Eligibility, documentation, and timing — 2026 practitioner guide
Bottom line up front: There is no minimum residency requirement for HEAR. You can apply after closing, as long as you are the owner-occupant of your primary residence. A recorded deed from closing is typically accepted as proof of ownership. Income eligibility is based on your household income, not how long you have owned the property.
Does Buying a New Home Affect HEAR Eligibility?
The HEAR program (High-Efficiency Electric Home Rebate Act, implemented through DOE's Home Efficiency Rebates) is structured around owner-occupancy of a primary residence, not tenure. The statute does not impose a waiting period. You are eligible on the day you take title, provided you meet the income requirement and the home is your primary residence.
In practice, most state programs require at least one of the following as proof of residency: a utility bill in your name, a mortgage statement, a property tax bill, or a deed. A recorded deed from closing satisfies all of these in most states.
The Four Eligibility Requirements — What New Buyers Need to Know
Requirement
Applies to New Buyers?
Notes
Owner-occupant status
Yes
Must own and live in the home. Closing deed establishes ownership; attestation covers occupancy in most states.
Primary residence
Yes
Must be your main home, not a rental, vacation home, or investment property. New buyers applying after move-in easily satisfy this.
Income eligibility (≤80% AMI for full rebate, up to 150% AMI for partial)
Yes
Based on household income in the year of application — same as any applicant. Being a new buyer does not affect income thresholds.
Minimum residency period
Not Required
HEAR has no minimum tenure. No state HEAR program currently imposes a minimum ownership period.
Proof of Ownership and Residency as a New Buyer
State programs generally require two types of documentation: proof of ownership and proof of primary residence. For new homebuyers, these often merge into a single document.
Document
Proves Ownership
Proves Residency
Availability at Closing
Recorded deed
Yes
Varies
Same day (digital) or within days (recorded copy)
Closing disclosure (CD)
Yes
No
At closing
Mortgage statement
Yes
Yes
First statement ~30 days post-closing
Utility bill in buyer's name
No
Yes
First bill ~30 days post-move-in
Property tax bill
Yes
Yes
Typically next tax cycle
Homeowner's insurance declaration page
Partial
Yes
At or before closing
Signed occupancy attestation
No
Some states
Immediate (form provided by state program)
Fastest path for new buyers: Request a digital copy of the recorded deed from your title company at closing. Pair it with your homeowner's insurance declaration page as proof of residency. This combination is accepted in most of the 14 live HEAR states and is available on day one.
Buying a Fixer-Upper: Can You Apply Before Moving In?
This is the most common point of confusion for new buyers doing major renovations. The short answer: most states require that the home be your primary residence at the time of application, not just that you intend to make it your primary residence.
State
Pre-Occupancy Install Allowed?
Notes
Massachusetts
With attestation
MassSave accepts signed intent-to-occupy letter for new buyers doing renovation prior to move-in. Confirm with Mass Save directly.
Colorado
No
Must be primary residence at application. Pre-approval (required for all measures) will not be granted for a non-occupied primary.
New York
No
NYSERDA HEAR requires active residency. Pre-approval for major measures requires occupancy confirmation.
Illinois
Case by case
IHDA reviews pre-occupancy situations on a case-by-case basis. Contact IHDA directly before scheduling installs.
Maryland
No
MEA requires the home to be the primary residence. Pre-approval requires proof of current occupancy.
New Mexico
With attestation
NM point-of-sale model allows same-day rebates; buyer attestation of primary-residence intent accepted at time of purchase.
Rhode Island
No
RI Lifespan CAP intake requires current utility service in applicant's name.
Michigan, Washington, Georgia, North Carolina, Indiana, Wisconsin
Varies
Check state program directly. Signed deed + utility transfer confirmation generally satisfies residency in these states.
Fixer-upper strategy: If you are buying a property to renovate before moving in, schedule the HEAR-eligible measures (heat pump, water heater, panel) for after your move-in date, not before. This avoids the occupancy question entirely and keeps your application clean.
Previous Owner's HEAR Rebates — Do They Affect You?
HEAR rebate limits run per household per calendar year, not per property. The previous owner's rebate history has no effect on what you can claim. Program records track by applicant identity (SSN or household ID), not by property address.
This means:
If the prior owner received $8,000 for a heat pump, you can still claim $8,000 for a different heat pump (or any other eligible measure) in the same year
There is no "rebate history" attached to a property address that follows it to new owners
If you and the prior owner both claim in the same calendar year on the same property, that could trigger a flag — but this would only happen in the rare case of a mid-year sale with simultaneous installs
Using HEAR With a Renovation Mortgage (203k, HomeStyle, etc.)
