How are you estimating heat-pump water-heater costs if the federal credit ends?

The timing looks important for anyone pricing a new build or major remodel. Current IRS guidance says the Energy Efficient Home Improvement Credit isn’t available for qualifying property placed in service after December 31, 2025. At the same time, the IRS’s general information still describes water heaters as potentially eligible improvements, so I’m not sure how builders are handling estimates when the installation date could determine eligibility.

For a heat-pump water heater quote, would you show separate scenarios for:

- Federal credit eligibility based on the expected placed-in-service date
- Utility or state rebates, if available
- Required electrical, plumbing, ventilation, or condensate work
- Expected operating-cost savings compared with a conventional electric water heater

I’d rather not subtract a federal incentive from the project price unless the installation schedule and all qualification requirements are clear. Are builders treating the credit as zero for projects that might slip into 2026, or showing it as a conditional allowance? It’d also be useful to know how much documentation you’re keeping, especially the equipment certification, installation date, and rebate paperwork.

Sources for the current development:
Home energy tax credits | Internal Revenue Service
FS-2025-05: FAQs for modification of sections 25C, 25D, 25E, 30C, 30D, 45L, 45W, AND 179D under Public Law 119-21, 139 Stat. 72 (July 4, 2025), commonly known as the One, Big, Beautiful Bill Act (OBBB).