Step 1:
Start with your home’s “envelope” 

Your home’s thermal envelope includes everything that keeps heat in during the winter and out during the summer—like insulation, windows, and doors. Improving the envelope is one of the most effective ways to boost energy efficiency and comfort. 

Eligible upgrades include: 

• Insulation in your attic, walls, basement, or foundation 
• Air sealing (including caulking, weatherstripping, and air barriers) 
• ENERGY STAR® windows, skylights, and exterior doors 
• Associated upgrades such as ventilation, foundation drainage, and waterproofing 

Pro tip: Always complete envelope upgrades before replacing your heating or cooling systems—this ensures your new equipment is properly sized and more efficient. 

Step 2:
Rethink heating and cooling  

Once your home is well-sealed and insulated, the next step is to upgrade your mechanical systems. These are the systems that control your indoor climate year-round. 

Eligible upgrades include: 

• Air source or ground source heat pumps (for heating and cooling) 
• Smart thermostats and controllers 
• Heat recovery ventilators (HRVs) and energy recovery ventilators (ERVs) 

These technologies help you maintain a more stable indoor temperature, reduce your energy use, and improve indoor air quality. 

Pro tip: The best time to replace equipment is at the end of its usable life. Planning ahead can help you avoid unexpected breakdowns and make a smarter investment.

Step 3:
Make your water heating system more efficient 

Hot water is one of the biggest energy users in most homes. Upgrading to a high-efficiency system can make a real difference, without changing your day-to-day habits. 

Eligible upgrades include: 

• High-efficiency electric water heaters, including heat pump water heaters 
• Drain water heat recovery systems, which capture heat from used water to pre-warm your incoming water supply 

Step 4:
Add renewable energy and smart tech 

If your home is already efficient, you can go further by adding renewable energy and smart technology that helps you generate and store clean power. 

Eligible upgrades include: 

• Solar photovoltaic (PV) systems 
• Battery storage devices to store solar energy 
• Energy-efficient lighting and lighting control systems 
• Certified smart products that help improve performance, like a Whole-Home Energy Monitor 

These tools help you reduce energy use without sacrificing comfort—and give you more control over how and when energy is used in your home.  

Step 5:
Consider Other Eligible Improvements 

The Better Homes Peterborough Loan Program also covers a range of additional upgrades that support energy efficiency and climate resilience. These upgrades are eligible for up to 30% of the total loan amount. 

Examples include: 

• Electrical upgrades (wiring or service panel improvements) 
• Level 2 EV charging stations 
• Low-flow water fixtures and back-flow prevention valves 
• Cosmetic work related to your energy retrofit (e.g. drywall repair, asbestos removal, repainting) 

Pro tip: Always start with a Home Energy Assessment before making any changes. It’s required for loan eligibility and provides a detailed plan for your retrofit journey.