Important Disclaimer
This article reflects Solar X's interpretation of publicly available information about Hamilton's Better Homes program as of 2026-04-09. Program details are subject to change. Verify all details directly with the City of Hamilton: betterhomes@hamilton.ca | 905-546-2424 ext. 3916 | hamilton.ca/betterhomeshamilton
Hamilton Better Homes: Energy Retrofit Financing (Not Solar)
The Better Homes Hamilton program provides up to $20,000 in LIC financing at a 0% introductory rate for eligible energy retrofits. Eligible measures include heat pumps (ASHPs, mini-splits), insulation, and air sealing. Solar PV, battery storage, and EV chargers are NOT eligible measures. Repayment is through your property tax bill over 10 or 15 years. One loan per property owner.
What Is the Hamilton Better Homes Program?
The Better Homes Hamilton (BHH) program provides low-barrier access to upfront capital for property owners to retrofit buildings to reduce greenhouse gas emissions, improve energy efficiency, and increase home comfort. Unlike traditional loans, Local Improvement Charge (LIC) loans are attached to the property rather than the property owner, preventing participants' personal debt from rising.
Council approved the program design in May 2023, including provision of $1 million for LIC loans to up to 50 residential properties. The original pilot intake opened December 1, 2023 and closed February 1, 2024. As of April 2026, by-law enactment for LIC charges is ongoing (March 30, 2026 public notice), and the official program page was updated February 4, 2026 — suggesting institutional progress toward a possible future phase, though no new intake has been officially announced.
For Hamilton homeowners considering energy retrofits, Better Homes addresses the single largest barrier to adoption: upfront capital costs. The 0% introductory rate eliminates interest expense, the LIC structure doesn't impact personal credit, and the loan transfers with the property if you sell.
| Program Detail | Information |
|---|---|
| Financing Type | LIC / PACE (Local Improvement Charge) |
| Administering Body | City of Hamilton |
| Maximum Loan | $20,000 per property |
| Interest Rate | 0% introductory rate |
| Repayment Term | 10 or 15 years (depending on loan amount), via property tax bill |
| Loans Per Owner | One loan per property owner |
| Pilot Capacity | 50 homes / $1 million total |
| Program Status | Original pilot closed Feb 2024. By-law enactment ongoing. Future intake TBD. |
| Eligible Properties | Detached, semi-detached, townhomes within Hamilton |
| Credit Check Required | No — tied to property, not owner |
| Transferable on Sale | Yes — LIC transfers to new owner |
Eligible Measures Under Better Homes Hamilton
Building Envelope
- Air sealing and draft proofing
- Attic insulation
- Basement insulation
- Wall insulation
Mechanical Systems
- Air source heat pumps (ASHP)
- Ductless mini-split heat pumps
- Hybrid ASHP systems
- Smart thermostats
Supporting Infrastructure
- Ductwork modifications (only when required for ASHP installation)
- Breaker panel upgrades (only when required for ASHP installation)
Assessments & Permits
- Pre- and post-retrofit energy assessments
- Required building permits
NOT Eligible Under Better Homes Hamilton
- ✕Solar panels (photovoltaic systems)
- ✕Battery storage systems (e.g., Tesla Powerwall)
- ✕EV charging stations
Solar panels and battery storage can be financed separately through other programs such as Ontario's HRSP or traditional financing. Contact Solar X for options.
Financing Terms: How the LIC Model Works
| Factor | Better Homes (0% introductory) | Traditional Loan (7%) |
|---|---|---|
| Loan Amount | $20,000 | $20,000 |
| Monthly Payment (15 yr) | ~$111/month | ~$180/month |
| Monthly Payment (10 yr) | ~$167/month | ~$232/month |
| Total Repayment | $20,000 | $27,840–$32,400 |
| Interest Cost | $0 (introductory) | $7,840–$12,400 |
| Credit Check | No — tied to property | Yes — credit score required |
| Impact on Debt-to-Income | None | Increases DTI ratio |
| If You Sell | Transfers to new owner | Must pay off balance |
Eligibility Requirements
Eligible Properties
Eligible
- Detached homes
- Semi-detached homes
- Townhomes
- Owner-occupied primary residences
- Rental properties (see conditions below)
Ineligible
- Mid-rise and high-rise condos
- Commercial/industrial properties
- Properties outside Hamilton city limits
- Properties with tax arrears
Rental Property Conditions
- • Renovations cannot require tenant displacement
- • Landlords cannot pass LIC repayment costs onto tenants
- • A tenant notification package must be provided
One loan per property owner — owners cannot take Better Homes loans on multiple properties.
Program Status & Timeline
| Date | Event |
|---|---|
| May 2023 | Hamilton City Council approved program design ($1M for 50 homes) |
| Dec 1, 2023 | Original pilot intake opened |
| Feb 1, 2024 | Original pilot intake closed — all applicants notified of outcome |
| Jan 2026 | Council staff report PED26005 confirms program moving through institutional steps |
| Feb 4, 2026 | Official program page (hamilton.ca/betterhomeshamilton) updated |
| Mar 30, 2026 | Public notice of by-law enactment for LIC charges |
| Future TBD | No new intake officially announced — monitor City website for updates |
How Solar X Can Help Hamilton Homeowners
While solar PV is not eligible under Better Homes Hamilton, Solar X provides services that align with both the program's eligible measures and broader home electrification goals:
ASHP & Mini-Split Installation (Eligible Under Better Homes)
Solar X installs air source heat pumps and ductless mini-split systems — eligible measures under Better Homes Hamilton. Reduce heating costs by 40–60% compared to furnace/baseboard heating.
