Quick Answer
The Inflation Reduction Act created two major rebate programs—HOMES and HEEHRA—that are rolling out state-by-state through 2026 and can deliver $4,000 to $14,000 in point-of-sale savings on energy efficiency upgrades including window replacement. Unlike the 25C tax credit (which gives you 30% back at tax time up to $600), these rebates are applied at the point of sale, reducing your upfront cost immediately. HOMES rebates reward whole-home energy savings of 20% or more, while HEEHRA rebates specifically help low- and moderate-income households cover the cost of electrification and envelope improvements.
Key Takeaways
- HOMES rebates range from $2,000 to $8,000 based on verified whole-home energy savings (20%+ or 35%+ threshold), with higher amounts for income-qualified households
- HEEHRA rebates cover up to $14,000 in energy efficiency and electrification upgrades for households below 150% of area median income, including window and envelope improvements
- These are point-of-sale rebates, not tax credits—savings are applied directly at purchase, no waiting for tax season
- State-by-state rollout: As of June 2026, over 30 states have launched or are actively implementing their programs through state energy offices
- Stacking is allowed: You can combine HOMES or HEEHRA rebates with the 25C federal tax credit for maximum savings
- Income eligibility matters: HEEHRA is strictly income-qualified (80%-150% AMI), while HOMES offers enhanced rebates for income-qualified households but is open to all
What Are the HOMES and HEEHRA Rebate Programs?
The Inflation Reduction Act (IRA) of 2022 established two rebate programs administered by the U.S. Department of Energy (DOE) through state energy offices:
HOMES Program (Home Owner Managing Energy Savings)
The HOMES rebate is a performance-based incentive. It rewards homeowners based on the actual or predicted energy savings achieved through whole-home upgrades—including window replacements, insulation, air sealing, and HVAC improvements.
How it works:
- A home energy assessment establishes your baseline energy use
- You complete upgrades (windows, insulation, HVAC, etc.)
- A post-upgrade assessment or modeling verifies the energy savings
- You receive a rebate based on the percentage of energy reduction achieved
Rebate amounts:
| Energy Savings | Standard Rebate | Income-Qualified Rebate (≤80% AMI) |
|---|---|---|
| 20-34% reduction | $2,000 or $2,500 | $4,000 |
| 35%+ reduction | $4,000 | $8,000 |
The higher income-qualified tiers apply to households at or below 80% of Area Median Income (AMI).
HEEHRA Program (Home Electrification and Appliance Rebates)
The HEEHRA rebate is an income-qualified, point-of-sale incentive designed to help low- and moderate-income households cover the cost of electrification and energy efficiency upgrades. Windows and building envelope improvements are eligible categories.
How it works:
- You verify your household income (80%-150% of AMI)
- You work with an approved contractor for eligible upgrades
- The rebate is applied at the point of sale—your contractor or retailer deducts the amount
Rebate amounts:
| Household Income | Maximum Rebate | Coverage Rate |
|---|---|---|
| ≤80% AMI | Up to $14,000 | 100% of costs (up to cap) |
| 80-150% AMI | Up to $14,000 | 50% of costs (up to cap) |
HEEHRA eligible upgrades include:
- Electric heat pumps (up to $8,000)
- Electric heat pump water heaters (up to $1,750)
- Electric stoves/cooktops (up to $840)
- Heat pump clothes dryers (up to $840)
- Insulation, air sealing, and ventilation (up to $1,600)
- Windows and doors (up to $1,600 for envelope improvements)
- Electrical panel upgrades (up to $4,000)
- Electrical wiring (up to $2,500)
HOMES vs. HEEHRA vs. 25C Tax Credit: What’s the Difference?
| Feature | HOMES Rebate | HEEHRA Rebate | 25C Tax Credit |
|---|---|---|---|
| Type | Point-of-sale rebate | Point-of-sale rebate | Tax credit (file with return) |
| Basis | Whole-home energy savings | Per-item upgrade costs | Per-item upgrade costs |
| Income limits | Higher tiers for ≤80% AMI | 80%-150% AMI required | None |
| Max for windows | Part of $2,000-$8,000 total | Up to $1,600 (envelope) | $600/year |
| When you get it | At purchase or post-verification | At point of sale | Tax filing season |
| Stackable? | Yes (with 25C) | Yes (with 25C) | Yes |
How Windows Qualify Under Each Program
Windows Under the HOMES Program
The HOMES rebate is performance-based, meaning there is no specific per-window incentive. Instead, window replacements contribute to the overall energy savings target for your home. Replacing old single-pane or deteriorating double-pane windows with high-performance units can be a significant contributor to reaching the 20% or 35% whole-home energy savings threshold.
