Get up to $10K in Rebates and Tax Credits
The Department of Energy estimates that the most popular type of heat pump can slash the electricity you need to heat your home by 65% compared to furnaces.
It’s almost August… we know you’re not thinking of heating your home right now. But the summer heat won’t last forever!
If you were thinking about your home’s furnace last winter during that awful ice storm, now might be the time to do something about it!
If you’re already dreading sky-high electric bills, there’s an eco-friendly alternative that the government will actually pay you to install: heat pumps.
Heat pumps can also save you money in the summer. These nifty devices can heat and cool your home, eliminating the need for an air conditioner.
What is a heat pump?
Heat pumps are a climate control technology that uses electricity to transfer heat from one space to another rather than generating it.
In the colder months, heat pumps move heat from the air, ground, or water near your home inside to provide warmth. In the summer, they work in the opposite way, moving hot air from indoors outside to keep your house cool and comfortable.
According to the Department of Energy, heat pumps can work in all climates, making them an energy-efficient alternative to energy-hungry air conditioners and furnaces.
Why should you buy a heat pump?
The better question is, why shouldn’t you buy one? The biggest perk of installing a heat pump is, inarguably, the cost savings you can enjoy right from the start. The DOE estimates that the most popular type of heat pump, an air-source heat pump, can slash the electricity you need to heat your home by 65% compared to furnaces.
In addition, a well-made heat pump can reduce the humidity in your home in the summer months even better than a traditional air conditioner, helping lower your electric bill throughout the year.
While the up-front cost to install one can be steep — ranging from around $4,000 to $8,000, depending on what size and type you get, along with other factors, per Bob Vila — you can get some of that money back in the form of government rebates and tax credits.
Through the Inflation Reduction Act passed in 2022, all taxpayers who purchase a heat pump are eligible for a $2,000 tax credit on high-efficiency models. Low- and moderate-income households could get up to $8,000, per the clean energy website EnergySage.
You could get thousands more in rebates from your state or local government, or even your utility company, depending on where you live. With a potential savings of up to $1,000 on annual energy bills, plus all the tax incentives and rebates, a heat pump could pay for itself in as little as several years.
If you’d like to explore heat pump options in your area and connect with prescreened contractors, EnergySage’s Heat Pump Marketplace is a free resource that allows you to compare quotes and schedule free consultations with installers.
Source: The Cool Down