Solar Panel Installation (Separate Financing)
Solar PV is not covered by Better Homes, but can be financed separately. Ontario’s HRSP provides up to $5,000 for solar + $5,000 for battery storage. Traditional financing, LIC programs in other municipalities, and cash purchase are also available.
Whole-Home Electrification Strategy
The most effective approach: use Better Homes to fund a heat pump (eliminating gas heating), then separately install solar to offset your new all-electric energy consumption. This maximizes both programs and delivers the deepest emissions reductions.
Environmental Impact
Based on preliminary estimates, each applicant can realize about 60% total reduction of greenhouse gas emissions, or approximately 2.9 tonnes of CO2 equivalent, for a medium-sized single-family detached home through eligible energy retrofits.
The Better Homes program supports Hamilton's Community Energy & Emissions Plan (CEEP), which targets retrofitting 100% of existing homes to achieve 50% energy efficiency savings by 2050. The current pilot is a proof of concept — successful deployment could lead to expanded funding, higher loan limits, and broader eligibility.
How to Prepare: Step-by-Step
Check Program Status
Contact the City of Hamilton to confirm whether a new intake is open or planned: betterhomes@hamilton.ca | 905-546-2424 ext. 3916 | hamilton.ca/betterhomeshamilton.
Schedule a Home Energy Assessment
Arrange a pre-retrofit energy assessment with a Registered Energy Advisor to identify the most impactful eligible measures for your home.
Get Contractor Quotes for Eligible Measures
Obtain quotes from licensed contractors for ASHPs, mini-splits, insulation, or air sealing. Solar X installs heat pumps and mini-splits in Hamilton. All work must be performed by licensed professionals.
Gather Documentation
Assemble your recent property tax bill (good standing), last 12 months of energy bills, property survey, and homeowner identification.
Submit Application When Intake Opens
Submit via the City of Hamilton portal when a new intake is announced. Upload all documentation and request a Program Coach consultation. Early submission is critical given limited pilot capacity.
Execute Agreement & Complete Work
After City approval, sign the Property Owner Agreement. Contractor completes eligible retrofits and required inspections. Submit completion documentation. LIC registered on your property tax account.
Important: Do NOT purchase equipment, begin installation, or sign contracts with deposits before program funding is confirmed. The program requires quotes and approvals BEFORE work begins.
Frequently Asked Questions
What measures are eligible under Better Homes Hamilton?
Eligible measures include: building envelope (air sealing, attic/basement/wall insulation), mechanical systems (air source heat pumps, mini-splits, hybrid ASHPs, smart thermostats), supporting infrastructure (ductwork and breaker panel upgrades only when required for ASHP installation), and assessments/permits.
Can I finance solar panels through Better Homes Hamilton?
No. Solar PV installations, battery storage systems, and EV charging stations are NOT eligible measures under Better Homes Hamilton. Solar can be financed separately through Ontario’s HRSP, traditional financing, or other programs. Contact Solar X for available options.
Is the program currently accepting applications?
The original pilot opened December 1, 2023 and closed February 1, 2024. As of April 2026, by-law enactment for LIC charges is ongoing and the official page was updated February 2026, suggesting institutional progress. No new intake has been officially announced. Monitor hamilton.ca/betterhomeshamilton for updates.
What are the repayment terms?
Up to $20,000 per eligible residential property at a 0% introductory rate. Repayment over 10 or 15 years (depending on loan amount and agreement), through your property tax bill. The LIC transfers to the new owner if you sell.
Can I take out loans on multiple properties?
No. The program limits one loan per property owner.
Does Better Homes affect my mortgage or refinancing?
No. LIC charges are not included in debt-to-income ratio calculations. They are municipal charges, not personal debt, and do not appear on credit reports or affect your credit score.
What happens if I sell my home before the LIC is paid off?
The remaining LIC balance transfers to the new property owner at the time of sale. The buyer inherits both the energy retrofit improvements and the remaining payments on their property tax bill.
Can I use Better Homes for rental properties?
Yes, with conditions: renovations cannot require tenant displacement, landlords cannot pass LIC costs to tenants, and a tenant notification package must be provided. Verify current rental eligibility requirements with the City of Hamilton.
Planning a Hamilton Energy Retrofit?
Solar X installs heat pumps, mini-splits, solar panels, and battery storage in Hamilton. Whether you're planning a Better Homes-eligible retrofit or a separate solar installation, we can help.
Free consultation — no obligation. We'll help you identify the best combination of programs and financing for your home.
Serving Hamilton, Dundas, Ancaster, Stoney Creek, Waterdown, Binbrook, Glanbrook, Flamborough & all surrounding areas
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Disclaimer: This article is for informational purposes only and reflects publicly available information as of 2026-04-09. Program details, eligible measures, and application status are subject to change. Verify all information directly with the City of Hamilton before making financial decisions: betterhomes@hamilton.ca | 905-546-2424 ext. 3916.