Windows that help you qualify:
- Energy Star certified windows appropriate for your climate zone
- Windows with U-factor ≤ 0.25 (northern climates may require ≤ 0.20)
- Low-E glass with argon or krypton gas fills
- Triple-pane windows in cold climates (see our double-pane vs. triple-pane payback calculator for guidance)
Strategy: Windows alone may not get you to the 20% savings threshold, but combined with air sealing, insulation, and HVAC upgrades, many homes can reach 35%+ savings—unlocking the maximum $4,000-$8,000 HOMES rebate.
Windows Under the HEEHRA Program
The HEEHRA program explicitly includes windows and doors as eligible building envelope improvements. The envelope category covers up to $1,600 in rebates for insulation, air sealing, and window/door upgrades combined.
Key details:
- The $1,600 cap applies to the entire envelope category (insulation + air sealing + windows/doors), not per item
- For households at or below 80% AMI, the rebate covers 100% of eligible costs up to the $1,600 cap
- For households between 80-150% AMI, the rebate covers 50% of costs up to the cap
- Windows must meet applicable energy efficiency standards set by your state’s program
Eligibility Requirements
HOMES Program Eligibility
| Requirement | Details |
|---|---|
| Home type | Single-family homes, townhomes, and manufactured homes (existing buildings only) |
| Income tiers | All homeowners eligible; higher rebates for ≤80% AMI |
| Energy savings | Must achieve 20%+ modeled or measured energy reduction |
| Assessment | Requires a home energy assessment before and after upgrades |
| Contractor | Must use a program-approved contractor in most states |
| Timing | Must be completed through your state’s active program |
Income qualification for enhanced HOMES rebates:
- States use Area Median Income (AMI) data from the Department of Housing and Urban Development (HUD)
- At or below 80% AMI qualifies for double the standard rebate
- You can look up your AMI at HUD’s Income Limits page
HEEHRA Program Eligibility
| Requirement | Details |
|---|---|
| Home type | Single-family homes, townhomes, multifamily buildings (existing) |
| Income limits | 80%-150% of Area Median Income |
| Ownership | Homeowners and renters (with landlord approval for renters) |
| Per-item caps | Specific caps per appliance/upgrade type |
| Total cap | $14,000 maximum per household |
| Contractor | Must use a program-participating contractor |
HEEHRA income example: For a household in a metropolitan area where the AMI is $100,000:
- 80% AMI = $80,000 household income
- 150% AMI = $150,000 household income
- A household earning $70,000 would qualify for 100% coverage (up to per-item caps)
- A household earning $120,000 would qualify for 50% coverage (up to per-item caps)
State-by-State Rollout Status (June 2026)
The DOE authorized states to apply for their share of the $8.8 billion in HOMES and HEEHRA funding. Each state designs and administers its own program. As of June 2026, here is the rollout landscape:
States with Active Programs (Launched)
As of June 2026, the following states have fully launched HOMES and/or HEEHRA programs with applications open to homeowners:
HOMES Programs Active:
- California (through the California Energy Commission)
- Colorado (through the Colorado Energy Office)
- Connecticut (through EnergizeCT)
- Illinois (through the Illinois EPA)
- Maine (through Efficiency Maine)
- Maryland (through the Maryland Energy Administration)
- Massachusetts (through Mass Save)
- Michigan (through the Michigan Department of Environment)
- Minnesota (through the Minnesota Department of Commerce)
- New Jersey (through the NJ Board of Public Utilities)
- New Mexico (through the New Mexico Energy Office)
- New York (through NYSERDA)
- Oregon (through Energy Trust of Oregon)
- Pennsylvania (through the PA Department of Environmental Protection)
- Rhode Island (through the Office of Energy Resources)
- Vermont (through Efficiency Vermont)
- Washington (through the Washington Department of Commerce)
- Wisconsin (through Focus on Energy)
HEEHRA Programs Active: Most of the states listed above have also launched HEEHRA components, with income-verified point-of-sale rebates available through participating contractors and retailers.
