Energy Efficient Home Improvements Loan Program

November 03, 2015


Note: This program is currently unavailable. Check the program web site for more information regarding future funding.

Kentucky offers ENERGY STAR Home Performance rebates and loans for residential energy efficiency improvements meant to meet the need for incentives and financing to middle or upper income residents not served by the Weatherization Assistance Programs. The program gives rebates for certified contractors to evaluate homes and allow owners to decide which improvements should be made. Homeowners can also receive rebates instead of loans.

First, participants fill out the free online self assessment, then apply for the onsite test. Minimum standards for participants' homes include air sealing, carbon monoxide detectors, and insulation (ceiling to R-38 if currently below R-19; floor to R-19 if below R-11). Other qualifying improvements like HVAC and gas heating equipment can be added to these envelope improvements, and unspecified improvements like electrical and indoor air quality improvements can be included if approved by program contractors. The whole-house tests and free evaluation must be performed by a participating KY Home Performance BPI-certified (Building Performance Institute) Building Analyst. All equipment must be ENERGY STAR listed.

For homeowners that do not have the up-front funds for improvements, below-market 6.99% loans are available for up to ten years and $20,000. The first 100 customers will receive an interest rate of 3.99%. 100% of the work can be financed as long as 85% of work is for qualifying home improvements. The unsecured loans (minimum credits score of 640) are offered in lieu of rebates to single family dwelling participating in the KY Home Performance program. Loan recipients are also eligible to receive a $150 rebate for whole-house testing.

Program Overview

Implementing Sector: State
Category: Financial Incentive
State: Kentucky
Incentive Type: Loan Program
Web Site:
Administrator: AFC First Financial Corporation
Start Date:
Eligible Renewable/Other Technologies:
  • Geothermal Heat Pumps
  • Water Heaters
  • Furnaces
  • Boilers
  • Heat pumps
  • Air conditioners
  • Caulking/Weather-stripping
  • Duct/Air sealing
  • Building Insulation
  • Custom/Others pending approval
  • Other EE
  • Tankless Water Heater
Maximum Loan: Loans: Up to $20,000 for 100% of cost as long as 85% of work is for qualifying home improvements
Homeowner Energy Efficient Rebates (in lieu of loans): 20% of qualifying improvements up to $2000
Loan Term: 6.99% interest for up to 10 years
3.99% for the first 100 customers


Name: KY Home Performance with ENERGY STAR
Phone: (877) 741-4306
Name: Jennifer Cohen
Address: 1005 Brookside Road
Allentown PA 18106
Phone: (610) 433-7486
Name: Ken Yeager
Phone: (410) 641-5170

This information is sourced from DSIRE; the most comprehensive source of information on incentives and policies that support renewables and energy efficiency in the United States. Established in 1995, DSIRE is operated by the N.C. Clean Energy Technology Center at N.C. State University.