Washington is an unusual rebate market because two of its biggest programs share the same name. The state's own Home Electrification and Appliance Rebates program and the federal Home Electrification and Appliance Rebates program under the Inflation Reduction Act are both called HEAR, funded differently, run by different timelines, and as of this check, only one of them is actually taking applications. Add Puget Sound Energy and Seattle City Light's utility rebates on top, and a quote's one-line "rebates: $X,XXX" is doing a lot of unverified work.
Quick answer
For a 2026 Washington quote, expect up to four incentive layers, not one blended number. Washington's state-funded Home Electrification and Appliance Rebates (HEAR) program, paid for by the state's Climate Commitment Act, is active now for households at or below 150% of area median income (AMI), delivered through local third-party administrators rather than a single statewide portal. The separate federal HEAR/HOMES rebate under the federal Inflation Reduction Act is still not open for applications in Washington: the state's own tracker put the program at "Step 5 of 7" (setting up delivery operations with administrator Guidehouse) as of this check, with no launch date announced. Puget Sound Energy pays $1,500 to convert electric-resistance heat to a qualifying heat pump, more with income-based boosts. Seattle City Light's Clean Heat program pays $2,000 to $6,000 specifically for oil-to-heat-pump conversions, but only for Mitsubishi Electric equipment. The federal 25C tax credit that used to apply to heat pump purchases is gone for equipment placed in service after December 31, 2025.
Washington's heat pump incentive layers
| Program | What it pays (2026) | Who qualifies | Status as of this check |
|---|
| State HEAR (Climate Commitment Act funded) | Varies by local administrator; covers heat pumps, heat pump water heaters, panel and wiring upgrades | Households, renters, small businesses, and adult family homes at or below 150% AMI | Active; contact HomeRebates@commerce.wa.gov to find your area's administrator |
| Federal HEAR/HOMES (IRA funded) | Not published; program not yet operating | Households at or below 150% AMI once launched | Not open for applications; Step 5 of 7, no launch date given |
| PSE electric-resistance conversion rebate | $1,500 base, up to $2,400 more with Efficiency Boost, up to $4,000 for a gas-to-heat-pump conversion | PSE single-family electric customers with no existing heat pump; installer must be a PSE Trade Ally or Recommended Energy Professional | Active |
| Seattle City Light Clean Heat | $2,000 base, up to $6,000 combined with the moderate-income bonus | Seattle oil-heat households; Mitsubishi Electric equipment only for the paid rebate tier; bonus tied to 81-150% AMI | Active; bonus tier requires installation completed by September 30, 2026 |
These four programs are administered separately and by different levels of government or different utilities. Qualifying for one does not tell you anything about the others, and a quote that lists a single blended rebate number is not something you can verify. Start every incentive conversation with how to read a heat pump quote.
The naming trap: two programs, both called HEAR
Washington's Department of Commerce runs a state-funded rebate program using $73.5 million from the state's Climate Commitment Act, which funded 55 local programs in 2024 and 2025, with another $30.1 million anticipated for continuing and new rounds. That program is branded the "State Home Electrification and Appliance Rebates Program," and Commerce's own materials shorten it to HEAR.
Separately, the federal Inflation Reduction Act created its own Home Electrification and Appliance Rebates program, funded by the federal government and administered state by state. Washington's version of that federal program is also called HEAR, sometimes bundled with the related HOMES rebate as "HEAR/HOMES." Commerce selected Guidehouse in September 2025 to administer it, and as of this check, the state's own program tracker places it at "Step 5 of 7," described as setting up delivery operations with the administrator. Two steps remain: approval to launch from the U.S. Department of Energy, then a statewide launch with open applications. No launch date is published.
In plain terms: if a contractor tells you "you qualify for the HEAR rebate," ask which one. The state-funded track is running now through local administrators. The federal-funded track is not accepting applications from anyone in Washington yet, on any timeline Commerce has made public.
PSE and utility rebates: check your own utility
Puget Sound Energy runs the most detailed published utility rebate for heat pumps in the state:
- $1,500 base rebate for replacing electric-resistance heating (forced-air, baseboard, cable, wall heater, or hydronic) with a qualifying air-source heat pump.
- Up to $2,400 more through PSE's Efficiency Boost for income-qualified customers.
