Built to Save® Builder Rebates and Incentives in Texas — What Is Available in 2026
Building to the Built to Save® standard pays off beyond the sale. Certified builders in the Rio Grande Valley can access three separate incentive sources — a utility rebate from MVEC, program incentives through AEP Texas, and a federal tax credit worth up to $5,000 per home. Each reward your commitment to verified energy performance, and the right combination can add real margin to every home you close.
Three Ways Builders Earn More From Certified Homes
Built to Save® certification opens the door to incentives at the state, utility, and federal level. Here is a quick picture of each:
- MVEC rebates — Magic Valley Electric Cooperative offers rebates to builders whose homes earn Built to Save® certification. Contact MVEC for current program rates.
- AEP Texas High-Performance Homes incentives — Builders who exceed energy code requirements by at least 5% qualify for financial incentives through AEP Texas, with additional rewards for select equipment upgrades.
- 45L federal tax credit — The IRS pays builders directly: $2,500 per ENERGY STAR certified home or $5,000 per DOE Zero Energy Ready home, claimed via IRS Form 8908.
The sections below explain how each program works, what you need to qualify, and how to pursue all three on a single home.
MVEC Rebates for Built to Save® Certified Builders
How MVEC Rebates Work
Magic Valley Electric Cooperative sponsors the Built to Save® program and backs that sponsorship with direct financial rewards for participating builders. When a home earns Built to Save® certification, MVEC rebates part of the cost back to the builder — recognizing the investment in materials, testing, and verified performance.
MVEC sets rebate amounts based on current program budgets and efficiency thresholds. Because those figures can change each program year, call 956-778-3590 or visit magicvalley.coop for the rates in effect before you break ground.
Who Qualifies
To receive MVEC rebates, builders must:
- Build within MVEC service territory
- Achieve Built to Save® certification on the home (HERS/ERI score of 63 or lower, or 5% better than 2015 IECC minimum)
- Work with a who conducts the required testing and submits documentation
Builders not yet enrolled in the program should start with before contacting MVEC about rebates.
AEP Texas High-Performance Homes Program Incentives
How the AEP Texas Program Works
AEP Texas runs a High-Performance Homes program that pays builders for constructing homes that perform measurably better than standard code. The baseline requirement is a minimum 5% reduction in projected kWh usage compared to the energy code baseline. Builders who hit that threshold qualify for the core incentive, and specific equipment upgrades trigger additional payments on top.
The AEP Texas program rewards these qualifying measures with added incentives:
- 15.2 SEER2 air conditioning systems or higher
- Quality insulation installed to manufacturer specs and verified by a rater
- Heat pump water heaters
- ENERGY STAR certified smart thermostats
- EV charging-ready circuits or installed EV chargers
Requirements for RGV Builders
RGV builders pursuing AEP Texas incentives must serve homes in AEP Texas service territory. The home’s projected energy use must be modeled and verified by a qualified energy rater — the same third-party verification process that Built to Save® already requires.
AEP Texas sets program terms annually. Confirm current requirements and available incentive tiers directly with AEP Texas before committing to a spec package.
How Built to Save® Certification Relates to AEP Texas Incentives
Built to Save® certification and AEP Texas High-Performance Homes incentives target the same construction quality — verified energy performance above code. A home built to the Built to Save® standard will often satisfy the AEP Texas performance threshold without additional changes.
The testing and documentation your RESNET-certified rater produces for Built to Save® certification can support your AEP Texas application. Work with your rater early to confirm both programs get what they need from a single inspection cycle. Learn more about what certification requires at .
The 45L Federal Tax Credit — Up to $5,000 Per Home
What the 45L Credit Pays Builders
The 45L New Energy Efficient Home Credit is a federal income tax credit that goes directly to the builder — not the buyer. The IRS introduced enhanced credit amounts under the Inflation Reduction Act, and those amounts apply to homes sold or leased through at least 2032:
| Certification Level | 45L Credit Amount |
|---|---|
| ENERGY STAR certified home | $2,500 per home |
| DOE Zero Energy Ready Home | $5,000 per home |
These are tax credits, not deductions. A $5,000 credit reduces your tax bill by $5,000, dollar for dollar. For a builder closing 20 certified homes in a year, that is up to $100,000 in federal tax credits.
