem is one of the most established hot water manufacturers in Australia. Rheem says it was incorporated locally in 1936, manufactured its first Australian gas water heater in 1939, has major corporate locations in Rydalmere NSW and Moorabbin VIC, and employs close to 1,000 people across its Australian operations. That scale, brand recognition and long local operating history support a top-tier score on the Solar Choice scorecard.
  • Warranty Offer – Score 2/5: The system includes a 7-year warranty on the cylinder, 3 years on the sealed refrigeration system including labour, and 1 year on all other components including labour. While the cylinder coverage is solid, the shorter cover on other parts is less competitive than the stronger whole-of-system warranties offered by some competing brands.
  • Customer Reviews – Score 5/5: As of now Rheem is rated 5 from a limited number of customer reviews available on Solar Choice’s independent review platform.
  • Functionality – Score 2/5: The Rheem AmbiPower MDc-180 offers strong heating performance, with heating output of roughly 18W per litre, which earns full points for heating power under the Solar Choice scorecard. However, it does not meet the scorecard threshold for quiet operation, does not offer Wi-Fi app control, and does not include 2 or more programmable heating schedules.

Please note that the Solar Choice score card reflects our opinions only. Customers are encouraged to do their own research. Uncover essential details in the comprehensive guide below and find out what you need to know before you buy.

Company Background

Rheem has a long history in Australia dating back to 1936 when the US parent company launched Rheem Manufacturing Co (Australia) Proprietary Ltd as an overseas subsidiary. The company focused on the manufacturing and distribution of water heaters. 

BHP acquired a 50% stake in 1939 and later acquired the remaining 50% in 1973. Rheem Australia was acquired twice since then. First by Southcorp Limited in 1988 and later in 2001 the current owners Paloma Co Ltd acquired a controlling interest in the company. 

Many of Rheem’s water heaters are still manufactured in Australia in their facilities in Sydney and Melbourne. With a local workforce of around 700 employees, Rheem operates from its headquarters in Rydalmere, New South Wales, and offers a wide range of residential and commercial water heating solutions.

Rheem Hot Water Heat Pump Available Range

Rheem distinguishes itself with a diverse array of water heaters, including electric and gas storage, solar water heaters, gas continuous flow water heaters, pool heating, and notably, heat pumps. Rheem also utilises the Ruud brand name under which it sells additional heating, ventilating, and air conditioning (HVAC) equipment.

Want to see how the Rheem AmbiPower stacks up against other systems? Compare all reviewed heat pumps or explore our expert picks in the best heat pumps in Australia comparison. To estimate your potential energy savings, use our heat pump savings calculator.

Here’s how the current models stack up for Australian homes:

Model NameTank SizeHousehold SizeNoiseKey Notes
AmbiPower 280 (551E282)
280L3–5 people47 dB(A)R513a refrigerant, one on/off timer, rebate-optimised mid-size
AmbiPower MDc-180 (551D180)Rheem AmbiPower MDc-180 Heat Pump178L2–4 people48 dB(A)R513a refrigerant, one on/off timer, Rheems latest release with cold climate performance
Ambiheat HDc-270 (551270 / 571D270)Rheem Ambiheat HDc270 Heat Pump270L4–6 people47 dB(A)R513a refrigerant, dual programmable timers, fast recovery
MPi-325 Series II (551325)Rheem MPi-325 Series II Heat Pump325L4–5 people52 dB(A)R134a refrigerant, one on/off timer, legacy model with high capacity and lower efficie

Notes:

  • Noise Matters: If the unit is installed near bedrooms or living areas, we recommend models rated ≤45 dB(A)—none of Rheems models meet this quiet operation scoring threshold.
  • Heating Efficiency: Systems with 10+ W/L heat more water per kilowatt. Great for fast hot water recovery times and energy savings long term.
  • Timers: We could only see that the Ambiheat HDc-270 offering multiple programmable schedules. Others have a single on/off daily cycle.

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Rheem Heat Pump Warranty Terms and Conditions

Rheem offers mixed warranty coverage across its heat pump hot water system range, with stronger cover on the tank than on smaller parts and components. Below is a summary of typical warranty durations based on current product data sheets and official documents.

PartAmbiPower / AmbiheatMPi-325 Series
Hot Water Tank7 years (parts only)5 years (parts only)
Compressor (Sealed Unit)3 years (includes labour)2 years (includes labour)
Other Parts & Components1 year (includes labour)1 year (includes labour)
Labour on Tank3 years3 years

Key Warranty Notes

  • No Extended Warranty Plans:
    • Rheem does not currently offer optional warranty extensions for residential models.
  • Coverage Varies by Series:
    • AmbiPower & Ambiheat models: 7 years on tank, 3 years on compressor, and 3 years labour (on tank).
    • MPi-325 Series II: 5 years on tank, 2 years on compressor, 1 year on other parts.
  • No Extended Warranty Plans:
    • Rheem does not currently offer optional warranty extensions for residential models.

