The Better Homes Ottawa Loan Program (BHOLP) is a City of Ottawa loan program for home energy efficiency retrofits. It aims to support local residents to reduce energy consumption and greenhouse gas emissions.
This program offers low-interest, 20-year loans of up to $125,000 (or 10 percent of the current value assessment of the home, whichever is less) to cover the cost of home energy improvements. Eligible measures include thermal envelope upgrades, mechanical systems, renewable energy, EV chargers (Level 2), and the addition of rental suites (up to a maximum of 30% of the value of the loan).
With low-interest, 20-year loans that are tied to the property, not the individual, the Better Homes Ottawa – Loan Program makes it easier and more affordable for homeowners to pay for these home improvements over time. The minimum loan amount which will be issued to an applicant is $10,000.
The BHOLP was launched in November 2021 with a total of $8 million in zero-interest loans and $4 million in low-interest loans (3.25% interest) – these funds are being disbursed to the first round of applicants. On June 30, 2022, the City of Ottawa recapitalized the Better Homes Ottawa Loan Program by securing a $15 million loan agreement with VanCity Community Investment Bank. This will allow an estimated 500 residents of Ottawa to access fixed rate (4.33% interest), 20-year loans from the City to undertake energy efficiency retrofits and other home improvements.
- Complete a pre-retrofit EnerGuide assessment. This assessment provides an NRCan EnerGuide rating for the home and recommends improvements that are customized for the home. Apply here.
- Complete the Better Homes Loan Program Application Form.
- If the homeowner’s Better Homes Loan Program Application Form meets all requirements of the program, the homeowner is issued a Notice to Proceed. Here, the homeowner receives a Better Homes Loan Program File Reference Number.
- The homeowner can apply to any rebate programs they may be eligible for and get estimates from the contractor(s). Eligible costs are those that are incurred after the Notice to Proceed is issued.
- Submit your Funding Request Form. At this stage of the process, a homeowner can choose to request 50% of funds upfront to cover deposits.
- Complete a post-retrofit EnerGuide assessment after the retrofit projects. This assessment provides an updated EnerGuide rating for the home. Apply here.
- Sign the Property Owner Agreement and submit a Project Completion Report.
- The City of Ottawa provides the balance of the loan to the homeowner that they can use to pay the contractor(s).
- The homeowner repays the loan over time via their property tax bill. A homeowner can choose to pay off the loan in a lump sum at any point without penalty.
- Participation in the program is voluntary and homeowner initiated. Eligibility requirements are as follows:
- Residential, detached, semi-detached, townhouse, residential multi-unit buildings of 3 stories or less, that fall under Part 9 of the Ontario Building Code
- The property must have a property tax account with the City of Ottawa.
- Property tax, utility bills and all other payment obligations to the City of Ottawa for the past five years must be in good standing. If it is not, the homeowner must submit a suitable credit check.
- The property must not be in either CHMC’s Mortgage Deferral Program or the City’s Tax Deferral Program.
- All registered owner(s) of the property must sign a consent form agreeing to participate in the Program.
- You will receive all necessary forms once you have contacted Homesol Building Solutions.
