Which States Offer the Highest HOMES and HEAR Rebates?
Which States Offer the Highest HOMES and HEAR Rebates?
Some states are now offering very large residential energy rebates under the Inflation Reduction Act. In a few cases, combined HOMES and HEAR incentives can reach up to $34,000 per residence, depending on the state, income level, project scope, and savings pathway.
I put together the map below to make it easier to compare the top states, including program status, maximum rebate amounts, multifamily availability, and where energy modeling may help unlock larger incentives.
What This Map Shows
The map highlights selected states with notable HOMES and HEAR rebate opportunities. It includes estimated maximum rebate levels, whether multifamily projects are currently a good fit, and whether energy modeling is likely to be required, helpful, or less important.
This is not a final eligibility determination. State programs are still evolving, and many programs are launching in phases. The real rebate amount depends on the project, income category, building type, energy savings, and state-specific rules.
What Are HOMES Rebates?
HOMES, also known as Home Efficiency Rebates, is the performance-based rebate program. Instead of paying only for specific pieces of equipment, HOMES rewards projects that reduce whole-building energy use.
In many states, the larger rebate tiers are tied to modeled or measured energy savings, commonly at the 20% or 35% savings level. That makes HOMES especially important for deeper retrofits, multifamily projects, and projects where multiple upgrades work together.
What Are HEAR / HEEHRA Rebates?
HEAR, often referred to by its formal name HEEHRA, is the electrification rebate program. It focuses on upgrades such as heat pumps, heat pump water heaters, electric cooking equipment, electrical panels, wiring, insulation, and air sealing.
HEAR rebates are generally more equipment-based and income-limited. They can be simpler to understand than HOMES rebates, but they may not capture the full value of a project if whole-building energy savings are also available.
Why the Best States Are Not Always Obvious
The federal government created the rebate programs, but each state is responsible for implementation. That means the rules can vary significantly from one state to another.
Some states are live. Some are partially live. Others have approved plans but are not yet accepting applications. Multifamily rules can also vary, and some programs may be available only through specific pathways, administrators, or pilot phases.
This is why two similar projects in two different states can have very different rebate opportunities.
Why Energy Modeling Matters
Energy modeling can help determine whether a project is likely to meet the savings thresholds required for higher HOMES rebates. It can also help compare retrofit packages before construction decisions are finalized.
For many projects, the question is not simply whether a rebate exists. The better question is whether the project is being designed and documented in a way that captures the largest reasonable rebate.
- Estimate whether a project can reach 20% or 35% energy savings
- Compare HVAC, envelope, controls, and electrification options
- Identify which measures are driving the savings
- Support rebate applications where modeled savings are allowed or required
- Help avoid leaving available rebate money on the table
Why Multifamily Projects Deserve Special Attention
Multifamily projects can be especially valuable because incentives may apply across many dwelling units. However, they can also be more complicated. Income qualification, ownership structure, common areas, central systems, and program availability can all affect eligibility.
For larger residential buildings, energy modeling can often provide a clearer path through the incentive rules and help determine whether a performance-based approach is worth pursuing.
Common Mistakes with HOMES and HEAR Rebates
- Assuming every state offers the same rebate amounts
- Assuming a program is live just because funding has been approved
- Missing the higher rebate tier because savings were not evaluated early
- Relying only on equipment rebates when performance rebates may also be available
- Overlooking multifamily restrictions, pilot phases, or income requirements
- Not coordinating rebates with utility programs, tax credits, or other incentives
Need Help Estimating Your Rebate?
Programs are still changing, and final eligibility depends on the state, building type, income category, project scope, and energy savings pathway.
If you have a project in mind, we can review the details and help estimate your potential rebate.
Bob Fassbender is the founder of Energy-Models.com and Fassbender Energy Advisory. A former Trane software engineer and instructor, Bob has more than 20 years of experience in energy modeling, building performance, utility incentives, and energy strategy. His work spans whole-building energy modeling, calibration, independent technical review, decarbonization planning, utility incentive strategy, renewable energy analysis, and owner advisory services. Bob has supported projects ranging from commercial buildings and utility programs to large-scale data center developments involving power infrastructure, geothermal systems, heat recovery, and long-term energy planning. Through Energy-Models.com, Bob has trained thousands of energy professionals in eQUEST, OpenStudio, EnergyPlus, LEED modeling, and building performance analysis. He continues to advise owners, engineers, architects, and developers on energy-related decisions while exploring emerging technologies such as artificial intelligence, machine learning, and advanced building analytics.