A quality HVAC system is vital for a comfortable and energy-efficient home, but it’s also a major investment. Every homeowner deserves the most efficient comfort solutions possible, which is why HVAC rebates are so beneficial. They can help guarantee 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. Various companies, organizations and even government entities are offering rebates in 2023 to help everyone procure a new, high-efficiency HVAC system.

Furnace Rebates Require High Efficiency Models

Lots of manufacturers of high-efficiency furnaces provide rebates toward the cost of a new system. These furnaces incorporate energy-efficient components like variable-speed blower motors, which let the thermostat optimize how much heating is released. It’s an easy 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 see which rebates you might be eligible for. Equipment displaying the ENERGY STAR® rating means it satisfies your region’s standards for energy-efficient performance.

Air Conditioner Rebates

A lot of of the same rebates for high-efficiency furnaces are also useful for air conditioners. You can save hundreds on new installation for equipment from a leading brand like Lennox. Just consult your local utility companies to find out which makes and models are eligible. What’s more, you can easily combine federal and local rebates for even higher savings. Don’t hesitate to find out what's all available, because it can quickly add up to 10% of a new, high-efficiency cooling system

Available Rebates for 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 appreciate this level of efficiency, and so most provide rebate programs for new smart thermostats. In time, these rebates essentially permit you to get a free smart thermostat!

These utility companies also offer programs where they exchange lower rates for the capability to control your thermostat during peak energy use. This helps reduce strain on the grid, especially when heat waves or cold fronts show up. When enrolled in this program, your thermostat may automatically be adjusted by a few degrees.

More 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 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 new credits are now worth 30% of the cost and can be claimed every year rather than only once. These credits are available for a much greater 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 included separate legislation called the High-Efficiency Electric Homes and Rebates Act, or HEEHRA. This incentive is especially targeted toward heat pump technology, which transfers heat instead of producing it by burning fuel. To encourage more people to change 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 are able to use the rebates to cover 100% of the costs of a new heat pump. Households meeting 80-150% of the typical income can pay for 50% of equipment and installation costs.