HomeStyle Energy Mortgage for Refinancing

Have you considered making energy-saving enhancements to your existing home or a home you’re looking to buy? Maybe you want to prepare for natural disasters by installing storm surge and window barriers. Or you’d like to cut back on daily water or energy consumption with new insulation, water-conserving toilets, or a high-efficiency HVAC system.

With rising utility costs, more homeowners and buyers are looking for ways to make energy-efficient changes to their homes without having to pay a large amount upfront or borrow money at high interest rates. HomeStyle® Energy makes it convenient for you to finance improvements like these by combining the costs with your mortgage.

How Does It Work?

Buying a Home

When you're buying a home, HomeStyle Energy allows you to use up to 15 percent of the "as completed" value of the property (that's the appraised value of the home once the upgrades are completed) for new energy improvements.

For example, an eligible buyer with a home valued at $100,000 may receive up to $15,000 (15%) from the mortgage transaction to make improvements like:

  • Installing energy-efficient windows and doors,
  • Adding retaining walls,
  • Resealing or replacing air ducts,
  • Retrofitting foundations
  • Replacing a hot water heater with a more energy-efficient system or
  • Removing bushes and trees in fire-prone areas.


Homeowners who want to make energy-saving improvements or who’ve previously made those types of updates may qualify for a limited cash-out refinance, for up to 15% of the home’s value. This means you would refinance your current home loan into a new mortgage to access the equity in your home. The equity amount would then be used to pay for new energy improvements or to pay off any that were previously made. That includes improvements financed through:

  • A home equity credit line,
  • Credit cards, or
  • A Property Assessed Clean Energy (PACE) lien (which is tied to local property tax assessments).

The Benefits

Whether you’re buying or refinancing, HomeStyle Energy offers:


  • Fund energy-saving enhancements with as little as 3% down, competitive interest rates (compared to PACE loans and other financing) and cancellable mortgage insurance, if you’re a first-time homebuyer or you’re bundling HomeStyle Energy with HomeReady mortgage.
  • Save with possible tax credits and rebates now, as well as utility and repair costs in the future.


  • Finance up to $3500 in basic weatherization, renewable energy and resiliency improvements without the requirement of an energy report.


  • Roll improvement costs into your new mortgage for the convenience of one loan payment each month.

Get Started

HomeStyle Energy is available nationwide. Talk with a lender for details and to check your eligibility.