Cash for Clunker Appliances

Whether you are buying or building a brand new home, you may be able to take advantage of the government's Cash for Appliances program to help you purchase new appliances for your new house.

Recently, U.S. Department of Energy Secretary Steven Chu announced that the state-run rebate program is designed to support the nation's economic recovery.

"Appliances consume a huge amount of our electricity, so there's enormous potential to both save energy and save families money every month," said Secretary Chu. "These rebates will help families make the transition to more efficient appliances, making purchases that will directly stimulate the economy and create jobs."

Here are some important things you need to know about this program:

• Every state gets to specify which ENERGY STARŪ certified appliance categories are available for its residents and the rebate level for each product type. Furthermore, each participating state must develop a plan for recycling consumer's old appliances, and determine exactly how the rebates for business owners will be processed.
• When the program officially launches, possibly early November, $300 million of stimulus funds from the American Recovery and Reinvestment Act will be available for consumers who wish to trade their less energy-efficient appliances, for state-of-the-art brand new appliances.
• Although the new energy efficient appliances program is managed by the U.S. Department of Energy on an administrative level, participating businesses must follow the state level requirements and limitations.
• Eligible appliances will provide consumers with between $50 and $200 towards the purchase of high-efficiency appliances, including dishwashers, boilers, freezers, refrigerators, washing machines, dryers, furnaces, water heaters, and air-conditioning units. All fifty states have applied for the program, meaning that everyone from New York to Hawaii will be able to take advantage of this stimulus program.

	If you are looking to buy or build your first home, there couldn't be a better time than now. The selection of available homes and small stock house plans can't get much better, interest rates are low and the government is offering an $8,000 federal tax credit for first time buyers who can seal the deal before December '09. There are also other tax advantages: you are able to deduct the cost of your mortgage loan interest and property taxes.