Determining performance of space heating systems is not only helpful for guiding residents’ heating behavior, but also related closely to heating system design strategies. With the intention to propose better residential heating systems for helping cities in northern China use energy efficiently, this study address actual heating effects and energy performance of two heating concepts, e.g. individual heating system (IHS) and district heating system (DHS), from perspectives of end-users’ demand and exergy utilization. Field investigations were conducted in Beijing to clarify indoor thermal environment quality, occupants’ thermal comfort and heating energy consumption of IHS and DHS. Then four systems with different heat source and terminal forms were compared through energy and exergy analysis. The results show that heating demand in residential apartments differs significantly and it is important for heating systems to provide users with effective individual control mechanisms for reasons of personal preferences, energy efficiency and economic motivation. Among the four discussed systems, IHS with natural gas boiler (GH) is the most economic and energy efficient residential space heating application which can satisfy residents’ heating demand as well. It recommends that, in cities like Beijing, more natural gas consumed by residential space heating should be used in IHS rather than DHS.