Rebates and financing for a furnace or boiler replacement
A new gas, oil or propane unit gets no Mass Save rebate. A heat pump gets up to $8,500 in 2026. Here is every program, who qualifies, and the dates.
- Last checked: November 8, 2026
- Programs: Mass Save, HEAT Loan, HEAP
Last checked November 8, 2026
At a glance
The short version. Replace like for like and you pay full price unless your household is income-eligible. Replace with a heat pump and Mass Save pays by the ton. Fuel assistance and emergency repair help are separate programs with their own applications.
Every program on one page
| Program | Who | What it pays | New furnace or boiler? |
|---|---|---|---|
| Mass Save heat pump rebate | Mass Save electric or gas account holders, qualifying installer | $2,650/ton to $8,500 whole-home; $1,125/ton to $8,500 partial-home (2026) | No. It replaces them. |
| Mass Save gas, oil, propane rebate | Income-eligible households only | Rebates and incentives for high-efficiency replacement. Amounts are not published on the page. | Yes, income-eligible only |
| Mass Save Income Eligible Program | Homeowners and renters, 1 to 4 unit homes, income table below | No-cost insulation and air sealing, and new appliances including heating systems | Yes, heating systems are listed |
| Mass Save enhanced incentives | Income between the two columns of the table below | Whole-home heat pump up to $16,000, up to no cost through turnkey services | No. Heat pump only. |
| HEAT Loan | Homeowners with a Mass Save electric or gas account | 0% financing up to $25,000 | Not a listed measure |
| HEAP (fuel assistance) | Income at or under 60% of state median, owners and renters | A share of heating bills, November 1 to April 30 | Pays fuel, not equipment |
| HEARTWAP | HEAP-eligible households, mostly homeowners | Emergency repair or replacement of a defective or unsafe heating system | Yes, if yours is unsafe or dead |
| Federal 25C credit | Improvements made through Dec 31, 2025 | Nothing for a 2026 install | No |
Sources: Mass Save, Boilers & Furnaces; Mass Save, Air Source Heat Pumps; Mass Save, income-based offers; HEAT Loan; HEAP; HEARTWAP; IRS. Read November 6, 2026.
What changed, and why a like-for-like swap gets nothing
Mass Save's Boilers & Furnaces page says: "rebates, incentives, and financing for equipment powered by natural gas, oil and propane are no longer available. The only exception is for income-eligible households." The Mass Save notice explains the rule: after December 31, 2024, the Sponsors may pay for efficient fossil-fuel equipment only under the circumstances laid out in the 2021 Climate Law, including for low-income households.
If you are replacing a gas furnace, an oil boiler or a propane unit with another one, plan on paying the full quote. A heat pump is where the rebate money went. The comparison guide prices both paths.
The heat pump rebate, 2026 against 2027
| Type | Installed in 2026 | Installed from Jan 1, 2027 |
|---|---|---|
| Whole-homereplaces your oil, propane or gas heating | $2,650 per ton, up to $8,500 | $2,350 per ton, up to $7,500 |
| Partial-homekeeps your boiler or furnace | $1,125 per ton, up to $8,500 | $1,000 per ton, up to $7,500 |
| Basicno fossil or resistance heat replaced | $250 per ton, up to $2,500 | Not published |
Mass Save, Air Source Heat Pumps, read November 6, 2026. Tons are AHRI cooling capacity divided by 12,000 BTU. Mass Save's own example: a $22,000 average whole-home install (2022 program data), $8,500 rebate, $13,500 net. Full detail and a calculator: Mass Save heat pump rebates by town, rebate by system size.
- 1NowGet quotesTwo or three installers in the Mass Save network. Ask for the heating-load calculation.
- 2By Dec 31, 2026Install finishedInstall date sets the rate: $2,650 per ton.
- 3Jan 1, 2027New rateInstalls on or after this date: $2,350 per ton.
- 4By Feb 28, 2027Form inRebate form and documents must reach Mass Save for 2026 installs.
- 5About 8 weeksProcessingMass Save asks you to allow eight weeks. Random inspections can add time.
A project that is still open on December 31 falls under the 2027 rate. See the December 31 deadline guide for what to ask your installer.
The HEAT Loan: 0% up to $25,000
Mass Save: "Through the Mass Save HEAT Loan Program, you may be eligible to receive 0% financing up to $25,000 for qualifying energy-efficiency upgrades." Eligible measures: weatherization; pre-weatherization barriers; ENERGY STAR certified replacement windows (in conjunction with completed weatherization recommendations); residential batteries enrolled in ConnectedSolutions; heat pump projects; heat pump water heaters. A new gas or oil furnace or boiler is not on the list.
- You must own the home and have a current residential electric or gas account with Berkshire Gas, Cape Light Compact, Eversource, Liberty Utilities, National Grid or Unitil.
- Light plant towns. Mass Save says municipal electric customers can use the HEAT Loan if their home is heated with natural gas provided by a Mass Save Sponsor.
- A Home Energy Assessment is mandatory for a whole-home heat pump, a partial-home heat pump pursuing bonus incentives, windows and weatherization.
- The lender decides. Financing depends on approval from a participating lender, and the lender sends a two-party check made out to you and your contractor. The page does not state a loan term, so ask the lender.
- The $25,000 is a lifetime cap over a customer's energy-efficiency upgrades.