How to Qualify and Claim It
To claim the 45L credit, builders must:
- Build a new residence that meets the applicable certification standard
- Sell or lease the home during the tax year for which the credit is claimed
- Obtain the required certification from a qualified third party (for ENERGY STAR, this is the same RESNET rater who conducts your test)
- File IRS Form 8908 with your federal tax return
The 45L credit is a builder credit — it does not transfer to the buyer and does not affect the buyer’s tax situation. You do not need to share it or disclose it as a home price discount.
For full details on eligibility and documentation, read or consult a tax professional who works with residential builders.
Stacking All Three — A Combined Incentive Example
A single Built to Save® certified home in the Rio Grande Valley can qualify for all three incentive sources at once. Here is what that looks like with realistic figures:
| Incentive Source | Estimated Amount |
|---|---|
| MVEC builder rebate | Contact MVEC for current rates |
| AEP Texas High-Performance Homes incentive | Varies by measures installed; contact AEP Texas |
| 45L federal tax credit (ENERGY STAR level) | $2,500 per home |
| 45L federal tax credit (DOE Zero Energy Ready) | $5,000 per home |
The exact MVEC and AEP Texas amounts depend on current program budgets and the specific efficiency measures in your build. But the 45L credit alone puts $2,500–$5,000 back per home without any application process beyond your tax filing.
Builders should verify with MVEC and a tax professional which combinations are allowable before treating any incentive as guaranteed income. Program terms change, budgets run out mid-year, and some utility programs limit stacking with federal credits.
Important: Incentive amounts and program terms change. Verify current rates directly with MVEC at magicvalley.coop or call 956-778-3590 before making financial decisions.
Frequently Asked Questions — Builder Incentives
Can I stack the 45L tax credit with MVEC rebates?
In most cases, yes. The 45L credit is a federal tax credit claimed on your return, while MVEC rebates are utility program payments. These are separate programs with separate governing rules, and builders typically access both. Confirm with your tax professional and MVEC before assuming a specific combination is permitted.
Are AEP Texas incentives available to builders outside MVEC territory?
Yes. AEP Texas serves a large portion of South Texas, and its High-Performance Homes program applies to builders in AEP Texas service territory regardless of which electric cooperative serves the neighborhood. MVEC rebates, however, apply only within MVEC territory. Some builders will qualify for both; others may qualify for only one utility-level program.
How do I apply for MVEC rebates as a Built to Save® builder?
Start by completing Built to Save® certification on the home. Your RESNET-certified rater submits the required documentation as part of the certification process. Once certification is issued, contact MVEC at 956-778-3590 or to initiate the rebate claim. MVEC will walk you through current documentation requirements.
Do the incentive amounts change each year?
Yes. MVEC rebates and AEP Texas incentive levels are set by each utility’s program budget and can change annually or even mid-year when funds run out. The 45L credit amounts are written into federal law through 2032, making them the most stable of the three. Always verify MVEC and AEP Texas amounts at the start of each build season.
Do I need to be an active Built to Save® builder to access these rebates?
For MVEC rebates tied to Built to Save® certification, yes — the home must earn certification, which requires working through the Built to Save® program. The 45L credit and AEP Texas program have their own enrollment and certification requirements that do not depend on Built to Save® directly, but the Built to Save® certification process satisfies many of the same underlying requirements.
Start Earning More on Every Home You Build
Built to Save® certified builders access rebates, utility incentives, and federal tax credits that builders outside the program leave on the table. The certification process is straightforward, and your RESNET-certified rater handles most of the documentation.
to get started. For questions about current MVEC rebate amounts or program eligibility, call 956-778-3590 or email .
Become A BUILT TO SAVE® Builder
BUILT TO SAVE® program doesn’t require the builder to jump through hoops to meet extensive construction requirements or focus on non-energy saving items that would be more appropriate for building “green.” The program also provides generous incentives from Magic Valley Electric Coop (MVEC) to the builders for homes in MVEC territory that can be used to offset the cost of inspections.
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