Residential Financing Programs
NYSERDA offers a suite of loans under the Green Jobs-Green New York (GJGNY) Program to help New York State residents finance energy efficiency improvements, and renewable energy systems.
Prior to accessing a NYSERDA loan, homeowners must have an energy assessment or audit that identifies energy services to be undertaken. Homeowners may use loans for the following programs:
- EmPower+: Offers income-qualified homeowners a comprehensive, whole-house approach, plus discounts up to 50% of eligible improvement costs, to enhance energy efficiency and home comfort while saving money. Use the loans for the purchase and installation of energy efficiency upgrades.
- Residential Energy Assessment Program and Comfort Home Pilot: Identifies where your home is wasting energy and how you can save money and improve your home’s comfort year-round. Use the loans for the purchase and installation of energy efficiency upgrades.
- NY-Sun: Makes going solar accessible and affordable. Use the loans to purchase and install solar at home.
- NYS Heating and Cooling
: Offers more efficient heating and cooling option that eliminate fossil fuels. Use the loans for purchase and installation costs of air source and ground source heat pumps.
- PSE&G Home Performance Program
: Offers PSE&G customers a whole-home approach to energy efficiency and can lower energy costs plus offers rebates on energy-saving home improvements plus offers. Use the loans for the purchase and installation of energy efficiency upgrades.
- PSE&G Home Comfort Program
: Offers PSE&G customers more efficient heating and cooling options that eliminate fossil fuels. Use the loans for purchase and installation costs of air source heat pumps.
Residential Financing Options
Homeowners could be eligible for up to $25,000 in loans for energy efficiency improvements or renewable energy installations at one- to four-family residential properties. Interest rates, repayment terms, and cost effectiveness requirements vary between each type of loan. Loans are not incentives or rebates and must be paid back. Loans over $13,000 are required by the GJGNY legislation to have a payback period of less than 15 years.
Homeowners can work with a participating contractor to help select the loan that works best for your home energy project.
On-Bill Recovery Loan
Apply NowFind Interest RateWith the On-Bill Recovery (OBR) Loan, your loan payments are paid as part of your utility bill. Estimated average monthly energy cost savings must be greater than monthly loan payments to use the OBR loan.
Technologies covered: Purchase and installation of solar photovoltaic systems, ground source heat pumps, air source heat pumps, and energy efficiency improvements.
Eligibility:
- 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
- Electric customers of PSEG Long Island may be eligible, but must apply directly through their utility
Loan terms:
- Unsecured
- Interest rates are subject to change. For available residential interest rates, click on the Find Interest Rate button.
- Loan payment is paid through 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 as long as written notice is provided to new owner
- A declaration is filed with the County Clerk to record the obligation
Smart Energy Loan
The Smart Energy Loan is a traditional loan that you repay monthly via check or automatic payment (ACH).
Technologies covered: Purchase and installation of solar photovoltaic systems, ground source heat pumps, air source heat pumps, and energy efficiency improvements.
Eligibility:
- You must own the home or be an authorized representative of the property owner
Loan terms:
- Unsecured
- Interest rates are subject to change. For available residential interest rates, click on the Find Interest Rate button.
- 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
Renewable Energy Tax Credit Bridge Loan
Find Interest RateThe Renewable Energy Tax Credit Bridge Loan (Bridge Loan) is a short-term loan product which enables you to finance federal and state tax credits and the NYC Real Property Tax Abatement for eligible renewable energy system products.
The Bridge Loan has a balloon payment of principal and interest due at maturity and can be paid via check or ACH payment. You can pair this loan with a Smart Energy or On-Bill Recovery Loan (combined total cannot exceed $25,000). Speak with your contractor for assistance applying.
Technologies covered: Purchase and installation of solar photovoltaic systems, air source heat pumps, ground source heat pumps, and energy efficiency improvements.
Eligibility:
- You must own the home or be an authorized representative of the property owner
Loan Terms:
- Unsecured
- Interest rates are subject to change. For available residential interest rates, click on the Find Interest Rate button.
- Interest accrues from loan origination
- Loan amounts from $1,500 - $25,000 with loan term of 2 years
- Loan amount may not exceed the maximum of:
- Federal income tax credit (based on net project cost):
- The lesser of 30% or $1,200 for all building envelope components, home energy audits, and energy property
- The lesser of 30% or $2,000 for electric or natural gas heat pump water heaters, electric or natural gas heat pumps, and biomass stoves and biomass
- 30% tax credit for solar or geothermal projects
- The New York State Income tax credit for solar and ground source heat pump projects equal to the lesser of $5,000 or 25% of the net project cost.
- The NYC Real Property Tax Abatement of 5% of the net project cost (offered) for a four-year period, but only one year can be included in the loan).
- Consult with a tax adviser to confirm your tax credit/liability, and the anticipated impact on your federal or state income taxes
- If you sell or transfer the property, you remain responsible for the balance of the loan
Loan Approval Criteria
The following table summarizes credit approval criteria, but it is not a comprehensive list of loan underwriting guidelines. These standards are subject to change at NYSERDA's discretion.
Credit Score | 540-599 | 600-639 | 640-679 | 680-719 | 720+ |
---|---|---|---|---|---|
Debt-to-Income (DTI)* | 40% | 45% | 50% | 60% | No limit |
Mortgage Payment History |
Mortgage has been paid on-time for the past 12 months. No mortgage payments more than 60 days late during the past 24 months. |
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Bankruptcy, Foreclosure, Repossession History |
None in the past 24 months |
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Outstanding Collections, Judgments, Liens and Charge-offs | May not exceed $2,500 | ||||
Prior GJGNY Loans |
No customer will be eligible for a GJGNY Loan if the customer has a prior GJGNY Loan outstanding that is 30 days or more delinquent. |
* Debt-to-Income (DTI) is a measure of your existing debt payment obligations (mortgage, auto loan, student loan, credit card payments, etc.) to your income.
Get Support
To help New Yorkers navigate clean energy opportunities, NYSERDA launched the Regional Clean Energy Hubs – teams of trusted, knowledgeable, community-based organizations across the state. Hubs can provide resources and assistance to make informed energy decisions, apply for a free home energy assessment, explore program offerings, find qualified contractors, and more.
Find your Regional Clean Energy Hub
Income Eligible Households
New York State is focused on making energy efficiency and clean energy solutions available to all New Yorkers. Through NY Energy Advisor , income-eligible residents and affordable housing owners can receive a customized list of energy-related assistance programs to help pay energy bills and make energy-related improvements.
Find your energy savings with NY Energy Advisor
Get Started
Apply NowLoans are originated by Slipstream . Click apply now to access the fast and secure online application.
Contact
If you have additional questions, please contact the Residential Financing Team at [email protected].