From Brittany on May 4th, 2011 in Energy Efficiency
Lots of homeowners are interested in energy-efficient upgrades. Trends and studies point to it again and again. But how do people afford such upgrades in an economy like ours? Banks have tightened their purse strings, and federal rebates, though they reduce your costs, can’t extend as far as they should.
Yet help is on the way. A brand-new two-year pilot program was just announced by Department of Energy Secretary Steven Chu and U.S. Housing and Urban Development (HUD). Called PowerSaver Loans, the program will offer low-cost loans up to $25,000 for energy-efficient upgrades.
Typical costs for these upgrades vary by location, but you can get several price quotes by clicking here.
This includes all the energy-saving trades we specialize in at CalFinder:
Helping Those with Low Equity
The purpose of the PowerSaver program is to assist those without enough equity to secure a HELOC loan or other private consumer loans. According to HUD, priority goes to “borrowers who have the ability and motivation to take on modest additional debt to realize the savings over time from home energy improvements.”
In other words, they want you to recoup your investment through long-term energy-savings, rather than let you go broke from upgrades you weren’t prepared to finance. You should have good credit, debt that you can manage, and a minimum of home equity (“maximum 100% combined loan-to-value”).
Initially, the PowerSaver program will help about 30,000 homeowners get loans for their upgrades. But this may be expanded as interest grows. In addition, the pilot program will create over 3,000 jobs, which we all hope will become permanent.
If the average American home consumes twice as much energy than it needs, savings from energy-efficient upgrades will pay off sooner than later. And what better way to kick off National Home Improvement month than to get financing you can afford, seal up the envelope of your home and reduce your energy bills all at once?
Click here to find a contractor that can help.