States in Final Implementation Phase
Several states have received DOE approval and are in the final setup phase, expected to launch by late 2026:
- Arizona
- Georgia
- Indiana
- Missouri
- North Carolina
- Ohio
- Texas
- Virginia
States in Application/Planning Phase
A smaller number of states are still in the application or planning stage:
- Alaska
- Florida
- Idaho
- Kansas
- Montana
- Nebraska
- Oklahoma
- South Dakota
- Wyoming
How to Check Your State’s Status
- Visit Energy Star’s Rebate Finder: energystar.gov/rebate-finder
- Check your state energy office: The National Association of State Energy Officials (NASEO) maintains links to all state energy offices
- DOE’s Rewiring America portal: The Department of Energy maintains an updated tracker of state program launches
- Contact your utility: Many utilities are partnering with state programs and can confirm availability
Important: Program details—including exact income thresholds, eligible window specifications, and contractor requirements—vary by state. Always verify through your state’s official program website before starting a project.
How to Apply: Step-by-Step Process
For HOMES Rebates
Step 1: Schedule a Home Energy Assessment Contact your state’s program administrator to schedule a professional home energy assessment. This establishes your baseline energy use and identifies which upgrades will deliver the biggest savings.
Step 2: Get a Project Plan Your energy assessor or approved contractor will create a scope of work showing which upgrades (windows, insulation, HVAC, etc.) are needed to reach the 20% or 35% savings threshold.
Step 3: Choose a Participating Contractor All work must be completed by a contractor enrolled in your state’s program. Your state energy office maintains a list of approved contractors.
Step 4: Complete the Upgrades Install the windows and any other planned improvements. Keep all documentation including contracts, receipts, and product specifications.
Step 5: Post-Installation Verification A follow-up assessment or energy modeling confirms the actual savings achieved. Your rebate amount is determined based on verified savings.
Step 6: Receive Your Rebate The rebate is processed through your state’s program—typically paid directly to you or, in some states, applied as a credit through your contractor at the point of sale.
For HEEHRA Rebates
Step 1: Verify Your Income Eligibility Gather documentation showing your household income. Your state program will verify whether you fall within the 80%-150% AMI range and at which coverage level.
Step 2: Find a Participating Contractor or Retailer HEEHRA rebates are applied at the point of sale through enrolled contractors or retailers. Your state program has a directory.
Step 3: Select Eligible Upgrades Choose windows and other improvements that meet your state’s efficiency requirements. The contractor or retailer will confirm eligibility.
Step 4: Rebate Applied at Purchase The rebate amount is deducted from your invoice at the time of purchase. You pay only the net cost after the rebate.
Step 5: Keep Records Maintain all documentation for at least 3 years, including income verification, purchase receipts, and product specifications.
Combining HOMES/HEEHRA with the 25C Tax Credit
One of the most common questions is whether these rebate programs can be stacked with the 25C federal tax credit. The short answer: yes, but with important rules.
Stacking Rules
| Combination | Allowed? | Notes |
|---|---|---|
| HOMES + 25C tax credit | Yes | HOMES is a performance-based rebate; 25C is a per-item tax credit |
| HEEHRA + 25C tax credit | Yes, with adjustment | The 25C credit is calculated on your cost after the HEEHRA rebate |
| HOMES + HEEHRA | Generally no | Most states require you to choose one program or the other for the same upgrades |
| HOMES/HEEHRA + utility rebates | Varies by state | Check your state’s specific stacking rules |
How the Math Works: HEEHRA + 25C
If you qualify for both HEEHRA and the 25C tax credit:
- The HEEHRA rebate reduces your upfront cost at purchase
- The 25C tax credit is then calculated on your net cost (after rebate)
- You claim the 25C credit when filing your tax return
Example:
- Window project cost: $5,000
- HEEHRA rebate (50% coverage at 80-150% AMI): -$2,500
- Net cost: $2,500
- 25C tax credit (30% of net cost): $750 (but capped at $600 for windows)
- Total savings: $2,500 + $600 = $3,100
- Your actual cost: $1,900
How the Math Works: HOMES + 25C
