Anyone who reads the Eco Friendly Cheapass knows I love tax credits and rebates. So I was really excited to see not only are the Federal Energy Tax Credits back, but they’re retroactive from 12/31/2017!

So for your primary residence there’s a variety of rebates for installing high efficiency heating/cooling systems, water heaters, insulation upgrades, etc. 

My favorite (yes, I have favorites) is the heat pump water heater rebate of $300 which can stack on top of your utility rebate. I’ve written about these units a number of times but here’s the short version:

• You can get one on sale starting around $1000 (regularly $1300)
• They can be DIY installed by a handy homeowner
• Utility rebates commonly run $250-500 
• Federal rebate is $300
• The typical homeowner will save $300-400/year replacing a conventional electric water heater with a heat pump water heater

You can literally have a 1 year ROI on a heat pump water heater now and save thousands over the life of the unit.

For more information about these rebates check out this Energy Star page. 

CYA – this does not constitute tax advice, please see your tax professional to ensure you qualify.