Income-eligible: no-cost heating help
Mass Save's Income Eligible Program says eligible homeowners and renters receive no-cost insulation and air sealing, plus new home appliances, including heating systems. The enhanced incentives cover air source heat pumps up to no cost for homes heated with electricity, oil or propane, and up to 100% of a needed electrical panel upgrade. All turnkey offers are subject to cost-effectiveness screening and other restrictions may apply. Residents must live in a 1- to 4-unit home. For help qualifying by phone, call Mass Save at 1-888-714-3990.
| Household size | Income Eligible Program: up to | Enhanced incentive: income range |
|---|---|---|
| 1 person | $53,585 | $53,586 to $71,447 |
| 2 people | $70,073 | $70,074 to $93,431 |
| 3 people | $86,561 | $86,562 to $115,415 |
| 4 people | $103,049 | $103,050 to $137,399 |
| 5 people | $119,536 | $119,537 to $159,382 |
| 6 people | $136,024 | $136,025 to $181,366 |
| 7 people | $139,116 | $139,117 to $185,488 |
| 8 people | $142,207 | $142,208 to $189,610 |
Mass Save, 2026-2027 heating season income table, read November 6, 2026 (source). The page also lists larger households. Enhanced heat pump rebate: up to $16,000 for installs completed by December 31, 2026, forms by February 28, 2027 (source). Details: income-eligible and the HEAT Loan.
Fuel assistance and emergency repair
- HEAP pays part of the heating bill for the season. Income must not exceed 60% of the state median (1 person: $53,585, 4 people: $103,049). Homeowners and renters can apply, including renters whose heat is in the rent. The online application opened October 1 and covers November 1 to April 30. Apply online at toapply.org/MassLIHEAP, in person at the HEAP agency for your area or by mail. Households must apply each year. Cold Relief Heatline: (800) 632-8175. Mass.gov
- HEARTWAP is the emergency repair and replacement program for HEAP-eligible households, designed mainly for homeowners. The HEAP application is the same application. A homeowner with a no-heat or unsafe system calls the local agency, which uses licensed heating technicians. Expenditure limits apply by activity and a co-payment may be required. Mass.gov
- Energy emergency, October 2026. Executive Order 659 directs a one-time emergency benefit for middle-income households earning between 60% and 100% of state median income that rely on oil for heat. The order page gives no application steps, so ask your local HEAP agency. Order text
Light plant and municipal gas towns
Mass Save says "Your municipal utility is not part of the Mass Save program. Please contact them directly for energy efficiency program information." DOER adds that households served by a municipal light plant may be eligible for similar benefits through their MLP, NextZero or Energy New England. Belmont, Reading, Wakefield, Peabody, Danvers and other towns run their own heat pump rebates. Start with the light plant town guide and your town's page in the 23 town rebate guides.
The federal tax credit is over
The IRS says you can claim the Energy Efficient Home Improvement Credit for improvements made through December 31, 2025. Nothing on the IRS page gives a credit for equipment placed in service in 2026, for a heat pump, furnace or boiler.
Paperwork a heat pump rebate needs
- An itemized invoiceFrom an installer in the Mass Save Heat Pump Installer Network, with installer name and address, outdoor and indoor model numbers, installation date and address, and total install cost for each system.
- Proof of paymentThe invoice must show it. Keep your own copy.
- A nameplate photo with the serial numberRequired on all heat pump rebate applications from October 1, 2026, for each outdoor unit.
- The AHRI certified reference numberIt is a field on the rebate form.
- The Manual J load calculationRequired for the partial-home sizing bonus. See sizing and the quote checklist.
Mass Save rebate form and heat pump page, read November 6, 2026.
Common questions
Does Mass Save pay for a new gas or oil furnace or boiler in 2026?
No, except for income-eligible households. Mass Save says rebates, incentives and financing for equipment powered by natural gas, oil and propane are no longer available, and the only exception is for income-eligible households upgrading existing fossil fuel equipment to high efficiency models.
Why did Mass Save stop the furnace and boiler rebates?
Mass Save says that after December 31, 2024, the Sponsors may only pay rebates and incentives for efficient fossil-fuel equipment under very specific circumstances set out in the 2021 Climate Law, including for low-income households.
Can the HEAT Loan pay for a new furnace or boiler?
Not as a listed measure. The HEAT Loan covers weatherization, pre-weatherization barriers, ENERGY STAR replacement windows (with weatherization), residential batteries enrolled in ConnectedSolutions, heat pump projects and heat pump water heaters. It is 0% financing up to $25,000.
Is there a federal tax credit for a new furnace, boiler or heat pump in 2026?
No. The IRS says you can claim the Energy Efficient Home Improvement Credit for improvements made through December 31, 2025. A system installed in 2026 does not qualify.
I rent or have little income. Is there help if my heat is out?
Households at or under 60% of state median income can apply for HEAP, and the HEARTWAP emergency repair and replacement program uses the same application. Applications opened October 1. Call the Cold Relief Heatline at (800) 632-8175. Tenants can also ask the local board of health to inspect.
What is the 2027 heat pump rebate?
Mass Save says whole-home heat pumps installed on or after January 1, 2027 get $2,350 per ton, capped at $7,500. Partial-home gets $1,000 per ton, capped at $7,500. In 2026 they are $2,650 and $8,500 for whole-home, $1,125 and $8,500 for partial-home.
I live in a town with its own light plant. Do these programs apply?
Mass Save electric rebates do not. Your municipal utility has its own programs. Mass Save says municipal electric customers can use the HEAT Loan if their home is heated with natural gas provided by a Mass Save Sponsor. See the light plant town guide.
Where Aurion takes the project
Aurion takes the project from the written quote to the finished job and helps with the rebate paperwork. Mass Save sets the amounts and decides eligibility. Licensed Massachusetts technicians do the licensed work. Call (781) 210-8400 or send two photos and your town.
Old boiler or furnace?
Send a photo of it and one of your panel, with your town. We look at them and get back to you with a price.
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