Air Source Heat Pumps for HVAC/AC
Electric heat pumps can qualify for 30% of costs, up to $2,000, through 25C. The total cost of a heat pump system can range from about $1,500 to more than $10,000.
According to Angi, the average U.S. homeowner spends around $6,000 to install a heat pump. If yours costs $6,000, than means you’ll save $1,800 and still have another $1,200 in incentives left over for another project in the same year, like a heat-pump water heater. Through the Home Electrification Rebate Program, if you qualify as an LMI household, you can get a rebate of up to $8,000.
In addition, non heat-pump HVAC that meets or exceeds the highest efficiency tier established by the Consortium for Energy Efficiency (CEE) is also eligible for the 30% tax credit, up to $600.
Geothermal Heat Pumps
Through 25D you can get a 30% tax credit for the equipment and installation of a geothermal heat pump. According to Angi, the average cost for one is around $14,000, which means you’d save $4,200. There’s no cap on this incentive.
