Home Insulation

Disclaimer: The information provided on this page is for educational purposes only. Please consult a qualified tax advisor or licensed contractor for personalized advice.

Keep warm in the winter and cool in the summer in a well-insulated home

If you’re a Nevada resident looking to lower your energy bills and keep your home comfortable year-round, improving your home’s insulation can make a big difference. 

Home insulation acts as a thermal barrier, slowing the transfer of heat between the inside and the outside of your home. During winter, it keeps warm air in, while in summer, it prevents hot air from infiltrating your cool indoor space. 

For most homes in the U.S., heating and cooling make up roughly half of your total energy use. In Nevada, where temperatures can swing from very hot summers to chill winters, this share can be even higher. Upgrading home insulation is especially important for older homes, which often have outdated insulation or inefficient HVAC systems.

Through the Inflation Reduction Act, the federal Energy Efficient Home Improvement Credit provides a 30% tax credit for insulation, air sealing, doors, and windows. Additionally, upcoming state-level rebates will provide incentives for weatherization upgrades. These upgrades can reduce the energy load from heating and cooling, leading to greater savings on your energy bill.

How does insulation work?

Insulation comes in several different forms. It can be installed in rolls, blow-in fiber, boards, expanding spray, or pour-in-place. Similar to a jacket keeping in body heat, insulation helps keep in warmth during the winter. It also does the opposite and keeps cold air from escaping during the summer. 

Insulation is measured by “R-values,” which tells you how thick and dense the insulation is and can vary in cost. If your home already has insulation, a certified contractor can evaluate your home’s current R-value and recommend appropriate insulation. 

Depending on the area you live, certain R-values are suggested when adding insulation to insulated or under-insulated spaces. For Nevada, R-349 to R-60 is recommended for uninsulated attics and R38 to R49 is recommended for existing 3-4 inches of insulation in your attic. 

Homes without insulation or with insufficient insulation can experience much higher energy bills because the temperature outside is, by default, similar to the temperature inside. A home energy audit can help you better understand your home’s insulation needs, which is also eligible for a tax credit.

Choose a Way to Save

SaveEnergyNV connects Nevada residents to tax credits, rebates, discounts, and more to bring down energy costs. Unlock savings through electrification and energy efficiency today!

Frequently Asked Questions

How much can Nevadans save?

Upgrading your home’s insulation can lead to significant energy savings. According to the U.S. Department of Energy, on average, you can save up to 20% on your home’s heating and cooling costs, or up to 10% on its total energy costs, by adding insulation to attics, floors, and crawl spaces as well as by reducing unwanted air leaks around your house. 

The federal Energy Efficient Home Improvement Credit provides a tax credit for weatherization projects, covering up to 30% of the project costs up to $1,200. This tax credit resets yearly, meaning you can continue to make weatherization upgrades year after year and claim the tax credit for an eligible project. 

Other state-based programs that cover insulation costs are available: 

  • State-level rebates for weatherization projects will soon be available through the Governor’s Office of Energy with their Home Energy Rebates program. This program is expected to roll out in 2025. Check back here later for more information. 
  • Help of Southern Nevada offers a weatherization assistance program for low-income households, which covers the installation of solar screens, weather stripping, blowing insulation, and more. 
  • For NV Energy customers, the company’s PowerShift program offers up to $400 off weatherization projects, including wall, attic, and floor insulation.

Read more on similar energy efficiency improvements for your windows and doors.

Who qualifies for these rebates?

The federal Energy Efficient Home Improvement Credit is available to homeowners of all income levels but must be used toward a primary residence. New construction and rentals do not qualify. Anyone who meets these requirements and pays federal income taxes can claim the credit on their taxes. The credit also restarts each year, so homeowners are able to apply for new projects on their taxes each year.

The upcoming Home Energy Rebates program will be available for low-income and moderate-income households. Specific income thresholds and eligibility requirements will be decided by the Governor’s Office of Energy. Check back here in 2025 for more information. 

For customers looking to use NV Energy’s weatherization rebates, your project must be installed in a home within NV Energy’s service territory. Additional requirements can be found on their website.  

Help of Southern Nevada’s Weatherization Assistance Program is eligible for households whose annual gross income is at or below 200% of the federal poverty income guidelines. The program’s income eligibility requirements can be found here.

What qualifies for these discounts?

The Energy Efficient Home Improvement Credit covers insulation, air sealing, doors, and windows. To qualify, your new insulation must have an expected lifespan of at least five years and must meet the prescriptive criteria established by the International Energy Conservation Code (IECC) standard. 

Talk to your contractor at the beginning of your project to make sure your improvements will qualify for the credit. 

See more information about energy-efficient home improvements and residential clean energy property tax credits on the IRS website.

How to claim the insulation tax credit?

Keep track of your receipts for the project and invoices from contractors. If you use the Federal Energy Efficient Home Improvement Credit, complete IRS Form 5695 to claim your energy tax credit. Then, send the form with your yearly tax return. 

Remember, you can only claim this tax credit for energy upgrades for the year you finish your project.

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