Fix First HomeWhat home-upgrade rebates actually pay — and who you apply to.

Fix First Home › Washington › Puget Sound Energy heat pump and water heater rebates

Puget Sound Energy heat pump and water heater rebates open

Administered by Puget Sound Energy (PSE).

Puget Sound Energy pays $1,500 for a heat pump that replaces electric resistance heat, upgrades an old heat pump, or pairs with an existing gas furnace as a hybrid, and $2,400 to income-qualified customers. Income-qualified gas customers get $4,000 to replace gas heat with a heat pump; a heat pump water heater is $1,000, or $1,100.

source · verified 2 October 2026 · amounts in US dollars

What it pays

Rebates to PSE single-family customers, 2026
UpgradeConditionAmount
Air-source heat pump replacing electric resistance heatDucted or ductless; PSE electric customer$1,500
Air-source heat pump replacing electric resistance heatEfficiency Boost (income-qualified)$2,400
Hybrid heat pump added to a gas furnacePSE gas or dual-fuel customer; ductless not eligible$1,500
Hybrid heat pump added to a gas furnaceEfficiency Boost$2,400
Heat pump replacing an existing heat pumpCapacity at 5°F at least 70% of capacity at 47°F; ductless not eligible$1,500
Heat pump replacing an existing heat pumpEfficiency Boost$2,400
Air-source heat pump replacing gas heatIncome-qualified PSE gas customers only$4,000
Heat pump water heaterTier 3 or 4, installed on or after 1 January 2026$1,000
Heat pump water heaterEfficiency Boost$1,100
Smart thermostatOne per household; Efficiency Boost $175$75–$175
Heat pump clothes dryerEfficiency Boost $400$350–$400

Heat pump rebates need a PSE Recommended Energy Professional or Trade Ally to install; no out-of-network contractor and no do-it-yourself. One heat pump rebate per home. Allow four to six weeks.

Who is eligible

who
Current PSE single-family residential customers (four units or less); new construction, five-plus-unit buildings and commercial accounts excluded.
fuel
Each rebate names the heating it replaces: electric resistance, a working heat pump, or a gas furnace. Gas, propane, oil or wall heaters do not qualify for the electric resistance rebate.
Efficiency Boost
Income-qualified customers, by gross monthly income, household size and county; PSE says about half its customers qualify. For four people in King or Snohomish County the line is $11,358 a month.

What disqualifies you

The rules people find out about after the work is done.

  • Homes that already have a heat pump serving the main living area (for the conversion rebates).
  • Installation by an out-of-network contractor or by yourself.
  • Equipment replaced under warranty.

Where the application goes

Your PSE contractor takes you through the rebate; heat pump water heaters can be bought at a retailer with an instant discount or claimed afterward on PSE's form.

Where the application goes
If this is youApply here
Heating rebatespse.com
Efficiency Boost checkpse.com
Phone1-800-562-1482

The thing most pages get wrong

Search results show PSE's heat pump water heater rebate as $500, from the page's own description tag. The page itself, and PSE's March 2026 flyer, say $1,000 for a Tier 3 or 4 unit and $1,100 with Efficiency Boost.

No more gas equipment rebates

PSE's current rebate list and flyer have no rebate for a gas furnace, boiler or water heater, only for moving from gas to a heat pump. Other Washington gas utilities still pay for gas equipment: Cascade Natural Gas up to $2,400 for a furnace, Avista $650 through the contractor.

Expired offers still quoted

Contractor sites quote a $2,000 heat pump rebate and $2,900 with Boost. That was a promotion for 1 September to 17 October 2025; the live pages say $1,500 and $2,400.