Heat-pump water heaters are the most rebate-rich upgrade in plumbing right now. In 2026, Puget Sound Energy pays $1,000 on a qualifying ENERGY STAR Tier 3 or Tier 4 heat-pump water heater — up to $1,100 for income-qualified households through Efficiency Boost — for units installed on or after January 1, 2026. The federal 25C tax credit ended after 2025, and Washington's HARP/HOMES programs add more as they roll out. Check your rebate below, then see our Bellevue water heater repair: tank, tankless, and heat-pump page — we file the rebate paperwork as part of the install.
Select your utility to see what you qualify for.
Rebate amounts and rules change — figures here reflect 2026 programs (sources below) and we confirm your exact eligibility and file the paperwork at install. Verify current terms with your utility.
In 2026, Puget Sound Energy pays $1,000 on a qualifying ENERGY STAR Tier 3 or Tier 4 heat-pump water heater, or up to $1,100 for income-qualified households through Efficiency Boost. Other Washington utilities offer their own incentives that change by program year.
The PSE rebate applies to units installed on or after January 1, 2026, in a PSE electric customer's home, with the application submitted within 30 days of installation. The unit must be ENERGY STAR certified and meet the Tier 3 or Tier 4 requirement.
The federal side changed: the 25C tax credit that previously covered heat-pump water heaters ended after December 31, 2025. Washington's state-level HARP and HOMES programs continue to roll out and can stack additional savings for income-eligible households — which is why it's worth checking current status before you buy.
For most Bellevue and Eastside homes on electric water heating, yes: a heat-pump water heater uses roughly a third of the energy of a standard electric tank, and the PSE rebate offsets much of the higher upfront cost. The main requirements are space and a moderate ambient temperature around the unit.
Heat-pump units pull heat from surrounding air, so they need a reasonably sized, not-too-cold space — a garage or utility room usually works on the Eastside. They cost more than a basic electric tank up front, but the energy savings plus the rebate close much of that gap, and they last 13–15+ years. We confirm your space and electrical are suitable as part of the quote.
Ready for a real, written flat-rate quote? These are the services behind the estimates above:
Deeper background on what drives these prices:
Serial-number formats are decoded from published manufacturer and inspection references. Always confirm against the date on your unit's rating plate.
PSE pays $1,000 on a qualifying ENERGY STAR Tier 3 or Tier 4 heat-pump water heater installed on or after January 1, 2026, and up to $1,100 for income-qualified households through Efficiency Boost. You apply within 30 days of installation — we handle the paperwork as part of the install.
No — the federal 25C tax credit that covered heat-pump water heaters ended after December 31, 2025. The savings that remain in 2026 are utility rebates (like PSE's $1,000–$1,100) and Washington's state HARP/HOMES programs for income-eligible households. We check what currently applies to you.
Yes. We confirm the unit qualifies for your utility's rebate, install it to the program's requirements, and file the rebate application within the required window (30 days for PSE). You get the rebate without chasing the paperwork yourself.
