Unlocking Affordable Upgrades for HVAC Systems

One of the most impactful measures Toronto homeowners can take to combat climate change is to enhance the energy efficiency of their homes. Recognizing the paramount importance of this endeavor, the City of Toronto has introduced the Home Energy Loan Program (HELP). This program aims to provide homeowners with accessible and flexible financing options, enabling them to undertake significant home energy improvements that result in optimal energy efficiency and a diminished environmental footprint.

Introducing Toronto’s Home Energy Loan Program (HELP)

Through HELP, homeowners can secure loans of up to $125,000, effectively covering the costs associated with implementing essential home energy improvements. Additionally, all qualified homeowners can apply for an extra $5,600 in incentives per participant for home evaluations and energy-efficient retrofits through increased financing choices and activities. This makes it easier for Toronto homeowners to undertake a wide variety of energy-efficient improvements, such as upgrading to high-efficiency HVAC equipment. By capitalizing on this program, Toronto homeowners can make transformative changes that not only reduce their carbon footprint but also lead to long-term benefits, including improved energy efficiency and substantial cost savings from lower utility bills.

That said, to help you take full advantage of the numerous benefits offered by the Home Energy Loan Program and any additional incentives, we have put together the following article. In this article, we’ll explore more about the HELP program in addition to its interest rates and terms, as well as its eligibility requirements, and how to apply. The Home Energy Loan Program functions as a formidable tool for homeowners, empowering them to make impactful changes to their residences. With the program’s favorable loan terms and repayment options, including zero-percent interest loans and incentives, homeowners can enjoy both financial flexibility and the ability to effect significant transformations in their homes.

Take the initiative today and leverage Toronto’s Home Energy Loan Program to embark on a transformative journey towards a more sustainable, cost-effective, and environmentally conscious home. The array of upgrades made possible through this program is guaranteed to elevate the overall comfort and livability of your residence, creating a delightful living environment for both you and your loved ones. Together, we can make a substantial difference in our united endeavor to combat climate change. That said, if you’re ready to invest in a healthier, more efficient HVAC system, we invite you to continue reading.

Discover the Benefits of Toronto’s Home Energy Loan Program – HELP

To initiate our examination of Toronto’s Home Energy Loan Program (HELP), let’s start by highlighting several of its key advantages. By gaining a comprehensive understanding of these benefits, Toronto homeowners can make more informed decisions regarding the utilization of the Home Energy Loan Program to enhance the energy efficiency of their HVAC systems. Having said that, the HELP financing program encompasses the following key benefits:

• HELP offers homeowners an affordable and convenient method to finance home energy improvements over time while accessing rebates provided by the City of Toronto, the Province of Ontario, the Government of Canada, and utility providers.
• HELP provides substantial financial relief to homeowners by eliminating the initial cost of upgrading to high-efficiency HVAC equipment to improve the efficiency of their HVAC systems.
• HELP provides Toronto homeowners with a low-interest loan of up to $125,000 towards home energy improvements with cheaper interest rates and longer repayment durations of up to 20 years on qualifying measures.
• HELP funding is directly linked to homeowners’ property tax statements. This ensures a seamless transfer in case of property ownership changes.
• HELP provides Toronto homeowners with the flexibility to pay off their loans at any point during the loan term, without incurring any penalties.
• HELP enables all qualified homeowners to apply for an additional $5,600 in incentives per participant for home evaluations and energy-efficient retrofits, through increased financing options and activities.
• HELP can be combined with various energy-saving rebates and incentives, notably the Canada Green Home Grant, allowing homeowners to maximize their benefits and savings.
• HELP allows homeowners to hire the contractor of their choice to complete the desired home energy improvements, upgrades, or renovations.

What Toronto’s HELP Program Really Offers

Let’s cut through the noise—Toronto’s Home Energy Loan Program (HELP) is all about making it easier for Toronto homeowners to upgrade their home enerrgy efficiency, save money, and help the environment at the same time.

Toronto first launched HELP program back in 2014, but they really stepped it up on July 7, 2022, rolling out new features and more funding. Still, the main idea hasn’t changed: the city wants to help you pay for energy-saving upgrades that actually make a difference—lowering emissions and fighting climate change, right from your own home.

Since kicking things off, Toronto’s gone even further. Now, with HELP program you can get interest-free loans with no money down, to upgrade your home with new boilers, water heaters, furnace, air-conditioners, heat pumps, and alot more. The city’s pushing these upgrades because they want more people to join in, cut down on hot water and gas use, and just make life a bit more affordable. At the end of the day, HELP isn’t just about loans or rebates—it’s about giving Toronto homeowners real tools to boost their home’s efficiency and keep more cash in their pockets.

HELP: How It Works

Starting July 7, 2022, if you are a Toronto homeowner, you can apply for the 0% Home Energy Loan Program (HELP) for a limited time. With HELP, you can borrow up to $125,000 for eligible home upgrades like energy-efficient windows, better insulation, HVAC and kitchen appliance, doors and more. The best part about this deal is that, this loan is available at “Zero Interest” and you can take up to 20 years to pay it back.