Rheem Ambipower MDc-180 Hot Water Warranty Terms and Condition

Rheem Heat Pumps Pros and Cons

The AmbiPower MDc-180 is Rheem’s newest compact heat pump hot water system, designed for smaller households and colder climates. Backed by Rheem’s extensive support network and built for Australian conditions, this model offers excellent value for energy-conscious buyers in 2025.

Pros

  • Cold climate performance
    Rated to operate in ambient temperatures as low as -7°C, making it well-suited for homes in southern and inland regions.
  • Strong energy efficiency
    Delivers an estimated heating output of 18 watts per litre—well above industry benchmarks—helping to reduce energy use and bills.
  • Eco-friendly refrigerant
    Uses R513a, a low Global Warming Potential refrigerant that’s more sustainable and future-proof than older alternatives like R134a.
  • Backed by a trusted Australian brand
    Manufactured and supported by Rheem, with over 85 years of experience and a national service network.

Cons

  • Single timer only
    Only includes a basic daily on/off schedule—no dual timers or flexible scheduling for time-of-use tariffs or solar optimisation.
  • No Wi-Fi or smart features
    All controls are managed on the unit itself; there’s no app connectivity or remote access.
  • Limited labour warranty on parts
    The cylinder has longer cover, but most other components receive shorter warranty protection. Rheem provides 3 years on the sealed refrigeration system including labour, while other parts are covered for 1 year including labour.
  • Few independent reviews
    As a newer model, there is limited public customer feedback available through independent platforms like Solar Choice.

How Much Do Rheem Heat Pump Hot Water Systems Cost?

Rheem offers a broad range of heat pump systems designed for Australian homes of all sizes and budgets. Prices vary based on model, tank size, refrigerant type, and features such as climate suitability and energy efficiency.

The table below shows estimated equipment-only prices (excluding installation and rebates), along with each model’s pricing tier according to the Solar Choice Heat Pump Scorecard.

ModelTank SizeEstimated Price RangeScorecard Price Tier
AmbiPower 180 (551180)178 litres$2,800 – $3,300$$ Lower Cost
AmbiPower 280 (551E282)280 litres$3,000 – $3,500$$$ Mid-Range
AmbiPower MDc-180 (551D180)178 litres$2,700 – $3,200$$ Lower Cost
Ambiheat HDc-270 (551270/571D270)270 litres$3,600 – $4,200$$$ Mid-Range
MPi-325 Series II (551325)325 litres$4,200 – $5,000$$$$ Higher Cost

Notes on Pricing:

  • Prices are indicative and may vary depending on supplier, location, and promotional offers.
  • Installation, freight, and government rebates are not included in the listed prices.
  • Most Rheem models qualify for STCs and additional state rebates (especially in VIC and NSW), which can substantially lower the installed price.
  • Price tiers reflect Solar Choice’s scorecard system, used to help homeowners compare value for money across brands.

Is the Rheem AmbiPower MDc-180 Worth It?

If you’re a homeowner looking for a compact, efficient, and cold-climate-compatible heat pump, the Rheem AmbiPower MDc-180 is a solid options in its price range.

It’s backed by a long-standing Australian brand, and is designed to perform well even in colder weather — down to -7°C. Its energy efficiency is well above average, which can help reduce your power bills over time. The unit also qualifies for government rebates, which can bring the net cost down significantly.

That said, it’s not without limitations. It offers only a single daily timer (no dual schedules), has no Wi-Fi or smart controls, and provides just one year of labour coverage on smaller parts.  

Looking into heat pump hot water systems? Our comprehensive guide makes it easy, covering potential rebates, the real costs of hot water heat pumps, and the truth about ‘free’ upgrades. Learn about energy savings and understand the benefits and drawbacks with clear expert advice. For all you need to know before making a decision, check out our Heat Pump Hot Water Systems Buyers Guide.

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James Shand

Reviews from Australians who have installed Rheem Heat Pumps

Rated 5.00 from 8 reviews
5 star
9
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0
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0
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Reviews are strictly collected from real customers in accordance with Solar Choice's Review Guidelines

Showing 8 of 8 Reviews

7th March 2026
Neville
VIC - 3337

Review left 10 years after system installed

5.00

Very happy. My old unit was a Rheem gas unit, over 30 years old.

8th November 2025
Peter
-
5.00

Yes very happy, a well known brand with backup unlike the old one that was installed by the home builder. Only 4 years old and no backup.

5th September 2025
Bernard
VIC - 3810
5.00

reason for choice was that it was Australian made with a great warrantee

Installation Photos

22nd August 2025
Reg
-
9kW system
5.00

Old Rheem heat pump of 13 years has been replaced with similar model.

12th August 2025
Lea
QLD - 4507
5.00

yes absolutely happy with the heat pump system

31st May 2025
Alan
NSW - 2446
5.00

Very tidy unit and menu system to control daytime timer

25th August 2024
Carol
NSW - 2074
5.00

Easy to use. Very quiet. Heats q9uickly

16th June 2025
Paul
NSW - 2423
5.00

very happy with Rheem, quality product.

26th August 2024
Barry
QLD - 4558
5.00

Showing 8 of 8 Reviews