2026 Mass Save Heat Pump Rebate Changes Explained

As a homeowner in Milton, MA, staying ahead of the curve on energy efficiency upgrades can lead to significant savings. SumZero Energy Systems, your local heat pump specialist, is here to guide you through the updated 2026 Mass Save® rebate program. With evolving state and federal regulations, the landscape for heat pump incentives has changed, and understanding these changes is essential—especially if you're planning an HVAC upgrade in the near future. 

Let’s break down what’s new, what’s changed, and how homeowners in Greater Boston—especially in Milton—can make the most of available incentives before they are further reduced.

Why These Changes Matter for Milton, MA Homeowners

Harsh Winters Make Efficiency Essential

Milton homeowners are no strangers to frigid New England winters, where reliable, efficient heating is non-negotiable. Traditional oil or gas systems are increasingly expensive to maintain, and many homes are older, making them energy-leaky. Heat pump systems, particularly cold-climate air-source heat pumps, provide a smart alternative by heating and cooling more efficiently and sustainably.

Mass Save® has long supported Massachusetts’ transition to cleaner, electrified heating systems, but in 2026, that support looks different.

Local Utility Collaboration and Climate Goals

Milton is serviced by Eversource and National Grid—two of the key players behind Mass Save®. These utility providers offer funding for the rebate program, aligning with Massachusetts' aggressive decarbonization goals. However, to keep the program sustainable, rebates are gradually being reduced, and qualifying for them is becoming more stringent.

"In communities like Milton, where homes often have aging furnaces or boilers, upgrading to an air-source heat pump in 2026 not only cuts energy bills but supports Massachusetts' clean energy transition."

What's New in the 2026 Mass Save® Heat Pump Rebates

Decreased Rebate Amounts Across All Tiers

In 2025, homeowners could secure up to $10,000 for installing qualifying heat pump systems. As of 2026, these amounts have dropped across the board:

• Whole-Home: $2,650 per ton, up to $8,500
• Partial-Home: $1,125 per ton, up to $8,500
• Basic: $250 per ton, up to $2,500
• Income-Based Enhanced Incentives: Up to $16,000 or nearly no cost via Turnkey Solutions for eligible households

This $1,500 drop from last year is a clear sign—homeowners should act without delay to take full advantage of available dollars.

Efficiency Standards and Refrigerant Requirements

Merely buying a heat pump isn’t enough. Your system must meet stricter efficiency criteria and use environmentally preferred refrigerants. The 2026 rebates require:

• Certified ENERGY STAR® cold-climate heat pump systems
• Use of approved low-GWP refrigerants (R-32 or CO₂-based), as R-410A systems are no longer eligible

This ensures long-term environmental benefits but limits some previously qualifying systems.

"In 2026, if your system uses the outdated R-410A refrigerant, you won’t qualify for Mass Save® rebates—Milton residents need to double-check system specifications with a certified installer."

Understanding Each Rebate Option for Milton Homeowners

Whole-Home Rebate

If you're replacing your entire home’s heating and cooling with heat pumps—removing or disabling your fossil-fuel system entirely—you may qualify for the Whole-Home rebate.

• $2,650 per ton, up to $8,500
• Must meet heating load requirements for your entire home
• Requires removal/disconnection of any backup system

This is ideal for full electrification, especially for those converting from oil or gas heating in older Milton homes.

Partial-Home Rebate

The Partial-Home rebate is for hybrid systems where fossil fuel heating remains as a backup or works in tandem with the heat pump system.

• $1,125 per ton, up to $8,500
• Must meet some, but not all, of your heating loads
• Less incentive, but more flexibility

Great for homeowners experimenting with electrification or for homes with additions or specific design challenges.

Basic Rebate

If your system doesn’t meet the comprehensive requirements for higher-tier rebates, you're still eligible for the Basic version.

• $250 per ton, up to $2,500
• Minimal qualification requirements
• For smaller systems or less extensive retrofits

Although it offers lower financial support, it opens the door for more modest updates.

Income-Based Enhanced Incentives

For income-qualified households, a special Turnkey Decarbonization Program offers enhanced incentives.

• Up to $16,000 in rebates
• May cover the entire cost at no out-of-pocket expense
• Includes energy audits and weatherization

This is particularly helpful for Milton residents in older homes who may struggle with upfront installation costs.

To check your eligibility, visit the official Mass Save® site:

Mass Save — Heat Pump Rebates

Important Changes in 2026: What Milton Homeowners Need to Know

No More Federal Tax Credits for Heat Pumps

As of 2026, federal tax incentives for heat pump installations have expired. This means:

• No ITC (Investment Tax Credit)
• All financial support must come from state-level programs like Mass Save®

The absence of these credits makes the shrinking Mass Save® rebates even more significant.

"With federal tax credits off the table, Milton homeowners can still save thousands through Mass Save®—but only if they act quickly before more cuts take effect."

Timing Is Crucial: Rebates Will Continue to Decrease

Each year the program has seen reductions. 2025 offered a maximum of $10,000. In 2026, it dropped to $8,500.

If the trend continues:

• 2027 will likely see even lower incentives
• Projects initiated in 2026 may still qualify for current amounts if submitted early enough

Delaying could mean missing out on significant funds.

Maximizing Savings: Winter Utility Rate Programs

Reduced Rates from Local Utilities

Eversource and National Grid both offer discounted electricity rates during winter to promote heat pump adoption. These programs:

• Lower your heating costs during peak cold months
• Reward efficient electricity use
• Stack onto Mass Save® incentives for greater total savings

These rates are particularly advantageous for all-electric homes using Whole-Home heat pump systems.

Bundling Rebates with Home Energy Assessments

Before installing a heat pump, Mass Save® encourages homeowners to complete an energy audit. This can unlock:

• Access to weatherization rebates
• Recommendations for insulation upgrades
• Custom heat load calculations for maximum rebate value

Milton homes, especially historic or early-mid-century construction, often require added insulation and air sealing to benefit fully from electrification.

Why Heat Pumps Still Make Sense in 2026

Despite lower rebates and no federal tax credit, heat pumps remain one of the most valuable upgrades in Massachusetts’ electrification journey.

Efficiency and Savings Year-Round

Milton experiences both cold winters and increasingly warm summers. Dual-function heat pumps provide:

• Efficient electric heating down to -5°F or colder
• Quiet, even cooling in the summer
• Lower operational costs compared to oil or propane

Over time, these systems typically pay for themselves through utility savings.

Aligning With Massachusetts Climate Legislation

Massachusetts is pushing hard for electrification, and homeowners who participate now will be ahead of future mandates or fossil fuel restrictions. The state’s Clean Energy and Climate Plan calls for:

• Net-zero greenhouse gas emissions by 2050
• Shift away from natural gas and heating oil
• Electrification of at least 1 million homes by 2030

Joining the movement today ensures compliance, improved property values, and immediate energy efficiency.

Final Thoughts for Milton Residents

If you're a homeowner in Milton, MA—as in much of Massachusetts—the clock is ticking on substantial heat pump rebates. The 2026 changes to the Mass Save® program mean fewer dollars on the table, more documentation, and stricter standards. Yet despite this, the benefits of switching to cold-climate heat pumps remain clear:

• Increased comfort year-round
• Reduced dependence on fossil fuels
• Long-term energy cost savings
• Eligibility for local utility incentives and reduced rates

Don’t wait until the next reduction cycle makes these systems harder to afford. The sooner you act, the more you save. Keep your family warm, your utility bills low, and your energy choices clean and modern.