Rebates, Tax Credits, and Energy Savings for Boilers in 2025

Why 2025 Is the Best Year Yet to Upgrade

If your home’s boiler is more than 15 years old, there’s never been a better time to replace it.
Between federal tax credits, new state-level rebates, and improved fuel efficiency standards, homeowners upgrading to high-efficiency boilers in 2025 can save thousands — not just over time, but right up front.

The Energy Efficient Home Improvement Credit, along with several regional rebate programs, makes modern Weil-McLain Hot Water Boilers one of the smartest home investments you can make this year.

Let’s break down what’s available, how to qualify, and how much you can expect to save.

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1. The Federal Energy Efficient Home Improvement Credit (25C)

What It Is

This program, renewed and expanded under the Inflation Reduction Act, offers a 30% federal tax credit on qualified home energy upgrades — including high-efficiency boilers.

How Much You Can Claim

You can claim up to $600 for qualified natural gas boilers that meet the ENERGY STAR® criteria.
These typically include boilers with AFUE ratings of 95% or higher, such as Weil-McLain’s ECO Tec and GV90+ condensing models (→ U.S. Department of Energy).

What Qualifies

To be eligible, the boiler must:

• Be installed in your primary residence (not a rental or new construction)

• Meet or exceed 95% AFUE efficiency

• Use natural gas or propane as its fuel source

Homeowners can claim this credit annually through 2032, making it ideal for long-term planning.

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2. ENERGY STAR® Rebate Programs

In addition to the federal credit, most states and utilities participate in the ENERGY STAR® Rebate Finder program.
These rebates typically offer $150–$1,200 back, depending on boiler type, fuel, and region.

Examples for 2025:

• Northeast (NY, MA, CT): Up to $800 rebate for ENERGY STAR gas boilers

• Midwest (IL, OH, MI): $400–$600 rebates through utility companies

• Pacific Northwest (WA, OR): $200–$1,000 for condensing units installed by certified contractors

Rebates can often be combined with the federal tax credit, stacking your total savings to $1,500 or more (→ Energy Star).

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3. State and Local Energy Rebates

Each state runs its own programs through public utilities or energy commissions.

Examples in 2025:

• California: Up to $1,500 through the TECH Clean California initiative for replacing old gas systems with high-efficiency condensing boilers.

• New York: NYSERDA’s Clean Heating and Cooling Program offers $1,000–$2,500 for qualifying systems.

• Massachusetts: Mass Save rebates include $2,000 for ENERGY STAR-rated boilers with 95%+ AFUE.

• Minnesota: Xcel Energy provides $600 per qualifying gas boiler.

To find programs in your area, visit your state energy office or local utility website and search “2025 boiler rebate” (→ Database of State Incentives for Renewables & Efficiency (DSIRE)).

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4. Utility Bill Savings from Efficiency Gains

Aside from upfront rebates, upgrading a 70% AFUE boiler to a 95% model saves substantial energy every heating season.

That’s $310 saved per year, or roughly $6,000 over 20 years — even before rebates.

Add a programmable thermostat and regular maintenance, and your savings can rise another 10–15%.

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5. Qualifying Weil-McLain Models

Weil-McLain offers several ENERGY STAR-certified boilers that meet federal and state efficiency standards.

For homeowners with older radiator systems, the GV90+ offers a hybrid approach — cast iron durability with condensing efficiency.

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6. Stacking Your Incentives

The great news: most of these programs can be combined.

Here’s a realistic example of how the math works for a new high-efficiency install:

That means if your installation cost is $8,500, your true first-year cost drops to about $5,700, plus you save hundreds every winter.

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7. How to Claim Your Boiler Tax Credit

Step 1: Confirm the model’s eligibility through ENERGY STAR or your installer.
Step 2: Save your purchase invoice and installation documentation.
Step 3: File IRS Form 5695 (Residential Energy Credits) with your 2025 tax return.

Your contractor may also provide a Manufacturer’s Certification Statement, verifying the boiler’s qualification.

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8. What About Oil Boilers?

While natural gas models qualify for the $600 credit, oil-fired systems must meet new ENERGY STAR 2025 criteria (≥90% AFUE and compatible with biodiesel blends).

Some Burnham and Energy Kinetics models qualify, but rebates tend to favor gas or propane due to lower emissions.

If you’re considering switching fuels, rebates may also apply to gas-line installation or venting upgrades, further reducing your overall cost.

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9. The Environmental Case for High Efficiency

Beyond savings, upgrading to a 95%+ AFUE boiler significantly reduces your home’s carbon footprint.

A typical household using 800 therms of gas annually emits about 9,400 pounds of CO₂. Improving efficiency by 20% cuts that to roughly 7,500 pounds, equal to planting 40 trees per year (→ UNFCCC).

For eco-conscious homeowners, that’s a measurable impact — and it lasts for decades.

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10. Financing Options and Bonus Incentives

In addition to rebates and credits, many utilities offer low-interest financing for high-efficiency systems.

Examples include:

• Mass Save HEAT Loan: 0% interest, up to $25,000 for qualifying installs

• NY Clean Heat Financing: Up to 10-year loans for energy improvements

• Utility On-Bill Repayment: Add the upgrade cost directly to your energy bill in small monthly amounts

Combined with incentives, financing makes upgrades affordable with immediate energy savings offsetting payments.

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11. Common Questions

Q: Do I need to replace my entire system to qualify?
A: No. You only need to upgrade your boiler. Connecting it to your existing radiators or baseboards is fine.

Q: Can landlords claim the credit?
A: Only for owner-occupied primary residences. Rental properties are excluded.

Q: Does the rebate come as cash or a tax deduction?
A: The tax credit reduces your federal income tax bill; state and utility rebates usually come as checks or prepaid cards.

Q: How long do I have to claim the rebate?
A: Most programs require installation within the calendar year, but federal credits can carry forward to the next tax year.

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12. How to Find Local Rebates Quickly

Visit the ENERGY STAR Rebate Finder. Enter your ZIP code and product type (“boiler”) to see every available 2025 incentive in your area.

Or check DSIRE, the most complete rebate database in the U.S., updated regularly with federal, state, and local programs.

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13. The ROI of Energy Efficiency

Here’s the bottom line — upgrading isn’t just an expense; it’s a return on investment.

Over 20 years, an ENERGY STAR boiler can:

• Save $6,000–$8,000 in fuel costs

• Reduce emissions by 20–25%

• Increase home resale value by 3–5%

• Qualify for ongoing maintenance discounts through energy co-ops

Combined with today’s incentives, that’s a faster payback than almost any other home improvement project.

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14. Samantha’s Takeaway — A Win for Your Wallet and the Planet

Energy efficiency isn’t just about numbers — it’s about comfort that pays you back.
Upgrading to a modern system means lower bills, fewer repairs, and the quiet confidence that you’re making a smart, sustainable choice.

The best part? You don’t have to be an expert to benefit. Your installer can confirm eligibility, submit rebate paperwork, and ensure your system meets all the right efficiency standards.

So if your boiler’s nearing retirement, let 2025 be the year you finally invest in cleaner, smarter comfort. Whether you’re comparing Weil-McLain vs. Burnham vs. Navien, the right high-efficiency upgrade isn’t just good for your home — it’s good for your future.