- Up to $4,000 for income-qualified customers converting from natural gas to a heat pump.
- Ductless systems must be AHRI-certified variable-speed or multi-split equipment with at least 3/4 ton heating capacity and at least one indoor head in the main living area; ducted air delivery disqualifies the ductless tier.
- A home with an existing heat pump or heat pump air conditioner does not qualify, and PSE limits the rebate to one per single-family residence.
- The contractor must be a PSE Trade Ally or Recommended Energy Professional. PSE has stated this requirement takes effect for certain programs starting April 2, 2026, so confirm your installer's current status rather than assuming past qualification still applies.
Other Washington utilities, including Avista, Tacoma Power, and Snohomish County PUD, run their own efficiency programs, but this guide does not state specific dollar amounts for them because they were not verified during this research. If your utility is not PSE or Seattle City Light, ask your utility directly, in writing, before a contractor subtracts a specific number from your quote.
Seattle City Light's Clean Heat program: built for oil conversions
Seattle City Light's Clean Heat program is narrower than PSE's, and it comes with an equipment restriction that is easy to miss on a quote:
- $2,000 base instant rebate for any Seattle resident converting from an oil furnace to a qualifying electric heat pump.
- An additional $4,000 bonus for households between 81% and 150% of area median income, for a combined maximum of $6,000. Income thresholds scale by household size, for example roughly $81,700 to $172,650 for a one-person household.
- The bonus rebate applies only to installations completed by September 30, 2026. If your project slips past that date, you may still get the $2,000 base rebate but not the income-qualified bonus.
- The paid rebate tier is limited to Mitsubishi Electric heat pumps. A quote that proposes a different brand for a Seattle oil-conversion project may still be a fine heat pump, but it will not carry this specific city rebate.
- Income-eligible households can get a no-cost oil-to-heat-pump conversion through Seattle's Office of Housing Clean Heat program rather than the paid-rebate track.
- The oil tank must be decommissioned per Seattle Fire Department rules as part of the conversion.
If you are comparing an oil-heat quote in Seattle, see heat pump vs oil heat for the broader fuel-switch math before treating any city rebate as locked in.
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Climate matters for equipment choice, not just rebates
Washington's own building energy code splits the state into two zones by county: milder, marine western Washington, including King, Pierce, Snohomish, and Clallam counties, sits in a warmer zone than colder eastern Washington counties such as Spokane, Whitman, and Yakima, which the state code assigns to a colder zone by statute specifically so the boundary does not shift every time a model code updates. That split matters for equipment selection and backup heat planning: a heat pump quote for a west-side Puget Sound home and a quote for an eastern Washington home should not default to the same equipment tier or the same backup heat assumption. See cold-climate heat pumps for how to judge low-temperature output claims, and heat pump sizing and Manual J before accepting a tonnage that was picked from square footage alone.
Stacking the programs
A Seattle homeowner converting from oil, at 81-150% AMI, could plausibly combine Seattle City Light's $6,000 Clean Heat rebate with the state HEAR program if a local administrator serves their area and income tier lines up, though the two programs are not guaranteed to stack without confirmation from both administrators. A PSE customer converting from electric-resistance heat could combine the utility's own $1,500 to $4,000 rebate with state HEAR, again subject to the same income and administrator check. Nobody in Washington can currently add a federal HEAR/HOMES rebate to either scenario, because that program has not opened for applications.
Ask your contractor to show each incentive as its own line: program name, which government or utility funds it, the eligibility test, and the date the amount was confirmed. A single "rebates" line that blends a utility rebate with an assumed federal rebate that has not launched is not a number you can hold anyone to.
Federal tax credit status for 2026
There is no federal 25C heat pump tax credit available for equipment placed in service in 2026. The IRS states the Energy Efficient Home Improvement Credit is not allowed for property placed in service after December 31, 2025. If a Washington quote still subtracts a federal tax credit from the price, distinct from the still-unlaunched federal HEAR rebate discussed above, ask for the specific IRS provision and effective date. See heat pump tax credit 2026: what changed for the broader federal picture.
Quote red flags specific to Washington
- The quote says "HEAR rebate" without specifying whether it means the state-funded program or the federal IRA-funded program, which are not the same thing and are not both open.
- A federal HEAR or HOMES rebate is subtracted from the price even though that program has not launched statewide applications.
