A geothermal heat pump quoted with a 30% federal credit can run more than $25,000 installed, and the law signed on the Fourth of July that stripped that discount before most homeowners ever got a bid

The appliance that promises to outlast everything else in your mechanical roomA geothermal heat pump, also called a ground-source heat pump, does not burn anything. Underground loops can last up to 25 to 50 years, while the indoor heat pump unit typically lasts 20 or more years. For years, the answer to all of that sticker shock was the same three words: federal tax credit. The Residential Clean Energy Credit, commonly known as the Section 25D credit, offered homeowners a 30% tax credit for geothermal projects. New York, for example, offers a 25% state income tax credit on the total cost of a geothermal system.