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FAQ: Home Energy Rebates
FAQ: Home Energy Rebates
Home energy rebates are available to Michigan residents to help make their homes, and our state, cleaner, efficient, reliable, and more affordable.
The Home Efficiency Rebates (HER) will provide funding to lower the upfront cost of whole-home energy efficiency upgrades in homes and apartments aiding retrofitting and electrification efforts. The Home Electrification and Appliance Rebates (HEAR) will help lower the upfront cost of efficient electric technologies in single-family and multi-family homes.
Frequently asked questions
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The program started in fall of 2024 with pilot homes in the Upper Peninsula.
The program is live and accepting applications. If you are interested or would like to learn more please contact CLEAResult at 855-510-7080 or MiEnergyRebates@CLEAResult.com.
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EGLE has launched Michigan’s Home Energy Rebates Program and is actively implementing the program statewide.
The U.S. Department of Energy (DOE) approved Michigan’s Home Energy Rebates Program application in 2023.
The Home Energy Rebates webpage will continue to be updated with the latest program information, including eligibility, available rebates, participating contractors, and application guidance. Interested residents and contractors are encouraged to check back regularly for updates.
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Yes, under certain circumstances.
A single household may participate in both the Home Efficiency Rebate Program (HOMES) and Home Electrification and Appliance Rebate (HEAR) programs under the following conditions:
- The household meets all income requirements for both the HOMES and HEAR Programs.
- HOMES and HEAR may not be combined with each other for the same single upgrade. Additionally, neither program may be combined with other federal grants or rebates for the same single upgrade.
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There are many steps homeowners and renters can take now to prepare for Michigan’s Home Energy Rebates Program. If your home needs urgent energy efficiency upgrades, do not wait for the Home Energy Rebates to become available in your area.
If you need financial support to accomplish these upgrades, existing programs like the Weatherization Assistance Program and tax credits may be available.
If you are not sure which energy upgrades may be a good fit for your home, consider contacting your electric utility or getting a home energy assessment from a professional.
In some cases, home energy assessments may be offered at low or no cost from existing programs and may be eligible for tax credits of up to 30% of the assessment cost.
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Eligibility is generally open to Michigan homeowners, including both single-family and multi-family residences. Specific requirements may vary based on the type of rebate and income levels. Renters may also qualify for certain rebates with landlord participation.
EGLE intends to prioritize funding for low- and middle-income households as determined by area median income (AMI).
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Yes, Michigan residents who are not eligible for the Home Energy Rebates Program are encouraged to apply for other energy efficiency funding, such as the IRA tax credits or utility rebates programs.
Similar to the Home Energy Rebates Program, these initiatives offer financial support to households seeking energy efficiency upgrades.
Additionally, these alternatives offer wide eligibility, with the IRA tax credits and many utility programs being available to all households regardless of income level.
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Rebate levels will vary by household depending on income level and necessary upgrades as determined by a home assessment. Rebates for the HEAR program may not exceed $14,000 per household. Rebates for the HOMES program may not exceed $20,000 per household.
To explore all potential funding options for your household, please review the Michigan Home Energy Incentives Calculator. This Michigan-specific resource can help you determine the best available sources for energy efficiency funding.
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Michigan’s Home Energy Rebates Program will be treated as a reduction in the purchase price or cost of property for eligible upgrades and projects.
The consumer that receives the IRA rebate will not be required to report the value of that rebate as income.
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EGLE does not recommend that households wait to accomplish needed home energy upgrades or projects.
Households looking for home energy upgrades assistance today may be eligible for other federal programs, including tax credits, the Weatherization Assistance Program, and other local utility programs.
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Some projects may qualify for retroactive eligibility. DOE guidance allows Home Efficiency Rebates (HOMES) to apply to projects that began on or after August 16, 2022, if they meet all program requirements. Home Electrification and Appliance Rebates (HEAR) are not eligible for retroactive rebates.
Home Efficiency Rebates Retroactivity Fact Sheet and Eligibility Checklist (PDF)
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EGLE is developing a Consumer Protection Plan that includes mechanisms to prevent fraud perpetrated by contractors. The Consumer Protection Plan will be posted when it is available.
EGLE is committed to ensuring consumers are informed of best practices for identifying unfair business practices when engaging with contractors.
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Yes. In many cases, Michigan’s Home Energy Rebate Programs can be combined with other incentives, such as local utility rebates and energy assistance programs, where permitted.
The ability to combine incentives may vary depending on the specific program, utility provider, and project type. Participants should review available resources and confirm eligibility requirements before applying.
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EGLE intends to offer larger rebates to households with incomes less than 80% of AMI.
Beyond the rebates, this program will benefit a robust workforce in communities. EGLE will support and develop the state’s contractor network by providing training and outreach to ensure communities have access to high quality contractors qualified to install upgrades.
In addition, EGLE will coordinate with state agencies, utilities, and nonprofits to ensure we provide robust program outreach and education in disadvantaged communities.
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To determine income eligibility, EGLE will utilize both direct proof of income and categorical eligibility.
For direct proof of income, applicants may provide the following documentation:
- Pay statement with YTD earnings from each employer
- 1040 IRS Tax Form (if self-employed)
- W2/1099 Tax Form (most recent year)
- Unemployment/benefit statement or payment history
- Government benefit statement
- Retirement/pension statement
As an alternative, categorical eligibility is the determination that a household meets income requirements by verifying household participation in another state or federal program. Specifically, these programs include income qualification thresholds at least as stringent as the relevant Home Energy Rebates threshold.
