Energy programs

Michigan Home Energy Rebates (MiHER)

State and federal money for insulation, air sealing, heating and appliances. For lower-income households it can cover the whole job.

Where we are, plainly: our registration as a Michigan Home Energy Rebates contractor is in progress, and our team is completing the BPI Building Analyst certification the assessment requires. You can apply for income verification today regardless — an approval lasts a full year.

The Michigan Home Energy Rebates program is the largest pot of residential energy money in the state. It is funded by the federal Inflation Reduction Act, administered by Michigan EGLE, and run day to day by CLEAResult. It exists to pay for exactly the work that makes an older Michigan house cheaper to heat: insulation, air sealing, duct sealing, heating equipment, and efficient appliances.

It is split into two halves that work differently. HOMES pays on whole-home modeled energy savings, which means the rebate is calculated from a survey of your actual house rather than from a price list. HEAR pays per measure for electrification and appliances. You cannot claim both for the same item.

For a household under 80% of the area median income, the rebate must cover 100% of the approved work. That is the part worth reading twice: for a lower-income household the number the homeowner pays can be zero.

Who pays

The State of Michigan, through EGLE, administered by CLEAResult. Paid to the contractor, who discounts your bill by that amount.

How much

Published maximums are $20,000 per household for whole-home efficiency (HOMES) and $14,000 for electrification and appliances (HEAR). What any individual household receives depends on income and on modelled energy savings.

Who qualifies

  • Michigan homeowners, including single-family and multifamily.
  • Mobile and manufactured homes count as single-family and are eligible.
  • Renters can qualify with their landlord taking part.
  • Each unit of a duplex or townhome is treated as its own project.
  • Income is verified by the program, not by your contractor. We never ask what you earn.

HOMES: paid on what the house will actually save

HOMES rebates are set by modeled energy savings, not by a menu. A certified Building Analyst Professional performs a BPI-2400 assessment of the whole house, builds an energy model, and the model predicts how much a given set of improvements would save.

There are two savings bands. A model showing 20 to 34% savings reaches one ceiling; 35% or more reaches a higher one. Published maximums are $12,000 and $20,000 for households under 80% of area median income. For households at or above that line the rebate covers 50% of the work, to lower ceilings.

Eligible work is broad: insulation, air sealing, windows, doors, skylights, furnaces, boilers, central air conditioning, heat pumps, duct sealing, water heaters, and ENERGY STAR appliances including refrigerators, freezers, dishwashers, washers, dryers and electric cooking.

HEAR: paid per measure, for going electric

HEAR covers specific equipment rather than whole-home performance, with a published maximum of $14,000 per household. It needs a home energy assessment but not the full calibrated model HOMES requires.

There is one rule that catches people out. HEAR will only pay for a heat pump in new construction, when it replaces a non-electric appliance, or as a first heat pump providing primary heating and cooling. Replacing a heat pump you already have does not qualify.

Air sealing, insulation and ventilation are HEAR measures too, which matters if your house will not model the 20% savings HOMES needs.

One rebate per address, for the life of the program

This is the single most important thing to understand before anyone starts picking rooms. Only one HOMES rebate is available per address, ever. You cannot insulate the attic this year and the walls next year on two separate rebates.

It means the first scope is the only scope, and it is why a proper whole-house assessment matters more here than on any ordinary job. Under-scoping is not a smaller job — it is permanently losing the difference.

It also means that if the assessment lists a set of upgrades to reach the savings threshold, all of them have to be completed. The model is a package, not a menu.

Renters, landlords, duplexes and mobile homes

Renters can qualify, with the landlord taking part. Mobile and manufactured homes count as single-family homes and are eligible.

Each unit of a duplex or townhome is treated as its own project, modeled separately, with its own rebate ceiling, qualified on the income of the people living in that unit. One side can be a low-income household and the other a moderate-income one, and they are assessed independently.

For anyone with a few rental units, that is worth a conversation: a small portfolio is several funded projects rather than one.

What the process actually looks like

You apply to the state for income verification first. It is free, it is done through the program rather than through a contractor, and the approval is good for one year from the date it is issued.

When the application asks who your contractor is, you can name one. That is how your contractor receives your updates and how the project starts without a delay while you go and find somebody.

After approval comes the assessment, then the scope goes for pre-approval. Nothing starts before that comes back. The work is done, a program representative inspects it, and the rebate is paid to the contractor, who reduces your bill by that amount.

What happens, in order

  1. 01Apply for income verification at the state’s own portal. It is free.
  2. 02When the application asks who your contractor is, name us — that is how we get your updates.
  3. 03Your income approval is good for one year from the date it is issued.
  4. 04We carry out a full home energy assessment and build the energy model.
  5. 05The scope goes to the program for pre-approval. Nothing starts before that comes back.
  6. 06We do the work. A program representative inspects it.
  7. 07The rebate is paid and your bill is reduced by it. You never pay it up front and wait.

The assessment the whole rebate hangs on has to be performed by a BPI-certified Building Analyst Professional. That is the certification our team is completing.

Questions about MiHER

Does MiHER pay me or pay the contractor?

The contractor. The rebate is paid to the contractor and your bill is reduced by that amount, so you never front the rebate money and never wait to be reimbursed. For a household under 80% of area median income, where the rebate must cover 100% of approved work, that means the amount you pay can be nothing.

Can I get a MiHER rebate for work I have already had done?

Possibly, but do not count on it. Retroactive HOMES rebates are allowed only under specific conditions set by the U.S. Department of Energy, and every other program requirement still has to be met. It is a narrow exception, not a plan.

How long is my income approval good for?

One year from the date it is issued. That is why applying early costs nothing even if you are not ready to start work.

How long is the assessment good for?

Up to six months, as long as nothing about the house changes. If something does change, the assessor can update the report and the model before work starts.

Can I remodel while I am in the program?

Not beyond the approved scope. The structure of the property has to stay consistent through your participation, and alterations outside the approved work can affect your eligibility.

More general questions are answered on the FAQ page. Or call (517) 505-7135 and ask.

Find out if MiHER fits your house

Eleven quick questions about the house. None of them about your income, because the programs check that themselves. It takes about two minutes and there is nothing to pay and nothing to sign.

See if you qualify

Or call (517) 505-7135 and ask.