Old man winter reared his impersonating head on Halloween weekend with snowy weather in our area. This probably had many homeowners thinking about the winter season being just around the corner a little sooner than usual. It got me thinking about what I can do to make my home more energy efficient.
Did you know a federal consumer energy efficient tax credit still exists for 2011? There are limitations of course, and it’s less than the $1500 energy tax credit that was in place in 2009-2010.
Much of the information I provide here can be found on www.energystar.gov with more detail. The tax credit is now a lifetime credit of $500. which began on January 1, 2011. What this means is that if you were given a tax credit between 2006-2010, it counts toward your lifetime limit and you can’t exceed the $500 credit.
There are improvements that are not limited to this cap or the previous $1500 tax credit cap. They are:solar hot water heaters, geothermal heat pumps, solar energy systems, small wind energy systems and fuel cells.
One of the most cost-effective energy efficient improvements you can make to your home is with added or new insulation. The recommended insulation rating or “R” value, for our region is R38 if you are adding to 3 or 4 inches of existing insulation in your attic. The R value is the measure of insulation’s ability to resist heat traveling through it.
Something less obvious is products that air seal or prevent air leaks, like weather stripping, spray foam in a can, caulk designed to air seal, and house wraps. You must use products that come with a Manufacturer’s Certification Statement in order to get the tax credit. The tax credit does not include the cost of installation, but you can do some of this work yourself.
For insulation and the other types of weather sealing I mention here, you get 10% of the cost of the product up to $500 as a tax credit. By the way, if you have an investment property or a second home and are thinking about doing energy improvements to it and want the tax credit, I have to burst your bubble. The federal government only approves of these credits for your principal residence.
Windows, doors and skylights are also on the list for an energy credit, but they must be Energy Star rated. For windows, you don’t have to replace all the windows in your home and it can be a new winder where there was not one before. Keep in mind, the tax credit is less for windows. It is capped at $200.
Know Your Home Energy Tax Credit by our team member Gina Wherry originally appeared in the Montgomeryville-Lansdale Patch.
Contact Scott Loper, Associate Broker, Realtor®, RE/MAX Realty Group at 215-513-1333 for help buying or selling a home in Lansdale, Harleysville, Hatfield, Souderton, Skippack, Collegeville, North Wales and the surrounding areas of Montgomery County of Pennsylvania. To Search for Homes For Sale in Montgomery County Click Here.
Know Your Home Energy Tax Credit - There is Still Time! - Copyright © 2011, The Scott Loper Team, All rights reserved.
If you enjoy reading our blog, please SUBSCRIBE.
The Scott Loper Team
Scott Loper - Associate Broker
Lisa Loper - Sales Associate
Gina Wherry - Sales Associate
RE/MAX Realty Group
439 Main Street
Harleysville, PA 19438
Ph: 215-256-1200 x-213
