Federal Programs

$2,000 Builders Tax Credit

Homebuilders are eligible for a $2,000 tax credit for each new energy efficient home that achieves 50% energy savings for heating and cooling over the 2004 International Energy Conservation Code (IECC).  The same HERS rating that is used to meet the energy code or earn the ENERGY STAR, is also used to qualify the home for the $2,000 energy efficient home builder tax credit. A HERS rating is used to determine if the existing home (or a set of plans and specs) meets the criteria.

These tax credits apply to new homes located in the United States whose construction is substantially completed after August 8, 2005 and that are acquired from the eligible contractor for use as a residence from January 1, 2006 through December 31, 2009. (Renewal in 2010 is expected)

IRS Notice 2006–27  provides guidance for the credit for building energy efficient homes other than manufactured homes.

Home Efficiency Improvements

Builders and remodelers can take advantage of stimulus legislation that Congress passed in February 2009 that does much to promote energy efficiency. Energy efficiency incentives to upgrade existing homes have been extended and are now available for 2009 and 2010. Incentives are available for many energy improvements such as air sealing, insulation, heating, cooling and water heating equipment. Most of these incentives are for 30% of the total cost, up to a cap of $1,500. For more information regarding the federal incentives, please visit www.energytaxincentives.org.

State Programs

Michigan Home Improvement Tax Credit

Households with adjusted gross income less than $75,000 are eligible for a tax credit up to $150 for insulation, furnaces, water heaters, windows, refrigerators, clothes washers and dishwashers for the years 2009, 2010 and 2011. For more information, go to www.legislature.michigan.gov.

Michigan Property Improvement Program

Households with incomes of up to $74,750 may borrow up to $50,000 from the State of Michigan to make energy-efficiency improvements. There is no home equity requirement for loans up to $25,000. Interest rates range from 4% to 8%. For more information, go to www.michigan.gov/mshda.

Local Programs

DTE/MichCon Programs

DTE and MichCon are offering rebates on various energy efficiency improvements, as well as on the cost of the energy audit. For more information, go to www.yourenergysavings.com.

Benefits of owning an ENERGY STAR qualified new home include:

  • A Nationally Recognized Symbol of Quality and Performance

All ENERGY STAR qualified new homes are certified to meet EPA’s strict guidelines for energy efficiency. This exemplary performance is verified by an independent third party.

  • Lower Utility Costs

Compared with standard homes, ENERGY STAR qualified new homes use substantially less energy for heating, cooling, and hot water heating. Homeowners can expect to save about $200–$400 annually on their utility bills.

  • More Comfortable/Quieter Homes

The energy-efficient features of ENERGY STAR qualified new homes keep out excessive heat, cold, and noise, and ensure consistent temperatures between and across rooms-making these homes more comfortable to live in.

  • Helping to Create a Better Future

When your customers purchase an ENERGY STAR qualified new home, they are joining millions of consumers who have changed to ENERGY STAR, helping our nation reduce our energy needs and building a cleaner environment for the future.

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  • I want to thank you for the great job that you did for us. I was able to experience first hand just how much work was involved, and how extensive the project was. If you ever need a commercial reference, please feel free to use Math Reviews.

    Pam B., Ann Arbor
  • Happy New Year! I just wanted to let you know how pleased we are with the upgrades you did for us at our home. The bathroom fan is amazing! And there is a noticeable difference in temperature between the storage part of the attic and the 'room' part of the attic. So thanks!

    Caitlin L., Ann Arbor
  • EverGreen did a fantastic job retro-fitting our home with the latest energy-saving materials, and sealing the unbelievably many places where heat was flowing out. I had no idea that there were so many ways to tighten and better insulate an old, "leaky" house.

    Beth S., Putnam Valley
  • No draftiness and the furnace runs less often. Other (my students) notice the music room is very stable in temperature. I especially liked the grouping of improvements and costs so I could figure out what to have done first.

    Jane H, Ann Arbor
  • No evidence of moisture (frost on the wall and floor)...furnace runs less...house retains heat better...Thanks! You may use me as a reference.

    Donna B, Manchester
  • Hello Nate, Wanted to let you know that my energy usage for mid Feb. - mid March was down from last year for the same period: electric down 34% and gas down 49%. What a difference it made putting in the insulation, changing some lightbulbs, and sealing up the band joists and crawl space.

    DeLynn C, Ann Arbor
  • Hi Nate - Attached below are the electrical and the gas usage comparisons for this house between 2008 and 2009. After Evergreen did the energy conservation work (Feb08), we saw substantial decreases in the gas usage from March 08 and onward...

    David B, Ypsilanti
  • After I had an energy audit by (an insulation company) I added insulation but still noticed a lot of the cold air leaks – Thank you for taking the time to explain to me and show me what was happening (using) your "blower door" – I will be doing air sealing next!"

    Jackie K, Ann Arbor
  • The very first night after (EverGreen) air sealing around our home we noticed such a difference in our daughters' bedroom – what a difference! Thank you!

    Michelle K, Ann Arbor
  • Architectural Resource endeavors to bring much more to our clients than merely great residential design. We are constantly looking to add value to our architectural services particularly in the Green and sustainable design areas. Energy management is a key component of our Green design process... Read More

    Michael Klement, AIA, NCARB, AIBD, CPBD, CGP Principal Architectural Resource, LLC , Ann Arbor