DOE’s Energy Star Program To Sell Upgrades

A recent offering from the Energy Star program can help homeowners and remodelers leverage increased federal incentives. Under the Inflation Reduction Act, homeowners can receive a tax credit of up to $3,200 to lower the cost of energy-efficient home upgrades by up to 30%.

The Energy Star Home Upgrade is a set of six electrical efficiency improvements designed to deliver significant homeowner savings. This presents a great opportunity for remodelers to provide sizable energy and cost savings for customers. The six improvement areas are:

1. Clean heating and cooling. A certified heat pump can qualify homeowners for a tax credit of 30% of the project cost up to $2,000.

2. Heat pump water heater. Water heaters use about 20% of a home’s energy, and a certified heat pump water heater uses 70% less energy than a standard model.

3. Smart thermostat. These are an inexpensive way to help consumers save money on utility bills.

4. Well-insulated and sealed attic. Sealing air leaks and adding insulation can help homeowners save up to 10% on their annual energy bills.

5. High performance windows. Certified windows lower household energy bills and reduce UV sun damage to floors, carpets, and furniture.

6. Electric-ready wiring and panel improvements. Electric-ready means getting the wiring in a home ready for the new demands that come from electric heat pumps, water heating, cooking, and EV chargers.