- A Seattle oil-conversion quote assumes the Clean Heat rebate for equipment that is not Mitsubishi Electric.
- The Seattle Clean Heat income-qualified bonus is assumed without checking whether installation will finish before the September 30, 2026 deadline.
- A PSE rebate is assumed without confirming the installer is currently a PSE Trade Ally or Recommended Energy Professional.
- A utility rebate is quoted for a utility other than PSE or Seattle City Light with no written confirmation from that utility.
- Electrical scope is marked TBD after signing. State HEAR funding can also cover panel and wiring upgrades, so an incomplete electrical line can mean a missed rebate, not just a missed cost; see the heat pump electrical panel upgrade guide.
- The heat pump is sized to the old system's tonnage instead of a real load calculation, regardless of which side of the Cascades the home is on.
Questions to put in writing before signing
- Is this the state-funded HEAR program or the federal IRA-funded HEAR/HOMES program, and can you show me the current status of that specific program?
- Which local administrator serves my area for the state HEAR program, and has my household's eligibility been confirmed with them directly?
- If PSE or Seattle City Light rebates apply, is your business currently registered as a PSE Trade Ally, Recommended Energy Professional, or Seattle Clean Heat participating contractor?
- For a Seattle oil conversion, is the proposed equipment Mitsubishi Electric, and does that qualify for the paid rebate tier or only the base rebate?
- If I am pursuing the Seattle Clean Heat income bonus, will installation be complete before September 30, 2026?
- Are these incentives shown as separate line items with program name and confirmation date, or blended into one number?
- What happens to the price if a program's availability or amount changes before installation is complete?
FAQ
Is Washington's HEAR program the same as the federal heat pump rebate?
No. Washington runs a state-funded HEAR program, paid for by the state's Climate Commitment Act and active now through local administrators. The federal government's Inflation Reduction Act also created a program called HEAR, administered separately with Guidehouse as the state's selected administrator, and as of this check it has not opened for applications anywhere in Washington. The two share a name but not funding, timing, or eligibility processing.
How much does PSE pay for a heat pump conversion?
PSE pays $1,500 to convert electric-resistance heating to a qualifying air-source heat pump, up to $2,400 more through its income-qualified Efficiency Boost, and up to $4,000 for an income-qualified natural-gas-to-heat-pump conversion. Ductless equipment must meet specific AHRI-certified, variable-speed requirements, and the installer must be a current PSE Trade Ally or Recommended Energy Professional.
Does Seattle pay for heat pumps that replace natural gas?
Seattle City Light's paid Clean Heat rebate, as researched for this guide, is built around oil-to-heat-pump conversions. Gas-heated Seattle households should check the city's separate no-cost or reduced-cost conversion pathways directly with the Office of Housing, since the paid rebate tier described here is specific to oil conversions.
Can I use more than one of these programs together?
Sometimes. A homeowner who qualifies for a utility rebate and the state HEAR program by income and administrator coverage may be able to combine them, but stacking is not automatic or guaranteed; confirm with both program administrators before counting combined savings in a quote. Nobody can currently add the federal HEAR/HOMES rebate to any combination, since it has not launched.
Is there still a federal tax credit for heat pumps in Washington in 2026?
No. The IRS says the Energy Efficient Home Improvement Credit is not allowed for property placed in service after December 31, 2025. That is separate from the federal HEAR/HOMES rebate, which never opened for 2026 installations in the first place as of this check.
Method and update note
This guide reflects Washington State Department of Commerce, Puget Sound Energy, and Seattle City Light program pages fetched directly on 2026-07-28. Direct retrieval of commerce.wa.gov's state HEAR page and its federal IRA Home Energy Rebates status page, pse.com's electric-resistance conversion rebate page, and seattle.gov's Clean Heat Program page all succeeded and are cited below. The one dated figure not confirmed on the primary PSE page itself, the April 2, 2026 Trade Ally/REP requirement effective date, is corroborated only by independent secondary reporting and is flagged as such in the body text. Utility rebates for Washington utilities other than PSE and Seattle City Light were not verified this run and are intentionally not quoted with specific dollar amounts. Program status, funding availability, and utility rebate amounts can all change without notice; confirm the live figure and current program status before treating any number in a quote as final.
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