Many models of heat pumps, furnaces, air conditioners and water heaters qualify for local utility and state rebates, and tax credits, which can lower your upfront installation costs. It’s important to know exactly which models and incentives apply. The knowledgeable team at Indoor Air Quality, Inc. can direct you to the right products, rebate programs, and tax credits to maximize your savings.
Heat Pump Rebates & Tax Credits
High-efficiency heat pumps currently offer the strongest incentive opportunities in Colorado.
Xcel Energy Heat Pump Rebates
Homeowners in Xcel’s service area may qualify for substantial rebates when installing eligible cold-climate heat pump systems.
Incentives can include:
3,000 to $5,000 for qualifying cold-climate ducted heat pump systems
Up to $8,000 for certain high-efficiency or fuel-switching installations
Additional incentives may apply for fully electric homes or specific efficiency tiers
Systems must meet efficiency requirements and be installed according to program guidelines.
Colorado HEAR Program (Income-Based Incentives)
Income-qualified households may be eligible for additional savings through Colorado’s Home Electrification and Appliance Rebate program.
Depending on eligibility, homeowners may receive:
Up to $8,000 for heat pump HVAC installations
Higher incentive percentages for households meeting income eligibility thresholds
Point-of-sale or reimbursement-based rebates depending on program structure
Funding availability and verification requirements apply.
Colorado State Tax Credits
Colorado also offers state-level tax credits that may apply to qualifying heat pump installations.
Typical state-level benefits may include:
Up to $1,500–$2,000 in state tax credits for qualifying high-efficiency electric systems
Eligibility is based on system efficiency, installation date, and program rules. Credits are claimed when filing Colorado state income taxes. Program availability and credit amounts may change annually.
What This Means for You
For many homeowners, combining Xcel rebates with available state incentives can substantially lower the cost of upgrading to a high-efficiency heat pump.
Mini Split Rebates & Tax Credits
Ductless mini split systems qualify under many of the same electrification-focused programs as whole-home heat pumps.
Xcel Energy Mini Split Rebates
Homeowners served by Xcel Energy may qualify for rebates when installing high-efficiency ductless heat pump systems.
Typical rebate ranges include:
$1,500 to $5,000 per qualifying mini split system
Higher incentives for cold-climate-rated equipment
Additional benefits for replacing older electric resistance heating
Rebate amounts and eligibility requirements vary based on system efficiency and program availability.
Colorado HEAR Program for Income-Qualified Households
The Home Energy Assistance and Rebates Program provides enhanced incentives for qualifying low- and moderate-income households.
For eligible homeowners, HEAR incentives may include:
Up to $8,000 toward cold climate heat pump or mini split installations
Point-of-sale or reimbursement-based rebates depending on program structure
These incentives can significantly reduce upfront cost for qualifying households.
Colorado also offers state-level energy incentives and tax benefits that may apply to qualifying mini split installations.
Typical state incentives range from $1,000 to $2,000, depending on system efficiency and program guidelines.
Program availability and requirements may change annually, so homeowners should verify eligibility during the planning phase.
What This Means for You
If you’re installing a mini split system, you may qualify for several thousand dollars in combined incentives — particularly if transitioning from older electric heating. Income-qualified households may see even greater savings.
Boiler Rebates
Rebates for traditional gas boilers are more limited in 2026 compared to electrification upgrades. Some natural gas utilities may still offer modest incentives for high-efficiency boiler installations. However, most statewide programs now prioritize electric heating systems.
What This Means for You
If you are replacing a boiler, limited utility rebates may be available depending on your provider. Homeowners exploring electric alternatives may qualify for significantly larger incentive opportunities.
Not Sure What You Qualify For?
Rebate eligibility depends on your utility provider, equipment selection, income qualifications, and current program funding.
The team at Indoor Air Quality, Inc. will:
Review your home and heating system
Identify all available rebates and incentives
Help you select qualifying equipment
Ensure proper documentation for maximum savings
To learn more about available rebates for energy efficient heating and cooling systems, please contact the team at Indoor Air Quality, Inc. in Denver, Colorado today.
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Customer Reviews
“Joe was great. We needed to have the pipes to our bathroom vents replaced due to a condensation issue that the builder did not address. He completed the work in a reasonable amount of time and he charged a very reasonable price. He also replaced a broken part on our furnace. We would definitely use him again.”
RoxAnn Hiam
“Fast and professional. Our furnace stop working early in the morning. Called Indoor Air around 7:30am. Thanks to Pat we had heat again around 9:00am ! Great experience and reasonable price, $20 coupon was applied automatically. Thanks Pat!”
