A well-designed HVAC system is crucial for a comfortable and energy-efficient home, but it’s also a big investment. Everyone deserves the most efficient 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 budget friendly.

HVAC efficiency standards are going up next year, so now’s an excellent time to explore your options. Different companies, organizations and even government entities are promoting 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 extend rebates toward the cost of a new system. These furnaces feature energy-efficient components such as variable-speed blower motors, which let the thermostat fine-tune how much heating is released. It’s a great way to lower energy use overall. Local utilities also share furnace rebates because less energy use means less strain on the local energy grid.

The government’s ENERGY STAR® program is also useful for securing a furnace rebate. You can enter your ZIP Code to see which rebates you could be eligible for. Equipment with the ENERGY STAR® rating means it meets your region’s standards for energy-efficient performance.

Air Conditioner Rebates

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 efficient cooling from a leading brand such as Lennox. Just talk to your local utility companies to verify which makes and models are suitable. Additionally, you can often join federal and local rebates for even more savings. Don’t hesitate to learn what's out there, because it can quickly add up to 10% of a new, high-efficiency air conditioner

Available Rebates for Smart Home Accessories Like Smart Thermostats

A smart thermostat is an especially valuable improvement to your home comfort system. With intelligent programming, you can enhance the daily schedule. Utility companies highly value this kind of efficiency, and so most provide rebate programs for new smart thermostats. Over time, these rebates virtually permit you to get a free smart thermostat!

Local utility companies also provide programs where they exchange lower rates for the ability to adjust your thermostat during peak energy use. This helps reduce strain on the grid, especially when heat waves or cold fronts arrive. When registered in this program, your thermostat can automatically be changed by a few degrees.

More Ways to Save: High Efficiency Products and Home Improvement Credits

Somewhat different than rebates, tax credits are also promoted for the purchase and installation of energy-efficient HVAC systems. For example, the Inflation Reduction Act restarted a program in 2021 that supplied credits for up to 10% of the project’s cost. The updated credits are now worth 30% of the cost and may be claimed every year as opposed to only once. These credits are obtainable for a much larger variety of projects, such as home energy audits, electrical, insulation, ventilation, and even your doors and windows! The programs are fashioned to offer the most benefits for lower-income households, maximizing the improvements to HVAC efficiency across the country.

New Legislation for Heat Pump Rebates

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

If your household’s income is below 80% of the local median, you could use the rebates to cover 100% of the costs of a new heat pump. Households meeting 80-150% of the typical income can cover 50% of equipment and installation costs.