Green Furnace Money

If your current furnace is malfunctioning or more than 20 years old, you should be looking into a new purchase. If you buy a new energy efficient furnace for your house, you will end up saving a lot of money on energy bills in the long run. Energy efficient furnaces are not as harmful to the environment because they require less fossil fuels to operate.

Tax Credit “Green” Furnaces

The government is encouraging people to make the switch from old units to new models. Currently some very lucrative federal tax credits are available for those ready to make the move to an energy-efficient appliance. You can take advantage of a 30% tax credit on the purchase of a new energy-efficient gas furnace, and other state incentives are often available as well.

Who Qualifies for the Tax Credit?

When you upgrade to the new unit there are 2 components that will need to be replaced: the furnace unit and the circulation fan that blasts air through your house. If your old furnace has an annual fuel utilization efficiency over 95%, you qualify for the rebate. To get the rebate for your circulation fan, the old fan must account for less than 2% of the total annual energy used from the furnace. If you are fortunate enough to qualify for both rebates, you will get the total 30% off the new unit combined with the instillation bill. The credit does not exceed $1,500 however, so you still may need to look around for a good deal.

To get the current energy calculations of your old furnace and circulation fan, you should call an HVAC professional to do the reading for you. Making the switch may seem like a big ordeal, but it is worth it. You will save money in the long run, and you can rest assured knowing that you are being environmentally friendly.