ENERGY REBATES & FINANCING

Energy Rebates and Tax Credits

Residential Efficiency Tax Credit

The Residential Efficiency Tax Credit offers homeowners the opportunity to receive a tax credit of 30% for insulation and air sealing materials installed in their primary residence—up to $1,200 in costs. The credit is available on a yearly basis until December 31, 2032. After installation, use IRS Form 5695 to apply for the credit.

Learn more about the federal insulation tax credit here: www.energystar.gov

Rebates through the HOMES Act

Rebates are available for homeowners who make performance-based whole home efficiency upgrades. The rebate savings include:

• For homes achieving 20-35% modeled energy savings – rebate of the lesser of $2,000 or 50% project cost.
• For homes achieving at least 35% modeled energy savings – rebate of the lesser of $4,000 or 50% project cost.
• For homes achieving at least 15% measured energy savings – rebate payment rate per kWh saved, equal to $2,000 for a 20% reduction, or 50% project cost.

Department of Energy (DOE) Electrification Program

The DOE Electrification Program offers rebates for insulation, air sealing and ventilation upgrades for eligible homeowners. Specifications include: 

• 50% of the cost of insulation up to $1,600 for households with annual incomes of 80-150% of area median income.
• 100% of the cost of insulation up to $1,600 for households with annual incomes less than 80% of area median income. 

Learn if you qualify for these or any other rebates in your area at www.dsireusa.org.

Tax Credits for Builders 

The federal government has enhanced the financial incentives available for builders like you who construct energy-efficient homes and structures. For new homes and units acquired on or after January 1, 2023, the base level tax credit will be specifically tied to ENERGY STAR® certification for single-family, manufactured and multifamily homes and either ENERGY STAR or the Zero Energy Ready Home requirements for single-family homes. 

Take Advantage of the Residential Efficiency Tax Credit 

•  Builders can receive a credit of $2,500 for single family homes that meet ENERGY STAR® Version 3.1. 
•  A credit of $5,000 is available for homes that meet the Department of Energy (DOE) Zero Energy Ready Home Program. 
•  A builder credit of $500/$1,000 is available for constructing certified multifamily units. Incentives increase to $2,500/$5,000 when meeting prevailing wage requirements. 
• Producers of manufactured homes are eligible for a $2,500 tax credit for meeting the applicable ENERGY STAR Manufactured New Homes program requirements 

The tax credit amount applies until December 31, 2032. See your tax professional for details on how to qualify and claim this credit.

Learn more about federal energy tax credits for homebuilders here. www.energystar.gov

Energy Rebates and Tax Credits

At Millers we want to help you save money and keep your home cozy throughout the year. In order to help you make energy efficiency more affordable, Millers makes sure to keep up with all the latest New Mexico energy rebates programs. We know that you want to make sure that you are getting the best deal when it comes to your energy rebates and the industry experts at Millers are always happy to help you make the best decision but we also realize that you like to be prepared so we have compiled a list of site links to help your research go smoothly.

• New Mexico Gas Company
• PNM Rebates & Discounts
• Federal Tax Credits
• www.ENERGYSTAR.gov
• Energy Efficient Home Tax Credits & Mortgages (RESNET)
• Graybar PowerSmart Rebate Advantage Program
• Database of State Incentives for Renewables & Efficiency

It’s important to know that in New Mexico you can receive a rebate from New Mexico Gas Company simply for installing new energy efficient insulation into your home.

Contact Millers for more tips and tricks to saving you money when it comes to creating a better more efficient home.