Heat Pump Rebate 2026: How Much Can You Get?

Rebate programmes change often, and this post reflects what was true when it was written. Check the current status in your state before acting on any figure below.
⚠️ Important update — June 2026: The Section 25C federal tax credit for heat pumps expired December 31, 2025 under the One Big Beautiful Bill Act. There is no 25C credit for heat pump installations in 2026. The federal HEAR and HOMES rebate programs remain available through participating states. See updated guide below.
Heat Pump Rebate 2026: How Much Can You Get?

Heat pump rebates in 2026 range from $2,000 to $14,000 depending on your household income and which programs you combine. The federal HEAR program alone offers up to $8,000 for a heat pump if your income falls below 80% of your area median income (AMI). Note: the 25C federal tax credit expired December 31, 2025 and is not available for 2026 installations.

That is the short answer. But claiming the full amount requires understanding which programs stack, what the income thresholds actually look like, and where your state adds extra money on top.

Federal Heat Pump Rebates Available in 2026

Two federal programs still fund heat pump installations in 2026. They work differently, and in many cases you can claim both. Note that the 25C tax credit, which provided up to $2,000 for heat pump installations, expired December 31, 2025 and is not available for 2026 installations.

ProgramMax Heat Pump RebateIncome RequirementType
HEAR (Home Electrification Rebate)$8,000Under 150% AMIPoint-of-sale discount
HOMES (Performance Rebate)$4,000–$8,000Under 150% AMI for maxPerformance-based
25C Tax CreditExpired 12/31/2025N/A — not available for 2026 installsExpired under OBBBA

The HEAR rebate is the big one for 2026. If your household income is below 80% of AMI, you get the full $8,000 toward a qualifying heat pump. Between 80% and 150% AMI, the rebate covers 50% of costs up to $8,000. Above 150% AMI, HEAR does not apply — and unlike prior years, there is no longer a fallback federal tax credit.

State-Level Heat Pump Rebates (2026)

Many states add their own incentives on top of the federal programs. These vary significantly, and new programs keep launching as IRA funds roll out. Here are the most significant ones currently active:

StateAdditional RebateProgramNotes
California$3,000–$4,500TECH Clean CaliforniaDucted/ductless mini-split
New York$4,900–$19,000EmPower+/NYS Clean HeatIncome-qualified; includes weatherization
Massachusetts$1,250–$10,000Mass SaveTiered by income; not federally dependent
Colorado$3,000–$12,000CO HEAR + utilityEarly HEAR rollout state
Maine$2,000–$4,000Efficiency MainePlus enhanced amounts for income-eligible
Oregon$3,000Energy Trust of OregonCovers ducted and ductless
Vermont$4,000+Efficiency Vermont + HEARCold-climate models prioritized
ConnecticutUp to $15,000Energize CT + HEARIncome-qualified maximum

Not seeing your state? Use our state rebate finder to check what is available where you live.

What Heat Pumps Qualify for the 2026 Rebate?

Not every heat pump gets you the full rebate. The equipment must meet specific efficiency standards set by the DOE:

  • Air-source heat pumps — Must meet ENERGY STAR requirements (SEER2 ≥ 15.2, HSPF2 ≥ 7.8 for split systems)
  • Ductless mini-splits — Must be ENERGY STAR certified; qualifies under HEAR
  • Ground-source (geothermal) heat pumps — Qualify for HEAR rebates up to $8,000 plus state rebates (note: the 30% 25D federal ITC for geothermal also expired December 31, 2025)
  • Heat pump water heaters — Separate $1,750 HEAR rebate

Brands that commonly qualify include Mitsubishi, Daikin, Carrier, Trane, Lennox, and Bosch. Your installer should confirm AHRI certification before you commit.

Income Limits: Do You Qualify for the Full Rebate?

The income thresholds for HEAR use Area Median Income (AMI), not a fixed national number. That means the cutoff varies by county. A family of four earning $80,000 might qualify for the full $8,000 in one state and only the partial rebate in another.