Renovation mortgages like FHA 203(k) and Fannie Mae HomeStyle allow buyers to roll renovation costs into the mortgage. HEAR rebates can stack with these programs, but the sequencing matters:
203(k) standard/limited: Work must be completed after closing. If your contractor installs HEAR-eligible equipment as part of the 203(k) scope, the rebate can be claimed post-installation. The mortgage lender must be informed if the rebate reduces your out-of-pocket cost, as it may affect escrow calculations.
HomeStyle: Same logic — installs after closing, rebate claimed separately. Rebate proceeds go to the buyer, not the lender.
Energy Efficient Mortgage (EEM): Designed specifically for energy upgrades. EEM + HEAR is the strongest financing stack for buyers doing whole-home electrification at purchase.
Work with a HUD-approved housing counselor or a HEAR-knowledgeable mortgage officer to coordinate the documentation across programs. The rebate application timeline (typically 30–90 days post-install) is separate from mortgage draw schedules.
Buying a New Construction Home — HEAR Does Not Apply
HEAR is explicitly limited to existing homes. "Existing" means the home was previously occupied, with prior utility service history. Brand new construction does not qualify, regardless of what equipment is installed.
For new construction buyers, the relevant programs are:
25C Energy Efficient Home Improvement Credit: Covers equipment costs (heat pump, water heater, insulation) for existing homes only — also does not apply to new construction.
45L New Energy Efficient Home Credit: A tax credit for builders, not buyers, for constructing energy-efficient new homes. The builder may or may not pass savings to the buyer.
Energy Efficient Mortgage: Available for new construction with a certified energy rating.
Common mistake: Buyers of newly built homes sometimes ask their contractor to apply for HEAR rebates on equipment installed during construction. This will be denied. HEAR requires the property to have prior occupancy and utility history.
Timing Your HEAR Application Around Closing
The practical sequence for a new buyer aiming to claim HEAR rebates quickly:
Before closing: Verify your state is live with HEAR (state tracker). Check if your state requires pre-approval before installation (pre-approval guide).
At closing: Request a digital copy of the recorded deed from your title company. Confirm utility service will be transferred to your name immediately.
Week 1 post-closing: Schedule a home energy audit if your state requires one for HEAR (most do for the highest rebate tiers). Get on the contractor's calendar — qualified HEAR contractors often have 3–6 week lead times.
If pre-approval required (CO, NY, MD, NM, RI): Submit pre-approval application using deed + attestation before scheduling any installs.
After install: Gather all documentation (AHRI certificate, contractor invoice, income docs, proof of ownership). Submit to state program. Processing is typically 30–90 days.
Income Documentation for New Buyers
Income eligibility for HEAR is based on household income at the time of application. New buyers do not face any special documentation requirements — the same documents accepted for other applicants work for new buyers.
The most common accepted documents across the 14 live states:
Prior year federal tax return (Form 1040)
W-2s or 1099s from the prior tax year
Pay stubs (typically 2 most recent)
SNAP, Medicaid, LIHEAP, or Section 8 award letter (presumptive eligibility — accepted in most states)
New buyer income note: If you recently changed jobs, got a raise, or had a major income event as part of your home purchase (e.g., drawing down retirement savings for a down payment), the program uses your household income from the prior tax year — not your current pay rate. This can work in your favor if your income was lower last year.
Frequently Asked Questions — New Homebuyer HEAR
Can I apply for HEAR on the day I close?
Technically yes, but realistically no. You need proof of residency, which most states require in the form of a utility bill in your name. Utility transfers typically take 1–5 business days. Some states accept a deed + occupancy attestation immediately; check your state's specific documents. The earliest practical timeline for most new buyers is within a week of closing.
Does the HEAR rebate get paid to me or to the contractor?
In most states, the rebate is paid directly to the homeowner as a post-installation check or ACH transfer. In New Mexico's point-of-sale model, the rebate is applied at the point of purchase, reducing the amount you pay the contractor. Either way, you receive the benefit — it is not a contractor revenue item.
My real estate agent mentioned HEAR rebates when we were house hunting. How do I actually claim them?
Your agent was right that HEAR rebates are real, but they are not automatic. You must: (1) hire a qualified HEAR contractor to install eligible equipment, (2) submit an application to your state program with income documentation and equipment proof, and (3) wait for processing (typically 30–90 days). The rebate is not available at closing — it is claimed after installation. See our real estate agent guide for more context.
The home I bought already has a heat pump. Can I claim a rebate for it?
No. HEAR rebates cover new installations by a qualified contractor in your name, during your occupancy. Equipment that was installed before you owned the home — regardless of when it was installed — does not qualify. The rebate is tied to the transaction, not the equipment itself.
We're buying as co-buyers. Whose income is used for the HEAR income test?
HEAR uses household income — the combined income of all adults living in the home. If both buyers will live in the home, both incomes count. AMI limits are also adjusted for household size, so a larger household has a higher income threshold. A household of 4 at 80% AMI earns more than a household of 2 at 80% AMI.
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