Working 4 Your Money

Planning to Fix Up Your House? Here's How You Can Get Up to $14K for Home Renovations

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Going green at home has been made easier with tax credits and rebates offered by the Inflation Reduction Act.

The congressionally funded act gives homeowners up to $14,000 in rebates and tax credits for energy efficiency upgrades. The amount consumers receive depends on earnings, location and what type of improvements are made.

People who purchase eco-friendly stoves can receive a rebate of up to $840, plus another $500 to help cover the costs of converting from natural gas or propane to electric.

Paul Hope, who works with Consumer Reports, was able to easily choose a more environmentally conscious stove during his recent home renovation.

“I’ve always preferred cooking on a gas range but I knew electric and induction ranges had gotten a lot better over the years and they’re way better for the environment,” Hope said.

Consumers can receive as much as $8,000 off for heat pumps, the largest credits and rebates available. This high-efficiency system heats and cools your home and will replace a furnace or boiler and an air conditioner.

“While the upfront cost for a heat pump may be higher, these incentives will definitely help,” Hope said. “And over the long term, you might actually save money depending upon where you live and what fuel and electricity costs in your area.”

If an electric heat pump doesn’t make sense, consumers can qualify for a $300 tax credit with certain Energy Star-certified gas water heaters.

There are also rebates for upgrading to more efficient exterior doors, windows and skylights.

Maryland residents can shop tax-free Energy Star products over Presidents Day weekend.

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