A dependable HVAC system is vital for a comfortable and energy-efficient home, but it’s also a significant investment. Every homeowner deserves the most productive comfort solutions available, which is why HVAC rebates are so beneficial. They can help make sure high-efficiency furnaces, air conditioners and other equipment is more affordable.

HVAC efficiency standards are increasing next year, so now’s a great time to explore your options. Different companies, organizations and even government entities are extending rebates in 2023 to help everyone acquire a new, high-efficiency HVAC system.

Furnace Rebates Require High Efficiency Models

Many manufacturers of high-efficiency furnaces provide rebates for a new system. These furnaces incorporate energy-efficient components like variable-speed blower motors, which let the thermostat fine-tune how much heating is produced. It’s a fantastic way to lower energy use overall. Local utilities also provide furnace rebates as less energy use results in less strain on the local energy grid.

The government’s ENERGY STAR® program is also recommended for securing a furnace rebate. You can type in your ZIP Code to find out which rebates you could be approved for. Equipment with the ENERGY STAR® rating means it fulfills your region’s standards for energy-efficient operation.

Earning a Rebate for a High Efficiency Air Conditioner

A lot of of the same rebates for high-efficiency furnaces are also suitable for air conditioners. You can save hundreds on new installation for equipment from a top brand like Lennox. Just consult your local utility companies to learn which makes and models are suitable. What’s more, you can usually join federal and local rebates for even greater savings. Don’t hesitate to learn what's out there, because it can easily add up to 10% of a new, high-efficiency air conditioner

Potential Rebates for Smart Thermostats

A smart thermostat is an incredibly valuable upgrade to your home comfort system. With intelligent programming, you can optimize the daily schedule. Utility companies highly value this level of efficiency, and so most extend rebate programs for new smart thermostats. In time, these rebates essentially allow you to get a free smart thermostat!

These utility companies also create programs where they provide lower rates for the ability to control your thermostat during peak energy use. This helps avoid strain on the grid, namely when heat waves or cold fronts arrive. When enrolled in this program, your thermostat will automatically be adjusted by a few degrees.

Additional Incentives: Tax Credits for Energy-Efficient Equipment and Home Improvement Projects

A little different compared to rebates, tax credits are also offered for the purchase and installation of energy-efficient HVAC systems. For example, the Inflation Reduction Act reactivated a program in 2021 that provided credits for up to 10% of the project’s cost. The updated credits are now worth 30% of the cost and can be claimed each year rather than only once. These credits are obtainable for a much greater variety of projects, such as home energy audits, electrical, insulation, ventilation, and even your doors and windows! The programs are fashioned to share the most benefits for lower-income households, maximizing the improvements to HVAC efficiency all over the country.

New Legislation for Heat Pump Rebates

The recently passed Inflation Reduction Act contained separate legislation called the High-Efficiency Electric Homes and Rebates Act, or HEEHRA. This incentive is especially aimed toward heat pump technology, which transfers heat instead of producing it by igniting fuel. To persuade more people to convert to this energy-efficient comfort system, these rebates are considerably higher compared to incentives for AC units and furnaces.

If the household’s income is lower than 80% of the local median, you can use the rebates to cover 100% of the costs of a new heat pump. Households that meet 80-150% of the average income can take care of 50% of equipment and installation costs.