A dependable HVAC system is essential for a comfortable and energy-efficient home, but it’s also a big investment. Every homeowner deserves the most effective comfort solutions achievable, which is why HVAC rebates are so important. They can help ensure high-efficiency furnaces, air conditioners and other equipment is more affordable.

HVAC efficiency standards are increasing next year, so now’s an ideal time to explore your options. A variety of 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 offer rebates for a new system. These furnaces include energy-efficient components like variable-speed blower motors, which let the thermostat refine how much heating is generated. It’s a fantastic way to decrease energy use overall. Local utilities also provide furnace rebates as less energy use means less strain on the local energy grid.

The government’s ENERGY STAR® program is also helpful for obtaining a furnace rebate. You can type in your ZIP Code to find out which rebates you could be eligible for. Equipment featuring the ENERGY STAR® rating means it satisfies your region’s standards for energy-efficient comfort.

Air Conditioner Rebates

Many of the same rebates for high-efficiency furnaces are also applicable to air conditioners. You can save hundreds on new installation for efficient cooling from a top brand like Lennox. Just consult your local utility companies to verify 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 Home Accessories Like Smart Thermostats

A smart thermostat is an especially valuable improvement 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. After some time, these rebates effectively permit you to get a free smart thermostat!

Your utility companies also create programs where they provide discounted rates for the ability to access your thermostat during peak energy use. This helps avoid strain on the grid, particularly when heat waves or cold fronts arrive. When participating in this program, your thermostat will automatically be changed by a few degrees.

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

A little different from rebates, tax credits are also available for the purchase and installation of energy-efficient HVAC equipment. For example, the Inflation Reduction Act reactivated a program in 2021 that supplied credits for up to 10% of the project’s cost. The revised credits are now worth 30% of the cost and may be claimed every year instead of only once. These credits are obtainable for a much wider variety of projects, like home energy audits, electrical, insulation, ventilation, and even your doors and windows! The programs are tailored to provide 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 incorporated separate legislation called the High-Efficiency Electric Homes and Rebates Act, or HEEHRA. This incentive is particularly targeted toward heat pump technology, which transfers heat instead of producing it by combusting fuel. To encourage more people to transition to this energy-efficient comfort system, these rebates are substantially higher than incentives for AC systems and furnaces.

If a 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 meeting 80-150% of the average income can cover 50% of equipment and installation costs.