For the year 2012, the Federal Government is offering a tax credit for the purchase of geothermal heat pumps, small residential wind turbines, and solar energy systems including solar water heaters.

This tax credit will expire on December 31, 2016, and will cover thirty percent of the cost with no limit. The only restriction is that the products purchased must be for an existing or new construction home that is a main residence or second home, and unfortunately rental properties do not count.

Although Energy Star qualified products may cost more initially than a standard model in the long run they will result in lower energy bills. The savings from these energy-efficient products can add up to thousands of dollars over the life of the unit.

Check out the Energy Star website to learn more about the Energy Star tax credits for 2012