Here is a rough guide for a household of four:

AMI LevelApprox. Income (Family of 4)HEAR Heat Pump Rebate25C Tax Credit
Under 80% AMIUnder $60,000–$85,000$8,000 (100% of cost)Expired — not available in 2026
80–150% AMI$60,000–$160,00050% of cost, up to $8,000Expired — not available in 2026
Above 150% AMIAbove $160,000Not eligibleExpired — not available in 2026

Check your exact AMI threshold using our heat pump rebate calculator — it pulls county-level data so the number is specific to your location.

How to Apply for a Heat Pump Rebate in 2026

The application process depends on which program you use. Here is what to expect:

  1. Check your eligibility. Use your state's HEAR portal or our calculator to confirm your income tier and available rebates.
  2. Get quotes from qualified contractors. The installer must be registered with your state's HEAR/HOMES program. Ask for the rebate to be applied as a point-of-sale discount where available.
  3. Choose a qualifying heat pump. Make sure the model is ENERGY STAR certified and meets DOE efficiency minimums.
  4. Submit the application. In most states, the contractor handles HEAR paperwork. For HOMES, you may need a pre- and post-installation energy assessment.
  5. Check state credits. Several states (Colorado, New York, Massachusetts) have their own state-level tax credits or rebates that do not depend on the expired 25C federal credit. File according to your state's requirements.

Timeline: HEAR rebates are typically processed within 4–8 weeks.

Can You Stack Heat Pump Rebates?

Yes — and you should. Federal HEAR and HOMES programs complement each other and state programs add on top. A common stacking scenario for an income-qualified household in Massachusetts in 2026:

  • HEAR rebate: $8,000
  • State rebate (Mass Save): $1,250
  • Utility rebate: $500
  • Total: $9,750 toward a $12,000–$18,000 installation

Note: the 25C tax credit is no longer available to add to this stack — it expired December 31, 2025. For households above 150% AMI who no longer qualify for HEAR and have no 25C fallback, state programs become the only federal-adjacent incentive path.

The one rule: the total rebates cannot exceed the project cost. You cannot profit from rebates (though some low-income households get close to $0 out-of-pocket).

Read our full rebate stacking guide for detailed strategies.

Heat Pump Rebate vs. Tax Credit: What Is the Difference?

A rebate reduces your upfront cost — it is applied at the time of purchase or shortly after. A tax credit reduces the tax you owe when you file your return. The HEAR rebate is a true rebate (instant discount). The 25C tax credit, which previously provided up to $2,000 at tax season, expired December 31, 2025 and is no longer available for new installations. Both programs were non-refundable for most filers.

Frequently Asked Questions

How much is the heat pump rebate in 2026?

The federal HEAR heat pump rebate is up to $8,000 for households under 150% of area median income. The 25C tax credit expired December 31, 2025 and is not available for 2026 heat pump installations. State and utility rebates can add $500 to $15,000 more depending on where you live, with Massachusetts (Mass Save) offering the most generous state program.

What is the income limit for the heat pump rebate?

HEAR income limits are based on Area Median Income (AMI). Households under 80% AMI get 100% of costs covered up to $8,000. Households between 80-150% AMI get 50% of costs covered. Above 150% AMI, HEAR does not apply. Note: the 25C federal tax credit that previously had no income limit expired December 31, 2025.

Is the 25C tax credit still available for heat pumps in 2026?

No. The Section 25C Energy Efficient Home Improvement Credit expired December 31, 2025 under the One Big Beautiful Bill Act. There is no federal tax credit for heat pump installations in 2026. If you installed a heat pump before December 31, 2025, you can still claim the 25C credit on your 2025 tax return. For 2026 installations, the HEAR rebate (up to $8,000 income-qualified) and state programs are the available incentives.

Do mini-splits qualify for the 2026 heat pump rebate?

Yes. Ductless mini-split heat pumps qualify for the HEAR rebate (up to $8,000 for income-qualified households) as long as they are ENERGY STAR certified and meet DOE efficiency minimums. The 25C tax credit no longer applies to any 2026 installations.

How do I apply for a heat pump rebate?

Check eligibility through your state's HEAR portal, get quotes from program-registered contractors, choose an ENERGY STAR certified heat pump, and submit the application (often handled by your installer). For state-level credits (Colorado, New York, etc.), follow your state's specific filing requirements. The federal 25C credit is no longer available for 2026 installations.