Sergey Matikov
“I have had IAQ service both my furnace and AC over the past 5 years. I been very pleased with their service response time, capabilities to fix issues, and all at a fair price!”
Jay Hoagland
“Highly recommend. Showed up early did great work and a reasonable price.”
Tyler Noble
“Pat and Joe are both great and also have a great electrician that is part of their team. Both Pat and Joe have talked me out of elaborate replacements or upgrades when they weren’t needed. Honest, reliable and priced well!”
Marcus Hass
“Pat was timely, readily diagnosed our problem and repaired it the same day. In addition, we were given options for the repairs including prices. We have always had very positive interactions with IAQ over a number of years and only use their services.”
Bill Mueller
“Joe serviced my Rinnai Tankless Water Heater. The unit was turning itself off after a few minutes – this supposed to be continuous and was for a few years after originally being installed. The problem was the altitude switch was never set properly – the result of the improper setting was the burn was incomplete causing, over time, deposits of soot making things all the worse. A straightforward cleaning of the heat passages was not enough. With effort and expertise, Joe cleaned up ALL the impacted components. Fantastic! It works like it is supposed to again and I am confident it will continue to do so. Thank You Joe and IAQ. The charge for servicing was more than reasonable. I highly recommend these folks.”
Paul Flotten
“Pat was quick and professional with getting my boiler’s zone valve replaced. His price was very fair and reasonable (over half the price of the original quote I got) and he took the time to educate me on my system. He also changed out a part that I had on hand that I wasn’t sure how to change. Great price and great service.”
Izzy M.
“Highly recommend Pat. He fixed our problem and did not try to over sell us. He even took care of a warranty issue we had. We will definitely use Pat again.”
MJ Borg
“Indoor Air Quality has come out to fix our AC twice and they’ve been timely, honest, affordable, and easy to communicate with.”
Ty Hyten
“You won’t find a more honest heating and plumbing company. Skip the big name companies out there that overcharge and take advantage of the customer who doesn’t understand their heating and plumbing components (which is most of us) and get truthful and experienced care!”
Amy Graff
“Joe was on time and got the job done with little fanfare. The part that was broken was under warranty (his discovery), which saved me some money. A good experience.”
Jill V.
“Joe saved the day. We had another HVAC company install our new A/C unit only it didn’t work. After months of not getting help from the original installers I decided to call IAQ over the weekend and they returned my call first thing Monday morning. They stopped by that same day and found multiple problems with the ‘new’ A/C unit to include shorts, low refrigerant and TXV over feeding beyond manufacturer specs. The system is now up and running and a great price point for all those repairs!”
Michael Cortes
“IAQ has been to our home on several occasions and they are always prompt, efficient, professional and competitively priced. They are fantastic!”
Nikki P.
“Pat came out today, and I was very impressed by his service. He showed up when he was supposed to (that’s rare these days), and then he gave us an honest opinion that service was not actually needed and didn’t even charge a trip fee. He was very friendly also. I will definitely hire Indoor Air Quality to service my A/C or boiler system in the future.”
Ryan Patterson
“A close friend was having trouble with his furnace running on somethimes putting out cold air. He had several HVAC companies come by. None of them could figure out the problem much less fix it. One even told our friend he needed a new furnace. We recommended IAQ. Pat Comeford went by and knew right away that the malfunction came from a pressure switch designed for low altitude. He was pleasant, professional and had the furnace working correctly in no time. We’ve used IAQ at our home too for installation of a split system and service on it. Every experience has been a good one and well deserving of a 5-Star rating.”
Charles, Denver, CO
“I have had the pleasure of working with IAQ for several years now, I would highly recommend IAQ for all your heating and air-conditioning needs. My heater in my house died a couple of years ago and I called several companies and they were all more concerned about the charges and fees, but not IAQ, Joe helped me trouble shoot (for free) over the phone and fixed my heat during a snow storm! Then they fixed my heater blower about a year ago (cheap and quickly) My heater blower just recently went out again and they fixed it for free under warranty. It is so rare to find heater/air conditioning “dudes” that you can trust these days! #IAQrocks”
Alora, Denver, CO
“As a quality-focused General Contractor, Bella Basements, we know that, “we are only as good as our subs”. We strive to find the best, and when we found IAQ, we found what we were looking for. They are always polite to our customers, and very solution-oriented, which allows us to feel confident that what we are providing to our customers, is only the best! Thanks Joe and Pat!”
Peg, Denver, CO
“We used IAQ for several years and I can’t say enough good things. They’ve replaced our air conditioner, installed a humidifier and serviced our furnace every winter. Joe always go above and beyond, customer service like that is hard to find these days.”
