How to Pay for a New AC System in Florida

Reviewed October 2026

Your main options

Rebates first, then a loan

A new central AC or heat pump in Florida typically runs several thousand dollars; our Florida cost page has the ranges. Start by taking your utility's rebate off the price. If your household income qualifies, ask about state energy assistance. Most other homeowners pay over time, through a utility loan where one exists, Florida's PACE program, an FHA Title I loan, a home equity loan, or the contractor's own financing. Each has different costs and strings, covered below.

See all 12 sources for this page.

Want a quote to plan your financing?[TRACKING PHONE NUMBER]Free to call. You choose whether to hire anyone.

Take rebates off the price first

Rebates come from your electric utility and usually need a system rated 15.2 SEER2 or better. As of October 2026: Tampa Electric pays up to $550 for a qualifying heat pump, Duke Energy Florida $300 to $1,000, FPL $200 through its participating contractors, OUC $45 to $1,150, and City of Tallahassee Utilities $100 to $350. Our Florida guide and each city page have the details.
Ask the contractor to quote both a minimum-efficiency system and one that qualifies for the rebate. The rebate can close part of the price gap, and the more efficient system costs less to run.
The federal Energy Efficient Home Improvement Credit is gone. It covered equipment placed in service through December 31, 2025, according to the IRS, so a system installed in 2026 doesn't qualify.
We couldn't confirm a Florida program under the federal Home Energy Rebates (HOMES and HEAR) that homeowners can apply to as of October 2026. Be wary of door-to-door sellers who promise those rebates.

Help for income-qualified households

Florida's Low-Income Home Energy Assistance Program (LIHEAP) lists "repairs or replacements to heating/cooling units" among the uses of its funds, as long as the cost stays within benefit limits and a licensed contractor does the work. The state's policy manual caps crisis help at $5,000 per applicant per program year. Applications go through your local community action agency.
The Weatherization Assistance Program serves households at or below 200% of the federal poverty level, with priority for older residents, people with disabilities, households with young children, and homes with high energy use or energy burden. Its home assessment covers the central heating and cooling unit, so ask your local agency whether AC repair or replacement is part of what it offers.
Some cities run repair programs too. Clearwater's Home Preservation Program, for example, lists AC among its priority repairs. Each of our city pages lists the local programs we found.

Assistance programs open, close, and change with funding. The LIHEAP figures are from the state's 2022 policy manual and the weatherization figures from its 2022 state plan; confirm current rules with your local agency.

Utility loans

City of Tallahassee Utilities offers 5% financing for qualifying AC and heat pump systems, from $500 to $15,000 including fees, for up to 7 years. Payments are billed on your monthly utility bill, and the loan is secured with a lien on the property. All owners on the deed must be on the utility account, the home must be in Leon County, and the system must meet the city's efficiency levels (15.2 SEER2 or better). See our Tallahassee page.
Don't start the work before the loan is approved. Tallahassee says it won't fund equipment installed before the promissory note is signed.
That's the only Florida utility HVAC loan we could confirm. If your utility is a city-owned one, ask whether it offers anything similar.

PACE financing (paid through your property tax bill)

Florida's Property Assessed Clean Energy (PACE) law lists "installing energy-efficient heating, cooling, or ventilation systems" as a qualifying improvement. PACE is offered only where your county or city has joined a program, so ask whether yours has.
You repay it as a non-ad valorem assessment on your property tax bill, not as a monthly loan. The term can't be longer than the useful life of what you finance, and never more than 20 years.
To qualify, you must be current on your mortgage, have property taxes current for the last 3 years, and generally have no bankruptcy in the past 5 years. Total assessments can't exceed 20% of the home's just value without your mortgage holder's written consent, and yearly payments can't exceed 10% of your household income. Projects under $2,500, including fees and interest, can't be financed.
Before you sign, the program must give you a written financing estimate and confirm its terms with you on a recorded phone call. You must tell your mortgage holder in writing at least 5 business days before signing, and you can cancel within 3 business days after signing without penalty.
The program can't pay the contractor in full until it confirms the job is done or the permit is closed. The assessment is recorded in the county's public records, so ask how it would affect selling or refinancing.

Sources: Florida Statutes s. 163.08 and s. 163.081.

FHA Title I property improvement loans

Title I loans are made by private lenders and insured by the federal government. For a single-family home, the maximum is $25,000, for up to 20 years. Loans over $7,500 need a recorded lien on the home.
The loans must go toward improvements that protect or improve the home's basic livability. HUD's Title I handbook names heating systems as eligible but doesn't mention air conditioning, so confirm with the lender that a new AC or heat pump qualifies before you apply.
Only lenders approved by HUD for Title I can make these loans, and they can't pay for work finished before you applied.

Contractor financing, personal loans, and home equity

Many HVAC companies arrange financing through a lender. Read the promotion closely. With deferred interest ("no interest if paid in full"), the CFPB explains, any balance left at the end brings interest charged all the way back to the purchase date. A true 0% APR offer only charges interest on what's left after the promotion ends.
Personal loans are quick and don't use your home as collateral, but rates are usually higher. A home equity loan or line of credit is usually cheaper, but your home secures it.
Watch the deposit. Under Florida law, a contractor who takes more than 10% up front must apply for the permit within 30 days and start work within 90 days after the permit issues, unless you agree in writing to longer (Florida Statutes s. 489.126).
Compare the total cost over the life of the loan, not just the monthly payment, and get at least two quotes for the system itself before you borrow.

Common questions

Can I put a new AC on my property tax bill in Florida?

Yes, through PACE, where your local government offers it. Florida law lists energy-efficient heating, cooling, or ventilation systems as qualifying improvements. You repay through an assessment collected with your property taxes, for no longer than the system's useful life and at most 20 years, and you can cancel within 3 business days of signing (Florida Statutes s. 163.08 and s. 163.081).

Is there a government program to replace my AC in Florida?

For income-qualified households, Florida's Low-Income Home Energy Assistance Program lists repairs or replacements to heating and cooling units among allowable uses, within benefit limits and by a licensed contractor, and the Weatherization Assistance Program serves households at or below 200% of the federal poverty level. Both are run through local agencies, so ask yours what it offers.

What does "no interest if paid in full" mean on AC financing?

It usually means deferred interest. The CFPB explains that if you don't pay off the whole promotional balance in time, interest going back to the purchase date is added. A true 0% APR offer only charges interest on what's left after the promotion ends.

Can I still get the federal tax credit for a new AC in 2026?

No. The Energy Efficient Home Improvement Credit covered equipment placed in service through December 31, 2025, according to the IRS. Utility rebates are still available in much of Florida.

Ready for real numbers? Talk to a Florida HVAC contractor[TRACKING PHONE NUMBER]Free to call. No obligation.

Related Florida guides

Florida AC costs

AC prices by city:

Sources

This page explains financing options in general terms. It is not legal, tax, or financial advice.