Residential Heat Pump Rebates

The Minnesota Residential Heat Pump Rebates, offered through Save Energy Minnesota, help Minnesotans lower upfront costs when installing an efficient heat pump for heating and cooling in their primary home.

These rebates are designed to work alongside federal rebates, including Home Electrification and Appliance Rebates (HEAR).

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Who is Eligible

To qualify, you must meet the requirements in Minnesota law Minn. Stat. Sec. 216C.46
and the Save Energy Minnesota program.

Basic eligibility includes:

  • You received a heat pump rebate through the federal HEAR program.
  • You own a Minnesota home where the heat pump will be installed.
  • You live in the home as your primary residence.
  • You completed an energy audit within the last 18 months with a certified Building Analyst Technician (or another approved certification once announced).
  • You installed the insulation and air-sealing upgrades recommended by the auditor, or the auditor determined your home already has sufficient insulation and air sealing.
  • You meet any additional requirements listed under the Save Energy Minnesota program.
Confirm Eligibility (nl)

How the Program Works

Here is the general process for receiving a heat pump rebate:

  1. Check your eligibility.
    You must qualify for a HEAR heat pump rebate first.
  2. Complete an energy audit.
    Your audit needs to be from the past 18 months and performed by a qualified professional.
  3. Complete any recommended insulation or air-sealing upgrades.
    These improvements make sure your new heat pump performs efficiently.
  4. Purchase the right heat pump.
    It must be ENERGY STAR certified and cold-climate rated.
  5. Work with an approved contractor.
    Minnesota will release the contractor list before the program launches.
  6. Submit your documentation.
    Your rebate amount will depend on your total costs minus any HEAR or other rebates.
Find a Contractor

Heat Pump Equipment Eligibility

Eligible Heat Pump Equipment

To qualify for the rebate, your heat pump must be:

  • ENERGY STAR certified
  • Cold-climate rated
  • Sized correctly based on the auditor’s or contractor’s recommendation
  • Installed by a contractor from Minnesota’s approved contractor list (coming soon)

Equipment that is NOT eligible for this rebate (but may qualify under HEAR):

  • Air-to-water heat pumps
  • Ground-source (geothermal) heat pumps
  • Heat pump water heaters
  • Heat pump dryers

The state rebate applies only to cold-climate air-source heat pumps.

Rebate Amounts

Your rebate amount will be the least of:

  • $4,000, or
  • Your total cost to purchase and install the heat pump, minus:
    • Any HEAR rebate you received
    • Any other applicable rebate programs
Get Started (nl)

Consumer Protection Notice:
Stay Safe from Scams
A few tips to protect yourself:
– Be cautious of unexpected calls, emails, texts, online ads, or door-to-door visits about Save Energy Minnesota program, these may be scams.
– Always wait for official updates from the **Minnesota Commerce Department** before sharing personal information or responding to any offers.

Advisory No.: 2024-001
Issued: September 9, 2025
Last Updated: December 9, 2025
Expires: March 9, 2026
Version: 1.3

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