PACE | Homeowner Services

Financing for Homeowners

Budget-friendly ways to save energy in your home and upgrade its value.


Two different loan options are available to help you pay the upfront cost for the energy efficiency and renewable energy improvements in your home. Talk to your participating contractor and select the loan that works best for you. Loans are not incentives or rebates, and must be paid back.

These loan options can be used with the following NYSERDA programs:

  • Home Performance with ENERGY STAR® and Assisted Home Performance with ENERGY STAR® use home assessments to inform homeowners where their house is wasting energy
  • The NY-Sun program makes solar-generated electricity accessible and affordable by converting sunlight into electricity
  • Renewable Heat NY supports the installation of high-efficiency, low-emission, wood-heating technology
  • The purchase and installation of Ground Source Heat Pumps, also referred to as geothermal heat pumps
  • The purchase and installation of Solar Hot Water systems
  • The purchase and installation of Air Source Heat Pumps

On-Bill Recovery Loan

• Convenient – no separate bill to pay • Repay from the money you save on energy • Your energy savings essentially pay for your work.

save money with on bill piggy bank
  • Loan payment is built into your utility bill
  • Loan amounts from $1,500 - $25,000 with loan term of 5, 10 or 15 years
  • Balance may be transferred to new owner when home is sold
  • A declaration is filed with the County Clerk to record the obligation of the loan (this is not a lien on the property)
  • You must own the home and be named on the utility account
  • The home must be served by a participating utility, including: Central Hudson Gas & Electric, Con Edison, PSEG-Long Island, NYSEG, National Grid (Upstate NY customers only), Orange & Rockland, and Rochester Gas & Electric
  • No prepayment penalties
  • Only Participating NYSERDA Contractors are eligible to perform the installation.

Smart Energy Loan

The Smart Energy Loan is a more traditional loan that you repay monthly via check or automatic payment.

save money with smart energy piggy bank
  • Interest rates range from 3.49% - 6.99% (discounted for automatic bank withdrawal); interest rates subject to change
  • Monthly payments made to NYSERDA’s loan servicer
  • Loan amounts from $1,500 - $25,000 with loan terms of 5, 10, or 15 years
  • If you sell or transfer the property, you remain responsible for the balance of the loan
  • You must own the home or be an authorized representative of the property owner
  • No prepayment penalties
  • Only Participating NYSERDA Contractors are eligible to perform the installation.

Online Interest Rate Estimator

Interest rates range from 3.49% - 7.49% and are subject to change without notice. The Interest Rate Estimator tool can help you find which interest rate may be available to you.

Please note, the interest rate estimator is an estimator tool that will provide an interest rate based upon your selected criteria. A credit application must be submitted and meet all of NYSERDA's qualifying criteria to determine the final interest rate which will be calculated by a loan professional. Please note that these interest rates apply to On-Bill Recovery Loans and Smart Energy loans, which include automatic payment deduction from a checking account. Interest rates for Smart Energy loans that include standard billing by mail from the Loan Servicer are 0.5% higher than the rate shown here.


Assisted Home Performance with ENERGY STAR

The AHPwES program is exactly the same as the regular Home Performance with ENERGY STAR® program, except there is an additional financial incentive for upgrades made to single family homes and 2-4 unit rental properties with income-qualified tenants or owners. New York residents with a total household income equal to or lower than 80% of State or Area Median Income (whichever is greater), may be eligible to receive a subsidy that represents up to 50% of the total cost of an approved energy efficiency project--up to $4,000 per project for single-family homes and up to $8,000 for a 2- to 4-unit residential home. Low-interest financing is also available to cover the balance of the energy efficiency project. The Assisted Subsidy is available for existing 1- to 4- family homes with a total household income at or below 80% of the State or Area Median Income (whichever is greater). You will be required to submit your tax return. Ask your contractor about this option or call Energize for assistance.

Eligible Measures

The Home Performance with ENERGY STAR® Loan Program is designed to encourage the installation of high efficiency measures to increase the energy efficiency of your home. All energy efficiency measures to be installed must meet minimum efficiency requirements to be eligible for financing. Your contractor can help you understand the eligible measures.

NOTE: • Projects must achieve a Savings-to-Investment Ratio (SIR) of greater than 1.0 to be eligible for the HPwES Loan. The loan term may not exceed the weighted useful life of the financed measures. • Loans above $13,000 (up to $25,000) are required to achieve a payback period of 15 years or less. The payback period is calculated by dividing the tool amount of the loan by the estimated energy cost savings per year.

How Do I Get Started?

You start by submitting an application for a home energy assessment by one of the participating Energize contractors. Click here to get started. If you've already done an application and have had your assessment, your contractor can walk you through your financing options.