If you qualify for a HOMES rebate:
- Complete your upgrades and verify energy savings
- Receive the HOMES rebate based on your savings tier
- Separately claim the 25C credit for qualifying window and other improvements
Example:
- Whole-home upgrade cost (windows + insulation + air sealing): $18,000
- Verified 35% energy savings: $4,000 HOMES rebate
- 25C tax credit for windows (30% of $9,000, capped at $600): $600
- 25C tax credit for insulation (30% of $5,000, capped at $1,200): $1,200
- Total savings: $4,000 + $600 + $1,200 = $5,800
- Your actual cost: $12,200
Cost Examples with Rebate Calculations
Example 1: Low-Income Household, HEEHRA Rebate
Household profile:
- 3-bedroom ranch home in Massachusetts
- Household income: $55,000 (below 80% AMI for the area)
- Replacing 12 single-pane windows with Energy Star double-pane
| Item | Amount |
|---|---|
| Window cost (12 × $550) | $6,600 |
| Installation | $3,400 |
| Total project cost | $10,000 |
| HEEHRA envelope rebate (100% coverage, up to $1,600 cap) | -$1,600 |
| HEEHRA insulation rebate (adding attic insulation, $2,000 cost, 100% up to $1,600 cap) | -$1,600 |
| 25C tax credit for windows (30% of $8,400 net = $2,520, capped at $600) | -$600 |
| Total savings | $3,800 |
| Final out-of-pocket | $6,200 |
Example 2: Moderate-Income Household, HOMES Rebate
Household profile:
- 4-bedroom colonial in Colorado
- Household income: $95,000 (above 80% AMI, standard HOMES tier)
- Replacing 18 windows + adding insulation + air sealing
| Item | Amount |
|---|---|
| Window cost (18 × $600) | $10,800 |
| Insulation and air sealing | $4,500 |
| Installation | $4,700 |
| Total project cost | $20,000 |
| Home energy assessment | $500 (may be rebated separately) |
| Verified energy savings: 28% | Qualifies for $2,000 standard HOMES rebate |
| HOMES rebate | -$2,000 |
| 25C tax credit for windows (30% of $10,800, capped at $600) | -$600 |
| 25C tax credit for insulation (30% of $4,500, capped at $1,200) | -$1,200 |
| Total savings | $3,800 |
| Final out-of-pocket | $16,200 |
Example 3: Income-Qualified Household, Maximum HOMES Rebate
Household profile:
- 2-bedroom bungalow in New York
- Household income: $45,000 (below 80% AMI)
- Comprehensive upgrade: windows, insulation, heat pump, air sealing
| Item | Amount |
|---|---|
| Window cost (8 × $500) | $4,000 |
| Insulation and air sealing | $5,000 |
| Heat pump system | $8,000 |
| Installation | $3,000 |
| Total project cost | $20,000 |
| Verified energy savings: 38% | Qualifies for $8,000 income-qualified HOMES rebate |
| HOMES rebate | -$8,000 |
| 25C tax credit for windows ($600 cap) | -$600 |
| 25C tax credit for heat pump ($2,000 cap) | -$2,000 |
| Total savings | $10,600 |
| Final out-of-pocket | $9,400 |
Planning tip: Use our whole-home window project budget planner to estimate total project costs before exploring rebate options.
Maximizing Your Window Rebate Savings
Choose High-Performance Windows
To maximize your chances of qualifying for HOMES rebates (and hitting the higher savings tiers), invest in windows that deliver the greatest energy improvement:
- Low-E glass: Essential for all climates. Our Low-E glass upgrade ROI calculator can help quantify the benefit.
- Triple-pane in cold climates: The added insulation value helps push whole-home savings past the 35% threshold
- Gas fills: Argon or krypton between panes improves U-factor ratings
- Proper installation: Professional installation ensures the windows perform as rated—air leaks around poorly installed windows can negate energy savings
Bundle Upgrades for Maximum HOMES Savings
Since the HOMES rebate is performance-based, bundling window replacement with other upgrades makes it easier to reach the 20% or 35% threshold:
- Windows + insulation + air sealing: The most common combination for hitting savings targets
- Windows + heat pump: Replacing aging HVAC alongside windows can produce dramatic savings, especially if you’re also upgrading from a gas furnace
- Windows + smart thermostat: A low-cost addition that can contribute 2-5% energy savings
Time Your Project Right
- Apply for your state’s program before starting: Most programs require pre-approval or at least registration
- Complete projects before year-end: Ensures you can claim the 25C tax credit for that tax year
- Summer installations: Summer window replacement delivers immediate cooling savings while you wait for rebate processing
Frequently Asked Questions
Can I use both HOMES and HEEHRA rebates for the same window project?