You can stretch your dollars even further by combining HELP with Canada’s Greener Homes Grant or similar programs. That means you could snag up to $5,600 more in rebates for getting your home assessed and making energy-saving retrofits and improvements.

To get started, you’ll need to sign a loan agreement with the City of Toronto. They’ll secure the loan with a lien on your property, so you’re on the hook for repayment. The maximum you can borrow is 5% of your home’s current value assessment. The money has to go toward approved energy efficiency or water-saving upgrades—nothing outside the program’s guidelines. Before you get the funds, a full home energy assessment will help pinpoint the best improvements for your place.

So, if you want to lower your utility bills and make your home more eco-friendly, HELP gives you a practical way to do it.

Upgrade options include:

• Air-source heat pumps
• High-efficiency water heaters
• High-efficiency furnaces/boilers/air conditioners
• Tankless water heaters

Taking this into account, the City of Toronto’s Home Energy Loan Program (HELP) works to provide qualified homeowners with the necessary funding to undertake home energy improvements. Homeowners can then repay the city through monthly installments on their property tax bill. Additionally, they have the flexibility to pay off the outstanding amount at any point during the loan’s term without incurring penalties, effectively clearing the loan from the property.

However, it is important to note that loan payments received through the property tax bill are treated the same as other loan payments, subject to the same penalties, remedies, and lien priority. Accordingly, regular payments on the property tax bill will be used to repay the City of Toronto, while the cost savings resulting from the energy retrofits will help offset the city’s monthly payments. Moreover, when applying for the HELP loan programs, homeowners should be aware of the fact that the loan repayment is attached to the property, not the owner. Therefore, if you sell your property before the loan is paid off, the new owner will assume responsibility for the loan balance and continue to make installment payments to the city.

NOTE: For more information, please contact homeenergyloan@toronto.ca or visit the HELP website. Additionally, it is worth noting that the interest rates and terms specified in the “Interest Rates and Terms” section below will be applicable if your project is already underway or if you need immediate financing.

HELP: Incentive Terms and Conditions

In accordance with the main objective of the HELP loan program, starting on July 7, 2022, homeowners who have been approved for the City’s Home Energy Loan Program will have the opportunity to apply for the following incentives:

• Rooftop solar PV
• Air-source heat pumps
• Deep retrofit projects aimed at substantially reducing a home’s greenhouse gas emissions.

HELP: Incentives

* Deep Retrofit incentives cannot be combined with other HELP incentives

It’s important to note that these incentives are offered for a limited duration and will cease once the funding allocation limit has been reached. Please refer to the important details provided below. Homeowners may also qualify for supplementary incentives on these measures through the Canada Greener Homes Grant and other grants or rebates from utility companies, where applicable.

HELP: Conditions for Heat Pump Incentives

In order to be eligible for the HELP program incentive, the heat pump model must be listed among the eligible products under the Canada Greener Homes Grant. That being said, if the product is not included in the list, it must have a minimum HSPF of 10 and a minimum SEER of 15 in order to qualify. Additionally, the heat pump must be new and possess an AHRI-certified reference number that covers all system components.

Furthermore, all equipment must be purchased within Canada. If purchased online, however, to be considered eligible, they must be from an online distributor based in Canada, such as Tropic Air. Finally, the attestation form submitted to the Canada Greener Homes Grant must verify that a qualified contractor has installed the mechanical or electrical equipment or system.

HELP: Terms for Heat Pump Incentives

Having said that, the heat pump incentive is available to eligible participants of the City of Toronto’s Home Energy Loan Program who have met all the program criteria outlined in the Property Owner Agreement. These incentives can be combined with the Canada Greener Homes Grant and other grants or rebates from utility companies, where permitted. That being said, it’s important to note that the incentive program will end once the funding envelope is fully subscribed during the funding request stage. Therefore, incentives are distributed on a first-come, first-served basis and will only be paid out upon submission and approval of the project completion report. This means that the city reserves the right to decline the incentive application if the resulting project does not meet the program’s criteria, terms, and conditions.

Furthermore, Toronto homeowners should be aware that the incentive applies to heat pump purchases with invoices dated on or after June 1, 2022. Additionally, the primary heating system of the home must have the capacity to adequately heat the entire home to 21°C throughout the heating season, and the installation of the new heat pump must adhere to the Heat Pump Best Practices Installation Guide for Existing Homes. To qualify, the total funding amount must be a minimum of $10,000 (including HST). Therefore, if the applicant applies for other incentive programs offered by the City of Toronto’s Home Energy Loan Program, the combined amount of incentives received cannot exceed 50% of the total funding amount.

NOTE: All upgrades must be carried out by a licensed contractor with an HST number and a valid Ontario business license for the specific trade. Heat pump installations require a contractor with a Residential Air Conditioning Systems Mechanic (313D) license; self-installations are not eligible for the incentive.

