For a lot of families, there typically seems to be a large list of home improvement tasks that they need to do or new ideas they’d like to try. While a handful may not be necessities, furnace replacement is a job that may be vital to keeping your home comfortable during the winter months in Sacramento.

Getting a new furnace is a big investment. You’ll certainly see the return-on-investment on your indoor comfort along with your energy bills, but it could be a little intimidating at first. The good news is that when you pick a new energy-efficient furnace, you could be qualified for a federal tax credit.

According to ENERGY STAR®, the Non-Business Energy Property Tax Credits were extended through December 31, 2020. In order to receive the tax credit, you are required to buy a furnace that has earned the ENERGY STAR label. However, it can’t be a furnace that is labeled ENERGY STAR for “U.S. South Only.” When browsing for furnace replacements, watch for heat pumps with the ENERGY STAR rating so you can be confident you’re choosing a high-efficiency furnace.

At Bishop’s HVAC, the experts will help you select a product that meets your needs and makes sure you qualify for this tax credit. While ENERGY STAR products indicate high efficiency, you’ll need to check the furnace you select has an Annual Fuel Utilization Efficiency (AFUE) greater than 95, in order to qualify for the tax credit. AFUE indicates the percent of heat produced for every dollar of fuel consumed.

This tax credit won’t be the only savings you’ll observe when you purchase a new high-efficiency furnace. Many of the most efficient furnaces can save you hundreds of dollars on your energy costs all year long. And your family will also have greater confidence in your HVAC system to help your home stay at just the right comfort level.

If you have questions regarding your eligibility for a tax credit, or if there are other local savings you may be eligible for by installing a new high-efficiency furnace, give our technicians at Bishop’s HVAC a call at 916-591-6889. You may also visit ENERGY STAR or contact your local utility company if you have questions about other eligible home products.