BeSMART Home Loan
Unsecured loans help Maryland homeowners finance insulation, efficient heating and appliances, with solar panels funded alongside energy-efficiency improvements.
Esta oportunidad está disponible actualmente en inglés.
Borrow $5,000–$30,000 at 6.99% APR, the published annual percentage rate, and repay over a term of up to ten years. You can choose a shorter term and repay early without a prepayment penalty.
Eligible work includes insulation and air sealing; ENERGY STAR heating, cooling and hot-water equipment, appliances, windows and doors; lighting and controls; programmable or smart thermostats; ceiling and ventilation fans; and geothermal heat pumps. Other improvements can qualify when identified in a certified energy audit.
Solar photovoltaic installation can be financed up to the cost of the accompanying energy-efficiency measures. For example, $10,000 of efficiency work can be paired with up to $10,000 for solar panels.
Eligibility
- You must be a Maryland homeowner. DHCD checks your credit and ability to repay; your credit score must be at least 640 and your debt-to-income ratio, which compares debt payments with income, must not exceed 50%.
- Wait until you receive the BeSMART funding check before buying equipment or starting work. Already purchased or completed upgrades cannot be financed.
- Your chosen contractor must be licensed and insured in Maryland and provide proof of both.
- Appliances must meet ENERGY STAR requirements. Stoves, ovens and microwave ovens are excluded because the FAQ identifies no compliant models.
How to apply
- Estado
- Abierto continuamente
Apply through the Maryland Department of Housing and Community Development’s online BeSMART application. Provide your driver’s licence, 30 days of pay stubs and a recent mortgage statement. DHCD uses DocuSign to obtain your Social Security number privately and your consent for a credit report.
Submit the scope of work, contractor estimate and ENERGY STAR equipment specifications for project approval. For appliances bought from a retailer, provide the retailer’s estimate. Once DHCD approves the project, sign and notarize the loan documents.
The initial funding check covers 30% of the loan and is payable jointly to you and the contractor; for a retail purchase without a contractor it is payable to you alone. Receive this funding before work or purchases begin. For work done by a contractor, you and the contractor confirm the completed work meets the specifications, the contractor submits photos, and you both sign a Certificate of Completion. DHCD releases the remaining 70% at completion, after which loan repayments begin.