Angela, Denver, CO
“Pat at IAQ was able to diagnose and fix an ongoing problem for a disabled friend of mine this morning after several other companies had failed despite hefty fees. Pat is honest, competent, and fair. We have also used IAQ for an AC split system in our home. I recommend IAQ … all five stars!!”
Paul, Denver, CO
“My heater went down as it did same time last year, Most heater/air conditioning dudes, would have just charged a fortune, Pat and Joe from INDOOR AIR QUALITY said it was under warranty and they fixed it for free! It is so rare to find heater/air conditioning dudes that you can trust these days!”
Barb, Denver, CO
“We’ve used IAQ for the past several years at our small business. Joe and Pat have always provided great service in a timely manner. I highly recommend IAQ for any of your HVAC service and repair needs.”
Mike, Aurora, CO
“My experience has always been great with IAQ. After having years of problems with a new home build and the original heating system that was installed never working properly after several visits from the original installers , I called IAQ and Pat came out and immediately fixed all the problems I was having.”
Sandra B., Watkins, CO
“Ever since my first call into IAQ, Pat and Joe have been helpful, professional, and friendly. They have provided installation, service, and assistance in a very timely manner. I refer them to any and all of my friends who need new equipment or service on existing equipment. They are wonderful and I’m so glad that I found them. Thank you, guys.”
Hope C., Englewood, CO
“Always excellent service, impressive expertise, and courteous. Highest recommendation possible.”
Davol T., Denver, CO
“Joe did a fabulous job. Will continue to use your company. And have referred you to others as well. Thanks for taking care of me.”
Lynette L., Englewood, CO
“IAQ has been doing furnace and ac work for me and the agents I work with for over 14 years. Never a job too big or too small. Always pleasant and efficient. I never worry when they do the work.”
Debbie F., Aurora, CO
“The quality of service is outstanding. The honesty and customer care is truly valued. Keep doing what you are doing.”
Barbara Hill, Aurora, CO
“In the past we have had our furnace inspected by Pat to assure we were ok for the coming winter.I called Pat to inspect our Furnace on Thursday and he was here Friday morning. This is the best response from a service company that I ever had. After Pat finished the inspection he explains what he checked on the furnace and what the condition of the furnace is for the coming winter. Thanks Pat. “
John W., Littleton, CO
“Every moment of working with IAQ was great! They were up front and honest from the beginning,very professional and worked fast to ensure my needs were met before the cold weather! IAQ was by far the best quote that we got to install a new furnace and couldn’t imagine any better service. I look forward to working with them in the future and I know if I ever need them they will be there right away!”
Ali B., Littleton, CO
“Great service and communication! On time for appointment, detailed in review of the system – was straight forward about what was causing the issue and saved me money!”
Jean T., Highlands Ranch, CO
“Quote process was professional, on time, and complete and direct answers to questions. Installation was as discussed and completed by Joe and Pat. There were no issues and everything is working as expected. Rebate process was handled by IAQ, which was nice.”
Brad M., Golden, CO
“IAQ came on the same day I called, quickly diagnosed the problem, had the repair on the truck and did not try to upsell me on a bunch of items or start off with…”Well, you might just want to replace your furnace.” The repair was ~$300 with the part being 80% of the cost.”
Mark I., Highlands Ranch, CO
“IAQ was quick to come to our home and fix our heating problem! A truly professional team that responds to their customers needs and concerns. I strongly recommend them to any of my clients."
Adam, Denver, CO
“Pat and Joe were available, professional and kept good humor during challenges. Also, they followed through on estimates of what we discussed. Thank you.”
Sharon M., Denver, CO
“I have had IAQ to my home on two occasions. Both times it was well below zero outside and in the 40’s in our home. Pat was the technician on both occasions, he was very prompt, courteous and I knowledgeable. I now know more about two stage furnaces than i ever wanted to know. It is hard enough to find an honest HVAC contractor, we now have a furnace guy we can trust and will use them in the future. Thanks Pat.”
Matt S., Littleton, CO
“Great! Pat came in and fixed us up real quick, he was nice, polite and you could tell he knew his stuff. I will be using you again in the future.”
Collette H., Highlands Ranch, CO
“We’ve used IAQ for several years and I can’t say enough good things about them. I completely trust them with all our heating and cooling needs and they go above and beyond. Joe has amazing customer service and it seems like today that’s a rare thing to find.”
Angela P., Broomfield, CO
“IAQ is always a pleasure to work with! They arrive as scheduled and complete work in a timely manner. Fees are fair and reasonable.”
