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

HVAC efficiency standards are going up next year, so now’s an excellent time to compare your options. Various companies, organizations and even government entities are promoting rebates in 2023 to help everyone procure a new, high-efficiency HVAC system.

Rebates for High-Efficiency Furnaces

Many manufacturers of high-efficiency furnaces extend rebates for a new system. These furnaces feature energy-efficient components like variable-speed blower motors, which enable the thermostat to optimize how much heating is generated. It’s a great way to lower energy use overall. Local utilities also share furnace rebates since less energy use means less strain on the local energy grid.

The government’s ENERGY STAR® program is also useful for obtaining a furnace rebate. You can submit your ZIP Code to see which rebates you may be approved for. Equipment displaying the ENERGY STAR® rating means it satisfies your region’s standards for energy-efficient performance.

Earning a Rebate for a High Efficiency Air Conditioner

Plenty of of the same rebates for high-efficiency furnaces are also applicable to air conditioners. You can save hundreds on new installation for equipment from a top brand such as Lennox. Just check with your local utility companies to find out which makes and models are eligible. Additionally, you can usually join federal and local rebates for even higher savings. Don’t hesitate to learn what's out there, because it can easily add up to 10% of a new, high-efficiency cooling system

2023's Rebates for Smart Thermostats

A smart thermostat is an incredibly 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 extend rebate programs for new smart thermostats. Over time, these rebates effectively allow you to get a free smart thermostat!

These utility companies also create programs where they swap lower rates for the capacity 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 may automatically be adjusted by a few degrees.

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

Somewhat different than rebates, tax credits are also promoted for the purchase and installation of energy-efficient HVAC equipment. 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 every year instead of only once. These credits are available for a much greater variety of projects, including home energy audits, electrical, insulation, ventilation, and even your doors and windows! The programs are designed to provide 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 known as the High-Efficiency Electric Homes and Rebates Act, or HEEHRA. This incentive is especially aimed toward heat pump technology, which transfers heat instead of generating it by combusting fuel. To encourage more people to convert to this energy-efficient comfort system, these rebates are substantially higher compared to incentives for AC units 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 typical income can take care of 50% of equipment and installation costs.