Veterans Housing Guaranteed and Insured Loans

April 27, 2006


The Department of Veterans Affairs (VA) may guarantee or insure loans for veterans wishing to make improvements to their homes, including the installation of solar heating systems, solar heating and cooling systems, window and skylight glazing, window insulation, movable insulation panels, portions of a residential structure that serve as solar furnaces, thermal walls, floors, and roofs, caulking and weather-stripping, furnace efficiency modifications, clock thermostats, building insulation, water heater insulation, storm windows and doors, heat pumps, and other energy conservation measures. The VA guarantees 50% for loans up to $45,000. Loans are not to exceed the cost of the energy efficiency improvements. The maximum is $3,000 but may be extended to $6,000 if the projected savings in monthly utility costs from the improvements exceed the monthly payment for principal and interest. The borrower must own and occupy the home, unless they are refinancing a loan from a previously-occupied home. Borrowers may use the loans to refinance existing loans for energy efficiency improvements. To secure the loan, borrowers should obtain a Certificate of Eligibility from their local VA office and present it to the private lender willing to make the loan. Eligibility depends on veteran status (see website for further details). Applicants must have a sufficient income to meet loan repayment terms and must have a satisfactory credit record. Applications are processed by Veterans Benefits Administration Regional Loan Centers in the applicants’ regions. Contacts are listed in Appendix IV of the Veterans Benefit Administration Catalog.

Program Overview

Implementing Sector: Federal
Category: Financial Incentive
State: Federal
Incentive Type: Loan Program
Web Site:
Start Date: 10/28/1992
Eligible Renewable/Other Technologies:
  • Solar - Passive
  • Solar Water Heat
  • Solar Space Heat
  • Equipment Insulation
  • Heat pumps
  • Caulking/Weather-stripping
  • Building Insulation
  • Windows
  • Doors
  • Roofs
Maximum Loan: $3,000-$6,000 (see summary)
Loan Term: Department of Veterans Affairs guarantees 50% of the loan


Name: 37 USC § 3710
Date Enacted: 10/28/1992
Effective Date: 10/28/1992

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.