Generally no. Most state programs require you to participate in either HOMES or HEEHRA for the same set of upgrades. However, you can use different programs for different phases of work—if you complete envelope upgrades under HEEHRA in one year and a separate HVAC upgrade under HOMES the next, that may be allowed. Check your state’s specific rules.
How is the HOMES rebate different from the 25C tax credit?
The HOMES rebate is a point-of-sale incentive based on whole-home energy savings performance (20% or 35% reduction), while the 25C tax credit is a per-item credit (30% of cost up to $600 for windows) claimed on your tax return. HOMES rebates can be much larger ($2,000-$8,000) but require a whole-home approach rather than individual upgrades.
What income qualifies for HEEHRA window rebates?
HEEHRA is available to households with incomes between 80% and 150% of Area Median Income (AMI). If your household income is at or below 80% AMI, the rebate covers 100% of eligible costs (up to per-item caps). Between 80-150% AMI, the rebate covers 50% of costs. You can check your AMI level through HUD’s income limit data for your metropolitan area or county.
Do I need to use a specific contractor for HOMES or HEEHRA rebates?
Yes. Both programs require you to use contractors enrolled in your state’s program. Your state energy office or program administrator maintains a directory of participating contractors. Using a non-enrolled contractor will disqualify you from receiving the rebate.
How do I know if my state’s HOMES/HEEHRA program has launched?
Check your state energy office’s website, the DOE’s state program tracker, or the Energy Star Rebate Finder. As of June 2026, over 30 states have active programs, with more launching throughout the year. If your state hasn’t launched yet, you can sign up for notifications to be alerted when the program opens.
Can renters qualify for HEEHRA rebates for window upgrades?
Yes, HEEHRA is available to both homeowners and renters. Renters need landlord approval for permanent improvements like window replacement. The rebate structure (100% for ≤80% AMI, 50% for 80-150% AMI) applies regardless of ownership status.
What happens if my home energy savings fall short of the 20% HOMES threshold?
If your verified energy savings are below 20%, you would not qualify for the HOMES rebate. However, you would still be eligible for the 25C tax credit on qualifying individual upgrades and potentially for HEEHRA if you meet the income requirements. Work with your energy assessor before starting the project to model expected savings and adjust your upgrade plan if needed.
Can I combine HEEHRA rebates with the 25C tax credit for windows?
Yes. The HEEHRA rebate is applied at the point of sale, reducing your upfront cost. The 25C tax credit is then calculated on your net cost after the HEEHRA rebate. For example, if windows cost $3,000 and HEEHRA covers 50% ($1,500), your 25C credit would be 30% of the remaining $1,500 = $450. Total savings: $1,950.
Related Guides
- Window Replacement Tax Credits & Rebates Guide 2026 — Complete guide to the 25C federal tax credit and how it differs from HOMES/HEEHRA
- Summer Window Replacement Energy Savings — Why summer installations deliver immediate cooling benefits
- Double Pane vs. Triple Pane Payback Calculator — Compare payback periods for different window types
- Whole Home Window Project Budget Planner — Plan your total project budget before applying for rebates
- Low-E Glass Upgrade ROI Calculator — Calculate the return on investment for Low-E glass upgrades
Get Started with Your Window Rebate Savings
The IRA HOMES and HEEHRA rebate programs represent the most significant federal investment in home energy efficiency in decades. With rebates ranging from $2,000 to $14,000—and the ability to stack with the 25C tax credit—the potential savings on window replacement and related upgrades are substantial.
Here’s what to do next:
- Check your state’s program status using the resources above
- Verify your income eligibility for HEEHRA (if applicable) using HUD AMI data
- Schedule a home energy assessment through your state’s program administrator
- Get project cost estimates using our window replacement cost simulator
- Choose a participating contractor from your state’s approved list
- Complete upgrades and collect your rebates
The earlier you start the process, the sooner you’ll benefit from lower energy bills and a more comfortable home. These programs have limited funding—applying early maximizes your chances of receiving the full rebate amount.
Disclaimer: This article is for informational and educational purposes only and does not constitute tax, legal, or financial advice. Rebate program availability, amounts, and eligibility requirements vary by state and are subject to change. Consult your state energy office and a qualified tax professional for guidance specific to your situation.