HOPER | FHA Energy Efficiency Program

What Is the FHA Energy Efficiency Program?

The FHA Energy Efficiency Program is a groundbreaking initiative designed to make homeownership more affordable and sustainable. Backed by the Federal Housing Administration, this program helps buyers reduce both upfront costs and ongoing utility expenses by offering financial assistance, lower mortgage rates, and built-in financing for solar energy upgrades.


By combining energy-efficient improvements with FHA financing, the program allows homeowners to invest in long-term savings while benefiting from lower interest rates and immediate financial support.

Down Payment & Credit Score Requirements


  • Down Payment: May be offset by up to $13,000 in assistance through the program
  • Minimum Credit Score: Flexible credit requirements—perfect credit not needed
  • Loan Structure: Down payment and solar costs are bundled into one FHA mortgage, eliminating the need for separate financing


Program Benefits


This FHA-backed program is tailored for buyers seeking to ease the cost of purchasing a home while planning for a more financially stable future. Key features include:


  • Up to $13,000 in assistance for down payment, closing costs, or other home-related expenses
  • Below-market interest rates starting as low as 5.250%
  • Integrated solar panel financing directly into the FHA mortgage
  • 30% federal tax credit on the cost of solar installation
  • Potential increase in property value due to energy-efficient upgrades


Mortgage Insurance


  • Required: As with all FHA loans, mortgage insurance is required
  • Upfront MIP: Typically 1.75% of loan amount (can be financed)
  • Annual MIP: Paid monthly and based on loan specifics


Property Types Allowed


  • Primary Residences Only: Single-family homes that will serve as the buyer’s primary residence
  • Eligible Properties: Must be solar-compatible and meet FHA property standards
  • Solar Installation: Required within a specified time frame post-closing


Unique Features of the FHA Energy Efficiency Program


  • Bundled Solar Financing: Homebuyers can finance solar panels as part of their FHA loan—no second loan or credit check required
  • Immediate & Long-Term Savings: Lower interest rates, reduced utility bills, and potential tax benefits
  • Sustainable Investment: Energy-efficient homes tend to appreciate faster and are more attractive to future buyers
  • Nationwide Availability: Offered in most states (excluding ND, SD, AL, HI, and AK)


Ideal Borrowers for the FHA Energy Efficiency Program


  • Environmentally conscious homebuyers looking to reduce energy costs
  • First-time or repeat buyers who want upfront financial help and long-term savings
  • Budget-conscious households seeking lower monthly expenses
  • Buyers in eligible states interested in solar energy integration




Ready to own a home and save money while helping the planet? Our team can guide you through the FHA Energy Efficiency Program—from qualification to solar integration—and help you take advantage of this unique opportunity.


Reach Out Today to see if you’re eligible and start building a smarter, more energy-efficient future in your new home.