Fix First HomeWhat home-upgrade rebates actually pay — and who you apply to.

Fix First Home › California › Equitable Building Decarbonization Direct Install Program

Equitable Building Decarbonization Direct Install Program focus areas only

Administered by the California Energy Commission, through three regional administrators.

Free heat pumps and efficiency upgrades, installed for low-income households at up to 80% of area median income. For now it serves only listed communities; an application for other communities is expected in late 2026.

source · verified 24 September 2026 · amounts in US dollars

What it pays

Rebate amounts by upgrade and condition
UpgradeConditionUp to
Heat pump for heating and cooling, heat pump water heater, or bothEvery home served gets at least oneFree
Induction stove, electric dryer, insulation, air and duct sealing, wiring and panel, and moreChosen after a home assessmentFree

When the work is done, at least two of space heating, water heating, cooking and clothes drying must be electric.

Who is eligible

homes
Single-family, multifamily, or manufactured and mobile homes built before 1 January 2020.
heating
Gas, propane or another fossil fuel as the main fuel for space or water heating.
income
A low-income household, up to 80% of area median income. In multifamily buildings, two-thirds of units.
location
An initial community focus area, or a community chosen later through an application process.

Initial community focus areas

  • Northern: Contra Costa refinery corridor, East and West Oakland, East Palo Alto, Humboldt County, Morgan Hill and Gilroy, North and South Sacramento, Richmond, East San Francisco.
  • Central: Bakersfield, Fresno, Los Banos, Modesto.
  • Southern: 36 areas, from Bell Gardens, Compton and Santa Ana to Indio, Lancaster and Victorville. The full list is on the source page.

Where the application goes

Each region has its own administrator, which screens households and schedules the contractors.

Where the application goes
If this is youApply here
Northern CaliforniaAssociation for Energy Affordability
Central CaliforniaCenter for Sustainable Energy
Southern CaliforniaCounty of Los Angeles

The thing most pages get wrong

It is described as a statewide free program. It is statewide in name, but its first phase serves only the listed focus areas, within eligible census tracts, and its first retrofits in those areas were expected in summer 2026. Everyone else waits for a community application process due in late 2026.

Where the money comes from

$339.25 million from the state and $154.25 million from the federal HOMES program, $493.5 million in all, by this page's count. The Energy Commission's own IRA page puts the HOMES share at $130.3 million, so its two pages disagree. State funding is subject to change by the Legislature.