A quality HVAC system is essential for a comfortable and energy-efficient home, but it’s also a big investment. Everyone deserves the most productive comfort solutions available, which is why HVAC rebates are so worthwhile. They can help ensure high-efficiency furnaces, air conditioners and other equipment is more budget friendly.

HVAC efficiency standards are increasing next year, so now’s an excellent time to compare 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

Lots of manufacturers of high-efficiency furnaces extend rebates for a new system. These furnaces feature energy-efficient components such as variable-speed blower motors, which let the thermostat refine how much heating is produced. It’s a fantastic way to decrease energy use overall. Local utilities also offer 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 might be approved for. Equipment displaying the ENERGY STAR® rating means it meets your region’s standards for energy-efficient operation.

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 like Lennox. Just talk to your local utility companies to verify which makes and models are entitled. What’s more, you can often bundle federal and local rebates for even higher 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 Thermostats

A smart thermostat is a particularly valuable addition to your home comfort system. With intelligent programming, you can optimize the daily schedule. Utility companies appreciate this kind of efficiency, and so most extend rebate programs for new smart thermostats. In time, these rebates essentially enable you to get a free smart thermostat!

Local utility companies also offer programs where they exchange lower rates for the ability to adjust your thermostat during peak energy use. This helps minimize strain on the grid, particularly when heat waves or cold fronts come through. When enrolled in this program, your thermostat may automatically be changed by a few degrees.

Other Cost-Saving Options: High Efficiency Products and Home Improvement Credits

A little different than rebates, tax credits are also promoted for the purchase and installation of energy-efficient HVAC equipment. For example, the Inflation Reduction Act restarted a program in 2021 that provided credits for up to 10% of the project’s cost. The new credits are now worth 30% of the cost and can be claimed every year instead of only once. These credits are eligible for a much wider variety of projects, such as home energy audits, electrical, insulation, ventilation, and even your doors and windows! The programs are tailored to offer the most benefits for lower-income households, maximizing the improvements to HVAC efficiency nationwide.

New Legislation for Heat Pump Rebates

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

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