Home Energy Loans - Efficiency Maine

Efficiency Maine offers home energy loans to help homeowners pay for qualifying energy upgrades. Low- and moderate-income households may qualify for lower interest rates if they meet certain criteria. To qualify for income-based loans, prospective borrowers must first request eligibility verification here, and then receive approval.

APPLY FOR A HOME ENERGY LOAN (for any income level)

Apply For a Home Energy Loan (for low- or moderate-income)

Contractors who would like to offer Efficiency Maine Home Energy Loans to their customers can find information about getting started here.

A summary of current Home Energy Loan Options appears below.

Eligibility

	Any-Income Home Energy Loan	Income-Based Home Energy Loan
Building Types	The subject property must be a Residential Property (Single Family House, Two-Unit Duplex, Manufactured (Mobile) Home, or Condominium) located in Maine.	The subject property must be a Residential Property (Single Family House, Two-Unit Duplex, Manufactured (Mobile) Home, or Condominium) located in Maine.
Equipment and Upgrades	The following equipment and upgrades are eligible for this loan: Heat Pumps – for space heating and cooling in which the project is not a heat pump/fossil fuel combination system (“dual fuel”). Insulation and Air Sealing – Attic, wall, or basement insulation and air sealing in an area that is heated the entire heating season and is not part of the construction of a new home or addition. A maximum of 25% of the amount financed may be used for other required health and safety upgrades necessary to complete the project.	The following equipment and upgrades are eligible for this loan: The upgrade must be eligible for an Efficiency Maine residential rebate (lifetime limits do not apply). A maximum of 25% of the amount financed may be used for other required health and safety upgrades necessary to complete the project.
Contractor Requirements	Upgrades must be installed by an Efficiency Maine Residential Registered Vendor (RRV). The Financed Amount will be disbursed directly to an RRV on behalf of the Borrower at project completion.	Upgrades must be installed by an Efficiency Maine Residential Registered Vendor (RRV). The Financed Amount will be disbursed directly to an RRV on behalf of the Borrower at project completion.
Customer/Borrower	The Borrower’s Principal Residence must be in Maine. Borrower must be one of the following: Individual Property Owner – The borrower is the subject property owner, and the property is owned by one individual (inclusive of married couples filing jointly and single member LLCs); or, Partnership Property Owner – The borrower is the subject property owner, and the property is owned by multiple individuals.	The Borrower’s Principal Residence must be in Maine. Borrower must be ALL of the following: Homeowners must be verified by Efficiency Maine as income-eligible (low- or moderate-income) by completing the form here and receiving approval. Individual Property Owner – The borrower is the subject property owner, and the property is owned by one individual, a married couple filing jointly or a single member LLC.

Terms

	Any-Income Home Energy Loan	Income-Based Home Energy Loan
Fees ($)	There are no application, origination, or pre-payment fees associated with Any-Income Home Energy Loan. Late payment fee: 5% of amount due or $10, whichever is less. Non-sufficient funds fee: $25 per occurrence.	There are no application, origination, or pre-payment fees associated with Income-Based Home Energy Loan. Late payment fee: 5% of amount due or $10, whichever is less. Non-sufficient funds fee: $25 per occurrence.
Maximum Borrowing Amount ($)	The maximum loan amount is $25,000. The maximum unsecured borrowing amount is $25,000 per borrower. The borrowing amount per loan cannot exceed the eligible project costs. There is no minimum borrowing amount.	The maximum loan amount is $7,500. The maximum unsecured borrowing amount is $25,000 per borrower. The borrowing amount per loan cannot exceed the eligible project costs. The minimum borrowing amount of $2000.
Term Length(s)	5 or 10 years.	5 or 10 years.
Interest Rate(s)	7.99% Annual Percentage Rate (APR). Rates shown are as of today’s date and are subject to change. Rates are fixed and interest is calculated using the simple interest, Actual/360 method.	5.99%. Rates shown are as of today’s date and are subject to change. Rates are fixed and interest is calculated using the simple interest, 30/360 method.
Amortization or Repayment Schedule	Monthly principal and interest payments. There is no prepayment penalty. (The following example depicts the interest rate (APR), monthly payments, and total payments applicable for a $15,000 loan with a 5-year (60 month) term and interest rate (APR) of 7.99%: 60 payments of $304.86 and total payments of $18,291.60 over the term. If approved, your loan amount, interest rate, and monthly payment may differ from the example based on the length of term selected, creditworthiness, and other factors).	Monthly principal and interest payments. There is no prepayment penalty.
Underwriting Criteria	Borrower (with Co-Borrower when applicable) must have: a minimum average FICO score of 620; and, a maximum Debt-to-Income Ratio (DTI) of 55%	Borrower (with Co-Borrower when applicable) must have: a minimum FICO score: 580; and, maximum debt-to-income ratio (DTI): 70%; and, no recent bankruptcies, foreclosures, or repossessions.
Collateral Requirements	Home Energy Loans are unsecured loans based solely on the Borrower’s (and Co-Borrower’s, when applicable) credit worthiness and no lien or security interest in real property or equipment is required. The Borrower may be required to assign or grant to Efficiency Maine a security interest in any applicable program rebate, which would be applied toward payment of the loan principal.	Home Energy Loans are unsecured loans based solely on the Borrower’s (and Co-Borrower’s, when applicable) credit worthiness and no lien or security interest in real property or equipment is required.
Funding Requirements	In order for a project to be funded: All loan documents must be fully executed by the Borrower (and Co-Borrower when applicable). A Project Work Scope and Proof of Completion must be fully executed by the Borrower and RRV. The project must be performed and installed in accordance with applicable program requirements. The Financed Amount will be disbursed directly to an RRV on behalf of the Borrower at project completion.	In order for a project to be funded: All loan documents must be fully executed by the Borrower (and Co-Borrower when applicable). A Loan Work Scope Form must be completed. A Completion Certificate must be fully executed by the Borrower and RRV. The project must be performed and installed in accordance with applicable program requirements. The Financed Amount will be disbursed directly to an RRV on behalf of the Borrower at project completion.

Contact Information: info@efficiencymaine.com or call (866) 376-2463

Terms and Conditions

Customer/Borrower will be required to execute a loan agreement and promissory note with Efficiency Maine. Additional terms and conditions may apply. Maximum outstanding balance of $25,000 for unsecured loans per borrower. Only one check per loan. Program and incentives subject to change or termination. Consult Efficiency Maine website to confirm current program terms, rebate availability, and forms. Incomplete information may delay or disqualify your loan.

When a customer receives an Efficiency Maine rebate associated with a project that was financed by Efficiency Maine, the rebate may be applied as a payment to the balance of your loan. Unless otherwise confirmed with Efficiency Maine Green Bank, all rebates associated with the work scope of a Home Energy Loan will be applied as a payment to your remaining balance. This rebate payment will not affect the existing term of your loan but will reduce the monthly payment amount. If the amount of the rebate is greater than the remaining balance, the overage will be returned to you as the borrower.