Energy-efficient upgrades mean rebates, tax credits

By Hawaii Renovation Posted in: ImproveTips

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If you’re planning to make some home improvements this year, you’re probably thinking about energy-efficient options, knowing they can save you money in the long run.

Whether you’re considering installing an energy-efficient tankless water heater, putting solar panels on your house, or adding a skylight, chances are you can find a program that will put cash back in your pocket for improving your home’s energy efficiency.

Here is where to look for rebates, tax credits and rewards for your energy-efficient home improvements:

Qualifying improvements

When you think of energy efficiency, insulation and appliances probably come to mind. But a number of improvements can help reduce your home’s energy consumption, and many of them qualify for tax credits, rebates and incentives from a variety of sources.

The kind of improvements that can make your home more efficient and get you some cash back typically include: Solar energy systems (such as solar panels); tankless water heaters; solar-powered appliances; energy-efficient windows and doors; skylights and solar-powered blinds; wood or wood-pellet stoves; home wind turbines; and manufacturer rebates and incentives.

Federal tax credits

Although many tax credits for energy-efficient home improvements expired at the end of 2016, some are still available. The federal government offers a tax credit of up to 30 percent for home solar energy systems through Dec. 31, 2019, and there’s no upper limit on the credit, according to EnergyStar.gov.

State-level programs

In addition to federal programs, a number of states offer their own incentives to encourage homeowners to make energy-efficient improvements. For example, Alabama allows homeowners to deduct 100 percent of the purchase price and installation costs of a wood-burning heating system. In Minnesota, homeowners can borrow up to $20,000 at 4.99 percent interest to make energy-efficient improvements such as water heaters, lighting, furnaces, air conditioners, insulation, windows, tankless water heaters and more.

You can find a searchable Database of State Incentives for Renewables & Efficiency at dsireusa.org.

Utility company incentives

Many utility companies also offer programs designed to help homeowners reduce energy consumption and save money. Typical programs include free LED or CFL bulbs t replace incandescent bulbs in a home, and rebates or discounts for installing energy-efficient HVAC equipment or programmable thermostats.

The best way to find out what programs your local utility offers is to check out its website or call.

With a little bit of planning and legwork, you also can find rebates, tax credits and incentive programs that will repay your eco-friendly investment right away.

To learn more, visit Noritz.com, direusa.org, energy.gov, energystar.gov and irs.gov.

This article is courtesy of Brandpoint.