IRA Home Energy Rebates: HEAR and HOMES in 2026

HEAR or HOMES: Which Fits Your Job?

HEAR is also called Home Electrification and Appliance Rebates or High-Efficiency Electric Home Rebates (HEEHR). HOMES is also called Home Owner Managing Energy Savings or Home Efficiency Rebates. Some states use their own program names.

A heat pump may fit HEAR. Insulation and sealing work across a home may fit HOMES. The state must approve the plan. Neither program pays for every roof or major repair.

For work outside an energy project, use the home repair assistance guide.

Are HEAR and HOMES Taking Applications in Your State?

There is no single yes-or-no answer for all states. The NASEO state launch list has tables for both programs. The HOMES table was updated August 7, 2026; the HEAR table was updated May 19, 2026.

These are dated reports, not live approval for your home. A state may change its rules or run low on funds. Use its own site for the newest details.

Here are direct checks from state offices and their approved program partners, reviewed for this update. These are examples of different intake paths, not a full 50-state open list.

If you live elsewhere, do not take silence to mean approval or rejection. Find your office in the state energy office directory. Open its home rebate page and look for the words apply, reservation, waitlist, paused, full, or coming soon.

Ask if intake is open for your county, home type, income group, and measure. A state’s multifamily launch may be open while a single-family path is not. A utility area may be full while another has funds. A state can also change its list of eligible upgrades during the year.

HEAR: Electric Upgrade Rebates and Income Limits

Under the federal HEAR baseline, households below 80% of area median income (AMI) may get up to 100% of eligible cost. Households from 80% to 150% AMI may get up to 50%. Households above 150% AMI do not qualify under this federal rebate. Each item also has a dollar cap.

The HEAR law and limits set federal ceilings, not cash awards. State programs may offer fewer items or set added rules. A panel or wiring job may need to support an eligible appliance. A program may rule out some fuel changes or ask for an approved energy check first.

For a family under 80% AMI, an eligible $6,000 heat pump job cannot bring an $8,000 check. The rebate cannot exceed the approved cost. At 80% to 150% AMI, a $6,000 eligible job might get at most $3,000 under the federal share rule, before state limits.

AMI depends on home area and family size. Use our area median income guide, then check the HUD income limit data that your state uses. Do not guess your income band from a national chart.

Ask whether you may buy an item in a store or must hire an enrolled contractor. Check model numbers, needed permits, home wiring, and who pays for work beyond the rebate. An appliance that uses less power is not always an approved rebate item.

HOMES: Rebates for Whole-Home Savings

HOMES looks at how much energy a whole-home project is set to save. It can include insulation, sealing air leaks, ducts, heating and cooling, and other approved work. It is not limited to the HEAR income groups, but low-income homes get more help under the federal baseline.

The HOMES law and limits set those basic single-family modeled-savings amounts. Some states use their funds to raise rebates for low-income homes. The measured-savings route can start at 15% and uses a different formula. A state may offer only one of these paths, and building-wide rules differ.

Expect a home energy review, a work plan, an approved contractor, and a final check. Ask who pays if the project fails to reach its needed savings level. The model is not a promise about each future bill. Weather, energy rates, and how you use your home can change the result.

Federal law sets September 30, 2031, as an outer completion date for these HOMES projects. Your state can end an intake round, use up funds, or set a much earlier job deadline. Ask for the local date in writing.

How to Apply Before You Spend Money

1. Find the right office. Start from your state, territory, or Tribal energy office. Follow its link to the approved program partner.
2. Ask what is open now. Check HEAR and HOMES one at a time. Give your ZIP code, home type, income group, and exact job.
3. Get screened. Ask what income year, family size, and home papers the program accepts. Tell staff if you rent or live in a manufactured home.
4. Wait for the right approval. Some jobs need an energy audit, a contractor visit, a rebate reservation, or all three before work begins.
5. Get a clear price. The quote should show approved work, permits, equipment, rebate, other aid, financing, and what you owe.
6. Keep each record. Save approval emails, the work plan, receipts, model numbers, permits, photos, and final check results.

Possible proof includes photo ID, utility bills, deed or lease, landlord consent, household income records, and proof of other public benefits. Our application document checklist can help you gather the basics.

If you rent, ask who signs the form and gets the benefit. The owner may need to approve each change. Multifamily programs can have their own rules and income checks. For a manufactured home, ask about title, park rules, and electrical safety.

Tribal households may have a separate HEAR route. Ask your Tribal housing or energy office whether it runs a program, works with the state, or plans to open later. Do not assume the state form is the only choice.

After Approval: Your Share and Your Rights

A rebate is a price cut, not a loan. You normally do not pay it back when it is issued under the rules. Yet you may still owe part of the job cost, permits, repairs needed first, or extra upgrades you choose.

Some states give a point-of-sale discount. Others pay an approved contractor or use a set rebate process. Check when the funds are applied and whether you must pay a deposit. Ask how long approval lasts and what happens if the installer is late.

Get the warranty, permit duty, change-order rules, and final payment date in writing. If the contractor offers a loan, that loan is separate. It may carry interest or a lien, even when the rebate does not.

Past work: HEAR does not pay retroactive rebates. HOMES may allow certain work started on or after August 16, 2022, but the state must accept it and verify the required savings. Read the DOE past-work rules before counting on any refund.

HEAR and HOMES Are Not the Old Federal Tax Credits

The federal Energy Efficient Home Improvement Credit is called 25C. It ended for property placed in service after December 31, 2025. The Residential Clean Energy Credit is called 25D. It ended for expenditures made after that date.

For 25D, paying early is not enough if the install was completed in 2026.

The IRS expiration guidance explains the dates. Eligible work done in 2025 may still be claimed on the right tax return under the old rules. See our 25C tax credit guide for that earlier work.

The rebate programs are separate. A state can still run HEAR or HOMES in 2026 even though you cannot claim a new 25C or 25D credit for 2026 work. A House bill to repeal the HEAR funding passed in February 2026, but the Senate bill record shows a referral, not an enacted repeal. Check the program office for any later change.

Under IRS rebate tax guidance, a DOE rebate is treated as a price cut for federal income tax purposes, not income to the home buyer. Rules for a separate loan or utility incentive may differ. Ask a tax professional about an older project or special case.

Can You Use More Than One Program?

You cannot claim HEAR and HOMES for the same single upgrade. An approved plan may use them for different work. You may also be able to add a utility rebate or weatherization service if the local rules allow it.

The DOE funding guide notes that programs can work together but must follow limits. Tell each office about the other funds. Ask for a written split of costs so no single expense gets paid twice.

If your main need is drafts, poor insulation, or a high heating bill, check the DOE weatherization application route. Weatherization is usually agency-run work, not a check. See our weatherization program guide for what to expect.

If Your State Is Closed, Paused, or Full

Ask if your name can go on a waitlist and whether you must apply again for the next round. Ask if an approval can expire or if work done while you wait would lose its place.

Check your utility for a separate rebate, its low-income aid, or a repair plan. Heating crisis help may also be available through LIHEAP state programs, though this is mainly help with energy bills and crises, not a new heat pump rebate.

For unsafe wiring, a failing roof, or work the energy rules exclude, use the local repair program finder. For help choosing a first call, use the where to start guide. You can also call 211 where service is offered.

Your Next Three Moves

1. Write down your address, income group, home type, and exact job.
2. Check the live HEAR and HOMES program pages for your state and get the approval steps.
3. Compare the final cost with a utility or weatherization option before you sign.