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For many households, colder weather can mean bigger energy bills. Fortunately, there are plenty of ways you can cut your energy bill. You can also save money through financial programs that offer home energy incentives.
Energy efficiency programs can save you money through tax credits, rebates and grants. By updating or changing out energy systems and using the incentives, you can increase the resale value of your home. These changes can also make it more attractive to buyers.
As a buyer who wants to save money, you can minimize future utility bills with energy-efficient upgrades. These include appliances, heating and cooling systems, and other systems.
“The good thing about making energy efficient improvements in homes, you can start anywhere and go anywhere,” says Jonathan Passe, manager of the Energy Star residential program through the U.S. Environmental Protection Agency (EPA). “We are a trusted and unbiased resource for consumers to improve their home’s energy efficiency.”
Here are some ways to get started in saving money and being eco-friendly.
Check your home buying eligibility. Start here (Nov 8th, 2026)
Get a home energy audit
Some utility companies offer free or discounted energy audits.
“This is a great way to get a sense of how your home is performing compared to others and what you can do now or later for immediate or long-term energy savings,” Passe says.
You can also find a qualified home energy professional to conduct the audit. Some of these auditors will credit the cost of the evaluation back to you if you pick them to get your work done with them, he adds.
Federal energy tax credits have ended
The federal 25C and 25D energy credits do not apply to spending after December 31, 2025. That includes the 30 percent credit for the cost of solar energy systems, geothermal heat pumps, small wind turbines and fuel cells. Check state, local and utility incentives instead.
“A large number of utilities provide incentives for building a whole Energy Star certified home,” he says.
Check out home energy incentives from your state
Each state has its own incentives and rewards tax credits, rebates and savings.
If you are looking for new appliances, ceiling fans or other products, make sure you go to the EnergyStar website to plug in your zip code. There you can find out which companies and businesses are offering special offers and rebates.
Energy Star partners also occasionally sponsor recycling incentives for the proper disposal of old products.
Apply for an Energy Efficient Mortgage (EEM)
If you’re buying, refinancing or remodeling, you may be able to get a loan to add energy-saving features to your house.
The loan helps you cover the cost of energy improvements through your mortgage. Lenders can increase loans to cover the energy improvement costs. In turn, money saved from your energy bills can offset increases in your monthly payment. FHA’s weatherization program also lets borrowers finance up to $2,000 for such things as smart thermostats and insulation. The limit rises to $3,500 with a value determination by an FHA Roster Appraiser. There is no set limit, up to the actual cost, if a certified inspector also checks the work on site.
Switch out your light bulbs
You can trim the cost of your energy bill just by switching out your light bulbs.
Lighting uses a smaller share of a household’s energy than heating and cooling. But you can still switch to energy-efficient lighting in five of your most used lighting sources. That can save about $40 a year in energy costs, according to Energy Star. You can choose from CFL and LED light bulbs.
Adding timers and photocells makes your savings even greater, because the lights turn off when no one is using them. Dimmers can also cut down your electricity bill when you lower the light level to set an ambiance.
“It’s impossible to say how much you will save by changing a few lightbulbs or weather stripping around your doors,” Passe says. “But we have found that once homeowners start to engage in this type of things and have some success early on, they keep going on and doing more things.”
Check your home buying eligibility. Start here (Nov 8th, 2026)
