Fannie Introduces Loan Option for Energy-efficient Home Upgrades
Fannie Mae recently introduced a new program called HomeStyle Energy mortgage to help borrowers make energy and water energy efficient upgrades to their home.
The new loan will enable home owners to finance energy upgrades when purchasing new property or refinancing their current home. Condo owners may also apply for the said loan.
Borrowers can receive as much as 15% of the appraised value of the home they are purchasing or upgrading. If you want to apply for the said loan to make upgrades, you have to prepare an energy report. Without a report, borrowers can only apply for financing $3,500 worth of water efficiency upgrades.
“The National Association of Home Builders has found that energy efficient features are highly desired by home owners, and we are committed to helping lenders serve these customers.”
Carlos Perez, the Fannie Mae Senior Vice President and Chief Credit Officer for single-family, explains that the HomeStyle Energy mortgage program was designed to help borrowers pay off debts incurred due to energy improvements in their home. It is also ideal for home owners who want to make their homes more comfortable and practical. The program applies to all Fannie Mae-approved lenders.
To know more about the HomeStyle Energy mortgage program, please click here.