The Neighborhood Energy Connection is pleased to offer the Minnesota Energy Loan, a low-interest financing tool for energy improvements plus general home remodeling. After making key conservation improvements, you can use this loan to finance almost any home improvement project, including renewable energy upgrades such as geothermal heating and cooling equipment, solar hot water systems, solar electric, and more. Available statewide!
Minnesota Energy Loan Terms
- 5.750% APR Fixed Rate
- Heating, air conditioning, and insulation projects must meet efficiency standards
- $96,500 maximum household income
- $2,000 minimum to $35,000 maximum loan amount
- Available for single family homes, duplexes, and fourplexes
- All Minnesota Energy Loans are secured by a mortgage on the property
- Costs include a 1% origination fee, a small document preparation fee, and a credit report fee
- Loan repayment term ranges from 1 to 10 years for loans up to $10,000; and from 1 to 20 years for loans from $10,001 to $35,000.
To take advantage of the Minnesota Energy Loan:
1. Phone LeAnne at the NEC: 651.221.4462 ext. 132. Your home improvement plans must include at least one of the recommendations from a home energy audit (see Step 2).
2. Schedule a home energy audit. If you are an Xcel Energy customer call 1.800.895.4999 to request an audit. If you are not an Xcel Energy customer, contact the NEC at 651.221.4462 Ext. 132 and we will walk you through next steps.
Your energy auditor will identify areas in your home where energy improvements will make a big difference. You'll receive a detailed written audit report listing recommendations and their correlating energy savings potential. Your energy auditor may recommend any of the following energy-efficiency strategies:
- Air conditioner replacement
- Furnace replacement
- Kitchen and bath fans
- New windows
- Insulation-attic, wall, basement, or rim joist
- Water heater replacement
- Hard-wired lighting replacement or ceiling fans
- Caulking, foaming, weatherstripping and other weatherization
3. Gather bids, select your contractors, and get approved for financing. The NEC can assist you with contractor referrals or bid reviews, just ask!
4. Request a follow-up inspection. In some cases, you may wish to have an energy expert return to your home to make sure the work was done correctly. Please call the NEC to schedule this optional service.
Applicant Checklist
- Complete all sections of the application.
- Attach copies of two current paycheck stubs from within the last 60 days and your most recent IRS Form W2.
- if self-employed, include the last two years' Schedule C
- if retired, provide copies of two month's worth of bank statements showing direct deposit of Social Security and Pension. - Attach a copy of the bid you will be using for the work.
- Do-It-Yourselfers should submit an estimate from a supplier showing expected cost of materials - Attach a copy of your most recent County Property Tax Statement.
- Remember to include a copy of your Energy Audit results. You must finance at least one significant energy recommendation from your audit.
Mail application to:
LeAnne Karras
624 Selby Ave.
Saint Paul, MN 55104
Please do not fax your application.
