Many
lending institutions recognize the financial burden high energy bills can place
on a family and offer incentives for the purchase of energy-efficient homes.
Both The Federal National Mortgage Association (Fannie Mae) and Federal Home
Loan Mortgage Corporation (Freddie Mac) encourage consideration of energy
costs by lenders in determining a buyer's eligibility for a loan.
Demonstrating that the energy bills for a home will be low allows the lender to increase the debt-to-income ratio and can help a family qualify for a loan (or increase the amount of their loan eligibility).
The benefit
to the lender is that more buyers qualify for loans and the value
of the loan is increased. In addition, the loan is more secure, since
homeowners in energy-efficient buildings will have lower monthly energy bills
and be better able to make mortgage payments. Lenders also appreciate
the fact that saving energy helps strengthen local economies that benefits
everyone.
