Are you overpaying for heat every winter? Replacing your heating unit requires a significant initial investment. If you opt for a high-efficiency furnace, however, you may save in the long term by reducing your energy bills. R&R Heating and Cooling offers heating services, including furnace installation and maintenance, near you in Grand Rapids, Michigan. Here, we share how high-efficiency furnaces can reduce your bills and help you save money this winter.
Quick Facts About High-Efficiency Furnaces
- High-efficiency furnaces convert more fuel into energy, helping you save money.
- A furnace is considered high efficiency in Michigan if it has an annual fuel utilization efficiency (AFUE) over 90%.
- Homeowners who purchase high-efficiency furnace units may be eligible for tax credits and rebates, making the installation more affordable.
- Smart thermostats can increase the benefits gained from a high-efficiency furnace.
What Is a High-Efficiency Furnace?
A high-efficiency furnace is a furnace with an annual fuel utilization efficiency (AFUE) score of 90% or higher. The AFUE score records how much fuel is converted directly into heat. The higher the score, the less fuel is wasted. An AFUE score of 90% means that 90% or more of the fuel you purchase will go directly toward creating heat. High-efficiency systems also often feature sealed combustion, which reduces heat loss through exhaust. This means that more heat is going into your home.
High-efficiency furnaces often cost more than their lower-efficiency counterparts. The difference in your utility bills, however, is worth it. A high-efficiency furnace needs less fuel to create the same amount of heat, helping you spend less on gas or oil. Over time, the money you save on monthly utility bills may exceed what you paid for the furnace.
Tax Credits and Rebates for High-Efficiency Furnaces
A furnace replacement can help you save in other ways as well. Homeowners with high-efficiency furnaces may be eligible for tax credits and rebates. These bonuses are federal incentives to invest in efficient home systems.
If you install an ENERGY STAR certified gas furnace with an AFUE rating above 97%, you can reclaim 30% of the project cost, or up to $600, as a tax credit. You can further increase your savings by combining your furnace installation with other green home improvements. With new insulation, windows, or AC installation, for example, you can earn up to $3,200 in total tax credits.
There are some limitations on what homes and heating systems are eligible for tax credits. If you’re interested in learning more about what you can save, visit the ENERGY STAR website. You can also speak with an R&R Heating and Cooling technician about whether your project applies.
Maximize Your Benefits with a Smart Thermostat
While you are upgrading your home’s efficiency, consider installing a smart thermostat as well. Smart thermostats are Wi-Fi-enabled devices that automatically adjust your heating and cooling to optimize performance. While features vary between devices, many smart thermostats offer:
- Scheduling: Program a custom schedule that keeps your house cozy while you’re at home, but conserves energy when you are asleep or away.
- Geofencing: Pair your thermostat with your phone to detect when you’re coming home and ensure the house is comfortable when you arrive.
- Control: Check and adjust your home’s heating or cooling remotely from your smartphone for peace of mind while at work or running errands.
- Tracking: Track data on your equipment use, daily temperature, and energy consumption for insight on how to improve your home efficiency.
Many modern high-energy furnaces are designed with smart thermostats in mind, allowing for easy integration. By installing both at once, you can also reduce project time and expenses.
Shop High-Efficiency Furnaces Near You in Grand Rapids, MI
If you are ready to reduce your seasonal bills with a high-efficiency furnace, reach out to the experts at R&R Heating and Cooling. We offer comprehensive heating services, including repair, maintenance, and installation, in service areas near you in Grand Rapids, MI. Contact us to speak with a knowledgeable technician about the benefits of high-efficiency furnaces, or to schedule a consultation for your free estimate.
FAQs About High-Efficiency Furnaces
What AFUE rating is considered high efficiency in Michigan?
Furnaces with an AFUE rating of over 90% are considered high efficiency in Michigan.
What AFUE rating is eligible for tax returns?
Gas furnaces with an AFUE rating of over 97% are eligible for tax returns equal to 30% of the installation cost, up to $600.
How much does installing a high-energy furnace cost?
The cost of furnace installation varies depending on the size of your home, the specific unit you purchase, and whether any ductwork or modifications are required. R&R Heating and Cooling offers upfront estimates with competitive pricing. We also provide a variety of financing options to help you pay for your new furnace and installation.
