Final Year To Save $2000 On A New Heat Pump

If you’ve been thinking about upgrading your home with a new heat pump or other energy-efficient HVAC system, don’t wait 2025 is your final chance to take full advantage of key federal tax credits before they’re gone.

Signed into law on July 4, 2025, the One Big Beautiful Bill Act is making major changes to the incentives introduced under the Inflation Reduction Act. That means the generous Energy Efficient Home Improvement Credit that covers 30% of your costs or up to $2,000 for qualified heat pumps is ending after December 31, 2025.

At MR. AIR NYC, we want our customers to be fully informed and prepared to act before these valuable savings expire.

What’s Changing?

The Energy Efficient Home Improvement Credit (25C), is now ending by December 31, 2025 and all equipment must be installed and in service before that.

This credit currently covers:

• 30% of qualifying upgrade costs OR

• Up to $2,000 for heat pumps.

  
  

What This Means for Homeowners

1. Higher Costs Starting in 2026

Without the $2,000 tax credit, a $10,000 heat pump install will have a significantly higher net cost. That’s money left on the table if you wait.

2. Longer Payback Periods

While high-efficiency HVAC systems will still save you money over time, removing the tax credit extends the break-even point for many homeowners.

3. Increased Demand in 2025

Homeowners nationwide are expected to rush to schedule installations before the end-of-year deadline. This may lead to delays in:

• Scheduling

• Permitting

• Equipment availability

That’s why early planning is critical.

4. Market Shifts in 2026

We may see a surge of installs this year followed by a slowdown next. Some contractors could respond with new promotions or financing but they likely won’t make up for the lost federal support.

What You Should Do Now

• Book a consultation early: The sooner you start, the more flexibility you’ll have in selecting the right system and scheduling your installation.

• Consider bundling upgrades: If you’re also considering indoor air quality or ventilation improvements, 2025 is the year to make it all happen under one tax-saving umbrella.

  
  

Final Thoughts from MR. AIR NYC

These changes may be out of our control but your timeline isn’t. If a high-performance, energy-efficient HVAC system is on your to-do list, don’t wait until the last minute. The clock is ticking on one of the best opportunities to save on your home’s comfort and energy efficiency.

Let MR. AIR NYC help you make the most of it.Contact us today to schedule your heat pump consultation and lock in your 2025 tax credit before it’s too late.