Programs that provide categorical eligibility fall into two categories:
Categorical Eligibility for Households:
- If a household participates in one of the programs listed below, it automatically qualifies for the Home Energy Rebates Program:
- Low Income Home Energy Assistance Program (LIHEAP)
- Medicaid
- Supplemental Nutrition Assistance Program (SNAP)
- Head Start
- Lifeline Support for Affordable Communications (Lifeline)
- Food Distribution Program on Indian Reservations (FDPIR)
- National School Lunch Program -Free (NSLP)
- Housing Improvement Program (HIP)
- Housing Opportunities for Persons with AIDS
- Supplemental Security Income (SSI)
- Weatherization Assistance Program (WAP)*
- Special Supplemental Nutrition Program for Women, Infants, and Children (WIC)**
- Verified government or non-profit program serving Asset Limited Income Constrained Employed (ALICE)
*Only if household is located in an area where 80% AMI is greater than 200% Federal Poverty Level
**Only if household is located in an area where 80% AMI is greater than 185% Federal Poverty Level - Tenants of multifamily buildings participate in one of the below programs are eligible for rebates with their building owner’s permission:
- Renters residing in Public Housing (single- and multifamily buildings owned and operated by Public Housing Authorities)
- Renters residing in units subsidized by project-based assistance (Section 8, Section 202, Section 811)
- Renters receiving tenant-based assistance (Housing Choice Vouchers)
- Renters residing in units that are income-restricted due to Low Income Housing Tax Credits (LIHTC)
Categorical Eligibility for Multifamily Buildings:
Public Housing (housing owned and operated by Public Housing Authorities): Single- and multifamily buildings owned and operated by Public Housing Authorities are fully eligible.Multifamily buildings that are part of one of the programs below may qualify for whole-building eligibility of 50% of the units meet the income requirements.
- Privately owned multifamily buildings receiving project-based assistance (Section 8, Section 202, Section 811)
- Privately owned multifamily buildings that house residents receiving tenant-based assistance (e.g., Housing Choice Vouchers)
- Low Income Housing Tax Credits (LIHTC)
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New construction is not eligible for the Home Energy Rebates Program.
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Information about contractor participation in the program, including enrollment, is available at our Contractors and the Home Energy Rebates Program page. Contractors can also:
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MiHER Program rebates include but are not limited to,
- Central Heat Pump - Mini Split Heat Pump
- Furnace
- Central AC
- Air Sealing
- Refrigerators
- Water Heater
- Stove Range
- Insulation
- Doors/Windows
- Electrical Wiring
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Eligible rebate work must be performed by an approved MiHER Registered Contractor. Approved Contractors and their contact information can be found in the Find a Contractor tool. Simply enter your zip code to find registered contractors in your area.
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You should be very involved in the process. Ask your MiHER Registered Contractor Energy Assessor if they will be the Primary Contractor on your project. If not, they should help you find a Registered Contractor to work with.
This Primary Contractor will be your main point of contact to complete the recommended improvements.
If the Primary Contractor cannot complete an improvement, they will find a MiHER Registered Contractor who can.
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An assessment completed as part of the MiHER program is good for up to 6 months, as long as none of the characteristics of the home have changed.
If something did change, the customer could ask their assessor to update their report and energy model before work is started.
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Due to high program demand, some projects may experience longer than usual timelines. Additional factors such as the State’s review and approval process, contractor or resident scheduling conflicts, and weather conditions, can also contribute to delays.
For the most current information about your specific project, we recommend contacting your contractor directly. If you have further questions, feel free to reach out to CLEAResult at 855-510-7080 or MIHERContractor@wmenergy.com.
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Yes. In order to get the most out of participating in the MiHER program, a comprehensive assessment is required.
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The structure of your property must remain consistent throughout your participation in the MiHER Program. Any alterations beyond the scope of the approved MiHER work may affect your eligibility or the outcomes of the program.
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Mobile homes, also called manufactured homes, are considered single-family homes and are eligible for rebates.
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Each unit is considered its own single-family project. Energy savings will need to be modeled for each unit.
Rebate levels will be based on the income of occupants of the unit they live in.
For example, one side may be a moderate-income household while the other side is a low-income household. Similarly, townhomes are treated as individual single-family projects.
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Only one HOMES rebate is available per address for the life of the program. While homeowners are encouraged to continue making energy-efficiency improvements over time, rebates through the HOMES program may only be received once per address.
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Yes, if your minimum 20% estimated energy savings in the model was obtained by all upgrades listed in your assessment, you will need to complete them all.
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Some appliances are allowed to be upgraded in your HOMES project. These include: ENERGY STAR® Refrigerators, ENERGY STAR Freezers, ENERGY STAR Dishwashers, ENERGY STAR Electronic Cooking Products, ENERGY STAR Clothes Washers, ENERGY STAR Dryers, and ENERGY STAR Pool Pumps.
We encourage you to work with your assessor to understand how the savings from installing appliances eligible under the HEAR program impact your HOMES savings. If removing a HEAR eligible appliance from your HOMES model doesn’t result in your predicted savings dropping below 20% or 35%, it may be more beneficial to have that appliance as a HEAR project.
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Every home is different, and rebates vary based on household income. There is not a simple one-size-fits-all program. We encourage you to review program requirements for each program and speak with your MiHER Registered Contractor to determine which program is best for you.
If your HOMES project is unlikely to obtain at least 20% energy savings, it may be advantageous to pursue some improvements through the HEAR program.