The England Under-20 striker goes straight into the squad to face Inverness in Saturday's Scottish Communities League Cup semi-final at Easter Road.
Ngoo, who Liverpool bought from Southend in 2009, follows Anfield team-mate Danny Wilson in signing for Hearts since their Scottish Premier League transfer embargo was lifted under continuing restrictions.
The 20-year-old told Hearts TV: "I'm very honoured to be here. I want to give it my all and hopefully the fans will be on my side and we can all be together.
"I had a few offers to go on loan in England but I spoke to Danny and he said it was a good club and the level was very, very good.
"The club is big, they played against Liverpool and they had passion so it was a no-brainer for me.
"I was at the game at Anfield and I thought the passion of the boys was fantastic, and to be part of that will be very good."
Hearts boss John McGlynn has declared Ngoo a potential secret weapon against in-form Caley Thistle.
"He'll definitely be in the squad for tomorrow," McGlynn said. "He could be something that Inverness hasn't bargained for. He could be a surprise package.
"He's very similar to Danny in that he's been playing regularly. The English Under-21 teams didn't have much of a break over Christmas and new year so he's been playing and he's match-fit and raring to go.
"I don't want to put too much pressure on him, it's not fair to think that he's going to batter every ball that comes into the box into the back of the net.
"However, we hope that he's going to improve our goalscoring tally."
McGlynn added: "He's come from a big football club. Liverpool signed him from Southend and paid a bit of money for him so they have high hopes for him.
"It was the priority position for us. I said last week that when there's a player like Danny Wilson, you can never have enough good players about. You take good players any tim e.
"It probably helped that Danny is now here as he obviously knows the lad, he spoke to Michael and gave good him a good report on the football club."(re-opens) Hearts manager John McGlynn believes Ngoo could be a secret weapon against Caley Thistle.
"He'll definitely be in the squad for tomorrow," McGlynn said. "He could be something that Inverness hasn't bargained for. He could be a surprise package.
"He's very similar to Danny in that he's been playing regularly. The English Under-21 teams didn't have much of a break over Christmas and new year so he's been playing and he's match-fit and raring to go.
"I don't want to put too much pressure on him, it's not fair to think that he's going to batter every ball that comes into the box into the back of the net.
"However, we hope that he's going to improve our goal scoring tally."
McGlynn added: "He's come from a big football club. Liverpool signed him from Southend and paid a bit of mo ney for him so they have high hopes for him.
"It was the priority position for us. I said last week that when there's a player like Danny Wilson, you can never have enough good players about. You take good players any time.
"It probably helped that Danny is now here as he obviously knows the lad, he spoke to Michael and gave good him a good report on the football club."
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