Denise K., Aurora, CO
“IAQ was great! I had another company look at the air conditioner first and they told me the unit was a total loss and did a hard sell to spend $4,000 to replace it. I called IAQ for a second opinion on price, they showed up on time, figured out the part that was broken and fixed the unit in about 20 minutes at a fraction of the cost. I couldn’t have been happier!”
Scott V., Highlands Ranch, CO
“Great company! Love that Joe or Pat(owners) come to your house to do the service. You don’t find that much anymore with companies. They do a great job. Have recommended IAQ to my friends!"
Meg K., Centennial, CO
“We are extremely pleased with IAQ. Both Pat and Joe are very knowledgeable, competent and reasonable. When I had a problem with one of our compressors, a competitor said it needed replacement…IAQ replaced a leaky seal and recharged the unit for a nominal charge. Additionally IAQ is very responsive and service oriented. Latest problem was furnace stopped working in frigid temps…I called IAQ in midst of Bronco game…Pat called back in 15 minutes and scheduled repair visit following morning. We will continue to use IAQ for all our HVAC needs.”
John W., Denver, CO
“Awesome. Joe is friendly, knowledgeable and very customer-oriented. He took my original phone call on his cell, arrived at our house early, which is generally unheard of, and came back the next week to replace a part without any hassles. Great experience.”
Hi H., Denver, CO
“IAQ did a great job.”
Darin I., Denver, CO
“Pat and Joe arrived on time, completed the addition of two returrn air ducts in a timely manner and cleaned up after themselves before they left.”
Steve L., Parker, CO
“We have been a regular client of IAQ (Pat) for the last couple years…he always does a great, thorough job at a competitive cost.. and we can count on him to be here when he says he will be here…pretty rare these days.”
Dennis M., Castle Pines, CO
“I have used IAQ for many HVAC projects – big and small. I won’t use any other HVAC service provider. They are honest, professional, and know what they are doing. You can trust them 100%. They stand by their work and make sure that everything is done to high standards. And it doesn’t hurt that they are really nice people!”
Leslie M., Denver, CO
“The furnace appointment was kept “on time” even though we live on the other side of town. The work was performed completely and to my satisfaction, as always. I have complete confidence in Pat’s knowledge and ability.”
William D., Golden / Genesee, CO
“I never thought I’d write a review raving about furnace service, but I am taking the time to do it this time. IAQ accommodated my short schedule, arrived right on time, and completed service quickly and efficiently. I encountered nothing but professionalism from my first phone call to the completion of service. The price was also reasonable. I am very pleased with the value I received from IAQ and will use them again.“
Jeremy S., Aurora, CO
“I have been a customer of IAQ for 5 years. I have been extremely impressed with the knowledge, professionalism, honesty, and fairness of the company in all they have done for our home. As our home has been aging, IAQ has helped us to upgrade to new energy efficient air conditioners, water heaters, and furnaces. In addition, they have sealed our interior duct system to prevent leaks. All of that has reduced our heating, cooling, and hot water costs.”
Gary W., Littleton, CO
"I have owned four homes throughout my life, and have many experiences with companies that I have hired for this type of knowledge and repair. I will never hire any other company than IAQ………period.”
Gary W., Littleton, CO
"It has become increasingly hard to find a company that takes pride in what they do and will actually follow up to make sure that the problem(s) are fixed right. There are too many companies out there that will do a band aid fix, and charge you for it. When the problem occurs again, they are more than willing to come out and charge you for a second time."
Gary W., Littleton, CO
“We became acquainted with IAQ through the Garden and Home Show in Denver. We knew we needed a new furnace and listened to Pat’s presentation. He impressed us with his knowledge and we scheduled an appointment. He did a thorough walk through in our home and also suggested a test to spot air leaks. We had a procedure done to seal from the inside all the ducts.
We purchased a Rheem high efficiency furnace and air conditioner plus a Rinnai tankless hot water heater. We have been completely satisfied with all the work IAQ performed. Pat and Joe are well trained, professional. clean and neat in their appearances and their work. We would highly recommend this company and would be happy to talk to any prospective clients.”
Barbara Cox, Highlands Ranch, CO
“The service technicians and installers did an absolutely great job!”
Craig B., Englewood
“We will always use IAQ for our personal home and investment homes”
Kirk G., Aurora, CO
“IAQ demonstrated honesty and integrity”
Alisa H., Northglenn, CO
“You guys did a great job”
Patrick R., Littleton, CO
“My house has never been this comfortable before”
Debra W., Denver, CO
“We felt very confident in our choice of using IAQ. The team was very knowledgeable in getting us equipped with a/c that suited OUR needs!”