A $963,600 Maryland grant will fund all-electric, ground-source geothermal heat pumps in 73 homes at the Hemlock Grove development in Grantsville, reducing upfront installation costs with $12,000 per home and a $190,530 land trust contribution. The project—27 single-family homes and 46 townhomes—aims to lower utility bills and carbon emissions, with estimated savings of about $1,039 per household annually and nearly 2,833 tons of CO2 avoided over 10 years. Sales for the first 16 homes begin in August 2026, and the development is expected to be complete in fall 2028.
Maryland Funds Geothermal Heat Pumps For 73 Affordable Homes In Garrett County
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A $963,600 Maryland state grant will pay to install all-electric, ground-source geothermal heat pump systems in all 73 homes planned for the Hemlock Grove Housing Project in Grantsville, Garrett County. The initiative aims to lower both up-front purchase barriers and long-term utility costs for working families.
Funding, Costs and Timeline
The Maryland grant provides $12,000 per home to cover much of the upfront cost of geothermal installation. The Garrett County Maryland Affordable Housing Land Trust has committed an additional $190,530 to ensure buyers are not left covering the remaining cost difference between natural gas heating and the cleaner systems.
Hemlock Grove is planned to include 27 single-family homes starting at $249,000 and 46 townhomes starting at $189,000—below the local median home values, which range from about $328,000 to $429,000. Sales for the first 16 homes are expected to begin in August 2026, and the full development is scheduled for completion in fall 2028.
What The Geothermal Systems Will Deliver
Ground-source heat pumps use the relatively stable temperature of the ground to provide efficient heating, cooling and domestic hot water. In a cold-climate county like Garrett, that reliability can translate into more consistent indoor comfort and predictable energy bills for homeowners.
Projected Benefits
- Estimated annual utility savings of about $1,039 per household (approximately $10,390 over 10 years).
- Each home is expected to avoid roughly 3.88 tons of CO2 per year—about 2,833 tons avoided across the development over a decade.
- The project is forecast to replace over 391,000 therms of fossil fuel use in 10 years.
- Geothermal systems could reduce winter stress on the electrical grid by up to 73% and lower peak summer electricity demand by 23%.
Partnerships And Broader Impact
Before the geothermal grant, planners had already secured roughly $4 million for core infrastructure (roads, water and sewer). Project organizers are coordinating with local lenders, nonprofits and buyer-assistance programs—including possible down-payment grants from Garrett County Community Action—to expand access to homeownership for working families.
If the development meets expectations, Hemlock Grove could serve as a replicable model for other rural communities addressing the twin challenges of limited affordable housing and high, year-round household energy costs.
"Hemlock Grove is proof that we do not have to choose between affordability and environmental excellence," said a representative of the Garrett County Maryland Affordable Housing Land Trust. "Thanks to the MD GAP grant, local working families will gain equity in high-performance, comfortable homes with permanently suppressed monthly energy costs."
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