Back to Blog

Low-Interest Financing Cuts Cost of Home Energy Efficiency

Man Insulating Roof

If you’re not sure if you can afford to improve the energy efficiency of your home, you’re in good company. Lots of people wonder not only about how to pay for home improvements but also about what upgrades make the most sense. The good news is that you can get help about both concerns. At Efficiency Vermont, it’s my job to give objective advice about lowering energy use within any budget. One of the ways that many people are able to make their dream of an efficient home a reality is with a low-interest energy loan.


Lower energy bills and better living conditions are affordable

For example, I answered a call a few months back, from a Windham County homeowner, who wasn’t sure why her house was drafty and musty. She wanted to make her home healthy and cozy for herself and her young son, but she didn’t know where to start or how to pay for improvements. Today, she is spending 30% less on energy thanks to air sealing and insulation done by an independent contractor in Efficiency Vermont’s Efficiency Excellence Network. Today, this mom and preschooler no longer live with cold rooms, ice dams, and musty smells.

The homeowner is one of the numerous Vermonters who have taken advantage of low-interest home-improvement financing. Without these loans, many Vermonters simply would not be able to make the upgrades that lower their ongoing expenses, create more comfortable and healthy living conditions, and increase the value of their homes.


Two People Looking at Solar Panels

Save on Solar

Reduce overall solar costs with a low-interest Energy Improvement Loan from VSECU.

See our rates


What is low-interest financing for energy efficiency home improvements?

  • Low-interest loans to pay for weatherization and/or heating improvements
  • Offer up to $35,000, with 100% financing available
  • Can be processed in as little as two business days
  • Include low-to-no closing costs (can be rolled into loan), loan terms of up to 15 years
  • Often provide energy savings that are larger than loan payments
  • Include upgrades completed by an Efficiency Excellence Network contractor
  • Health and safety improvements needed for the efficiency project can constitute up to 50% of the total loan amount.
  • Qualifying installations:
    • High efficiency oil or propane furnaces and boilers
    • Cold-climate heat pumps
    • Central wood pellet heating systems
    • Heat pump water heaters
    • Solar hot water
    • Weatherization improvements through Home Performance with ENERGY STAR®

Installations that do NOT qualify include solar PV, wood stoves, pellet stoves, and direct-vent or wall-vented space heaters.


How can you get a low-interest loan for home energy improvements through Efficiency Vermont?

  1. Speak with an Efficiency Excellence Network contractor. Click here to find contractors in your area.
  2. Set up an appointment for the contractor to visit your house and speak with you about conditions in your home. After doing a home assessment, the contractor will work with you to identify your preferred scope of work and will provide you with a price quote.
  3. Complete a project verification form with your contractor.
  4. Send your contractor’s written project scope of work, price quote, and project verification form to a participating lender (VSECU or Opportunities Credit Union), to complete the financing process and receive payment.


If you’ve got questions about how to affordably lower energy costs—for homes and businesses—call Efficiency Vermont, toll-free, at 1-888-921-5990. Or visit


Worried about Your Credit?

This eBook can help you improve your score.

Download the eBook
Matt Kilcoyne

About Matt Kilcoyne

About Matt Kilcoyne Matt Kilcoyne grew up in Essex Junction, Vermont and received his Bachelor of Arts in Environmental Studies from the University of Vermont. As a program manager for Efficiency Vermont, he designs and implements energy efficiency programs to make homes more efficient. Outside of work, Matt likes hiking, fishing, golfing, and spending time with friends and family.
Reading on Phone

Stay informed

Stay up to date on financial tips, tricks, and tools that will build your financial literacy and help you live a more prosperous life.

Subscribe now!