Here's something every California homeowner should know: you could get approved for low interest financing for energy efficiency and renewable energy upgrades, with no upfront costs, through the HERO program from PACE financing. Should you qualify, what would all this mean for you, long term? It would mean lower utility bills, a reduced carbon footprint, and long term savings that are a lot higher than you are probably thinking. You may not realize this, because it's not like you can see green fumes coming out of your home or anything, but all the electricity you use emits ozone damaging CO2 from the power plant and into the atmosphere, and contributes to global warming.
Let's take a look at PACE and HERO. PACE stands for Property Assessed Clean Energy financing, and it's, well, it's exactly what it sounds like. Participating municipal governments offer bonds to investors who set up loans for homeowners to finance the work done on their homes. Efficiency upgrades covered by PACE financing include air sealing and insulation to minimize wasted air conditioning, and solar panel installation. The program allows homeowners the option to lease their solar panels, so they only pay for the benefits of solar that they enjoy while still living in their home. Should a homeowner who has chosen the lease option sell their home, the new homeowner can either elect to take over payments or decline and have the solar panels taken off the grid.
PACE has now rolled out a financing program called the Home Energy Renovation Opportunity, or HERO for short. The HERO program is repaid directly through your property tax bill, in installments twice per year. Over 150,000 products are eligible for financing through HERO.
Here's what's really unique about the HERO program: similar to your mortgage, the interest you pay is tax deductible. You still have to pay for the portion of the principle due with your statement, but your interest is a write-off. You deduct what you paid in interest from your stated annual income when you file your taxes. Also, it can be used in conjunction with rebate programs like Energy Upgrade California to save you even more money!
Mr. Ruben Contreras, the subject of this case study, saw his electric bill plummeted from $200 per month down to $1.21 per month after installing solar through The Hero Program. That's a projected savings of about $90,000 over the next 25 years. He was so elated with his savings that he recommended the program to his parents as well.
If you want a more energy efficient home at no up front cost to you, check with your local government office to see if PACE and HERO can help in your area, and don't forget to get approved for additional savings through any rebate programs available. There's a lot of money available to you so don't be lazy, go out and claim it!
The programs only work with contractors who are verified and registered in its database. Zero Energy is one such contractor in Southern California, and they have helped hundreds of homeowners see real savings and feel more comfortable in their homes with help from these programs.
