Colorado homeowners can save $5,750 to $22,000+ on heat pump installations by stacking multiple rebate programs. The biggest rebates are income-qualified, but the income limits are more generous than most people think. For example, a household of two earning under ~$168,000 in Denver qualifies.
We’ve helped homeowners claim over $5 million in rebates in 2025 alone. This page covers every active program, what ended, and how to combine them. UniColorado is a heat pump specialty HVAC contractor.
Most Colorado homeowners qualify for at least two heat pump rebate programs. Stack three or four and you can cut a $20,000 installation in half, sometimes more. Below are real stacking examples based on a 3-ton cold climate heat pump, the most common system we install along the Front Range.
Amounts based on a 3-ton cold climate heat pump. Actual rebate depends on system size and heating capacity at 5°F.
| Program | Rebate | Who Qualifies |
|---|---|---|
| Xcel Energy | $2,250/heating ton | Xcel Gas Customers |
| HEAR | Up to $14,000 | Income under 150% AMI |
| Colorado State Tax Credit | $1,000 | All Colorado residents |
| Power Ahead / DRCOG | TBD | Denver metro (launching mid-2026) |
| United Power | Varies | United Power customers |
| EnergySmart | Varies | Boulder County residents |
| Xcel IQ | 25-100% of cost | Specific areas, income-qualified |
| Xcel Mountain Energy | $7,500/heating ton | Specific Mountain communities |
HEAR (Home Electrification and Appliance Rebates) is the largest single rebate – up to $14,000. It’s income-qualified, but the limits are higher than most people expect. Use our calculator below to see if you might qualify.
Under 150% AMI? Start with HEAR income verification which takes 2–10 business days and must be done before installation.
Above 150% AMI? You still get Xcel/Utility rebates + state tax credit. That’s $7,750+ on a 3-ton system. No income check needed.
This calculator is a tool for estimation purposes only. Results may be incorrect and should not be considered official. Please verify all information with the Colorado Energy Office or your local rebate program administrator.
For specific areas and income-qualified.
for homeowners in specific zip codes who convert from gas heating to all-electric.
Federal 25C Tax Credit: Ended December 31, 2025. The $2,000 annual heat pump tax credit was eliminated by the One Big Beautiful Bill Act. If you installed before 2026, claim it on your 2025 taxes.
Denver CARe Rebates: Ended Spring 2025. Denver residents still qualify for Xcel, HEAR, and state programs above.
Planning multiple upgrades? Xcel’s Whole Home Efficiency program adds a 25% bonus on standard Xcel rebates when you complete three or more projects within two years. Heat pumps, water heaters, air sealing, insulation all count. Requires an Xcel-approved energy audit first.
We apply every rebate we’re authorized to process as an upfront discount. You’ll see it on your invoice.
UniColorado is the most experienced heat pump installer in the Denver metro area. With thousands of heat pump units installed, we know what works, what’s high quality and what’s worth your time and money.