Breaking Down the Interest Rates & Terms of HELP

With a better understanding of Toronto’s Home Energy Loan Program (HELP) and its incentive terms and conditions, we will now delve into a more detailed exploration of the program’s interest rates and terms. This comprehensive breakdown builds on the information previously discussed, aiming to provide homeowners with a clear understanding of the financial aspects and contractual obligations involved in participating in HELP. By understanding these essential details, homeowners can take advantage of the financial benefits and loan options offered by HELP.

Taking this into account, Toronto homeowners seeking to enhance their HVAC system with high-efficiency equipment can take advantage of HELP’s low interest rates, starting as low as 0%, and customizable repayment options. These interest rates are fixed and will remain unchanged throughout the repayment period. With that in mind, to ensure a thorough comprehension of the rates and terms associated with the HELP loan program, we have provided a table below outlining the applicable rates and terms valid until June 30th, 2023.

According to the Home Energy Loan Program (HELP) guidelines, the following interest rate terms apply:

• A two percent (2%) administrative charge, reflecting the city of Toronto’s program administration costs, will be applied.
• The loan amount, which includes the funding, interest, and administrative charge, cannot exceed 10% of your property’s current value assessment (CVA) or $125,000, whichever is lower.
• The interest rates are fixed and will remain unchanged throughout the loan term.
• Homeowners have the convenience of repaying the loan through their property tax bill and have the flexibility to pay it off at any time.

Estimated Monthly Payment Rate (11 per year):

** 20-year amortization is only available for projects that include solar PV, geothermal installation, new windows, and/or heat pumps.

HELP: Eligibility Requirements

With a solid understanding of the interest rates and terms offered by Toronto’s Home Energy Loan Program (HELP), let us now explore the eligibility requirements that homeowners must meet to participate in this program. By delving into these requirements, we aim to provide a comprehensive overview of the criteria homeowners need to fulfill in order to access the financial benefits and assistance provided by HELP.

Taking this into consideration, the Municipality of Toronto has established eligibility criteria to ensure that only qualified homeowners who can fulfill the repayment terms have access to the funding provided through HELP. To that end, homeowners in Toronto who are interested in home energy improvements, such as installing high-efficiency water heaters, installing  new high-efficiency furnaces, boilers, replacing old air-conditioners, and tankless water heaters, may be eligible for a low-interest loan through HELP, provided they fulfill the following criteria:

• Homeowners must own a detached, semi-detached, row, townhouse, duplex, triplex, or a home with up to three levels and fewer than six units (the postal code must begin with an “M”). Currently, strata condominium units are ineligible.
• All property owners on the title have agreed to participate in the initiative.
• Homeowners must not have any late property tax or utility payments to the city for the past five years.

NOTE: If you’ve got a mortgage on your home, your lender will send you a Lender Consent Form after approving your application. And here’s a bonus: if you own a home in Toronto, you can pair the Home Energy Loan Program (HELP) with all sorts of energy rebates and incentives—from the City of Toronto, Ontario, the federal government, and even your utility company.

HELP: How to Apply

Okay, so now you know if you’re eligible for HELP.

Now let’s talk about actually applying and securing the benefits. If you’re a Toronto homeowner, understanding this process really helps—no one likes paperwork surprises, right? The whole point of HELP is to make energy upgrades easy and affordable, so here’s a simple, step-by-step guide to get you through the application.

First up, the application itself. It’s all online and pretty straightforward. Fill it out, upload your documents, and you’re off to a good start. After you hit submit, the city reviews everything. Once they give you the green light, you sign a loan agreement with Toronto, which lets you move forward with projects that boost your home’s energy efficiency or save water.

Here’s how it all breaks down:

STEP 1:

Once your application is approved, the city sends you a financing offer. This tells you exactly how much you can borrow through HELP.

STEP 2:

Book a home energy evaluation with a certified advisor (they’re approved by Natural Resources Canada). After your advisor checks out your place, you’ll get a report on what upgrades make sense and how much they’ll cost. Send that report to the city.

STEP 3:

If the city okays your request, you get a Purchase Agreement (POA) to review and sign. Once you send it back, the city might advance you up to 30% of your funding so you can get started.

STEP 4:

After your project’s done, schedule another energy evaluation to get your new EnerGuide rating. Then, send the city your project completion report, signed by your advisor, along with your contractor’s invoices and that new EnerGuide label.

STEP 5:

That’s it! The city lets you know when your loan payments begin. Payments are easy—they just add them to your property tax bill in 11 monthly installments each year. For all the details, check the chart in the “Interest Rates and Terms” section above.

Get More Savings & Comfort from Your HVAC Systems Today with HELP

In short, HELP gives Toronto homeowners a smart, straightforward way to upgrade their homes—especially when it comes to high-efficiency HVAC systems. The program is made for people who want to cut energy use, lower emissions, and do their part for the environment. When you work with licensed Toronto HVAC pros like Tropic Air, you don’t have to figure it out alone. Tropic Air covers everything from new Installs to emergency furnace repairs and ongoing maintenance, so you’ve got expert help every step of the way.

With HELP, you can use less energy, shrink your carbon footprint, and make your home more comfortable and efficient. It’s a real, practical way to help the planet—one home at a time. And when you team up with a company like Tropic Air, you can be sure your upgrades are done right and make a real difference.