Be SMART Home Energy Loan Program

Summary

Note: The eligible technologies listed above are only examples of some improvements that might be supported under this program. Other improvements may be eligible.

Under the Be SMART Home Energy Loan program, the Maryland Department of Housing and Community Development offers loans to homeowners for energy efficiency retrofit projects and installing ENERGY STAR products in their primary residence. The program offers unsecured loans of up to $30,000 at 6.99% interest rate for terms of 10 years. The minimum loan amount is $5,000.

Participants may choose their own contractor that is licensed and insured in Maryland. In addition, in order to qualify for a loan, residents must have a credit score of at least 640, a debt-to-income ratio of 50% or less, and have their income level verified.

The Department reviews the financial information of the applicant and an estimate or proposal from the chosen contractor. The Department then sends the applicant loan documents to be signed, sends a 30% down payment 2-party check, sends a 70% 2-party check upon project completion, and then the applicant begins making payments on the loan.  

List of measures that qualify for the program, include but may be not limited to:

• Insulation
• Air sealing
• Lighting
• Controls
• Ceiling fans 
• Programable and smart thermostats 
• Geothermal heat pumps 
• Solar photovoltaic (financing capped at 1:1 match to the cost of energy efficiency measures)
• Health and safety items that improve energy efficiency (25% cap)
• Other improvements identified in a certified energy audit

Qualified ENERGY STAR improvements include:

• Heating and cooling systems 
• Hot water heating equipment 
• Appliances, windows, doors

See BeSMART FAQs for further details. 

This program is part of the U.S. Department of Energy's (DOE) Better Buildings Program. The DOE has awarded over $500 million in federal funds to more than 40 states, local governments, and organizations to administer local programs targeting a variety of building types. Combined, these local programs are expected to improve the efficiency of more than 170,000 buildings through 2013 and save up to $65 million in energy costs annually.