1. The Home Performance with ENERGY STAR Program
This federal program is run in collaboration with utility programs across the country, including several in Maryland.
Who?: Homeowners and renters (but you must be a customer of a participating utility company)
Incentive Details: Up to $10,000 in rebates and 0% interest loans
Participating Maryland Utilities:
Home Upgrades Covered:
- Insulation and air sealing
- Hot water heater replacements
- Installing heat pumps
- And more!
2. 30% Federal Tax Credit for Energy Efficiency Upgrades
Federal tax credits are another option for saving money on home upgrades. Tax credits can be claimed when you file your taxes for the year you upgraded your home, and in this case, would lower the amount of federal taxes you owe. The maximum tax credit you claim in any given year is $3,200 ($2,000 max for heat pump/heat pump water heater upgrades and $1,200 combined for all other upgrades).
Who?: Homeowners only (renters are not eligible)
Incentive Details:
- Up to $1,200 in federal tax credits for insulation and air sealing upgrades
- Up to $2,000 for heat pump or heat pump water heater installation
- Up to $600 for high-efficiency furnaces, boilers, and central AC installation
3. Inflation Reduction Act Rebates
Maryland’s state energy office submitted its application in late 2024 for federal funding to launch a new rebate program created by the Inflation Reduction Act of 2022. The Home Electrification and Appliance Rebates (HEAR) program will offer households upfront discounts on home upgrades, including all-electric heating and cooling systems and insulation and air sealing. Maryland will also be applying for a second IRA program, the Home Efficiency Rebates (HOMES), which offers rebates based on the amount of energy the home improvements save.
The state is expected to release more information about these two upcoming incentive programs soon.
4. No-Cost Weatherization Assistance from CAC
The incentives above offer different ways to take advantage of discounts on home improvements. But our weatherization assistance programs can help Maryland families make home upgrades at no cost at all.
Both homeowners AND renters throughout the state can participate. Our weatherization services include:
To qualify, you must meet our income guidelines. But the requirements for weatherization are different from our other assistance programs, so even if you don’t qualify for those, you might still be
To qualify, you must meet our income guidelines. But the requirements for weatherization are different from our other assistance programs, so even if you don’t qualify for those, you might still be eligible for weatherization help. For example, a family of four making $97,800 a year or less could receive no-cost weatherization services from us.
