7/26/2019 Solar Photovoltaics - Loan

http://slidepdf.com/reader/full/solar-photovoltaics-loan 1/3

 

OFFIC E OF ENERGY EFFICIENCY & R ENEWABLE ENERGY OFFIC E OF ENERGY EFFICIENCY & R ENEWABLE ENERGY 

Homeowners can make energy efficiency and

renewable energy upgrades with PowerSaver loans.

Photo from AstroPower, NREL 12347.

e PowerSaver loans provide three financing options—including mortgage refinancing—for homeowners to make home

ergy efficiency and renewable energy upgrades or improvements. Low-interest loans and reduced loan fees can provide

st-effective results, especially when working with local partners and utilities that sometimes offer large rebates.

ploring PowerSaver loans can lower a home’s energy cost and increase home comfort. PowerSaver also provides a

oduct that allows for a mortgage or home refinance [203(k) loan].

r a two-page summary, see the PowerSaver loans fact sheetfact sheet.

ead success storiessuccess stories to learn how PowerSaver loans work.

LIGIBLE MEASURES

ome of the eligible home energy upgrades and improvements include:

A whole home upgrade through Home Performance with ENERGY STAR

Insulation and Air Sealing

Replacing doors and windows

Upgrading HVAC and hot water systems

Home automations systems and controls (e.g., smart thermostats)

Installing solar photovoltaic (PV) systems

Installing solar thermal hot water systems

Installing small wind power

Installing geothermal heat pumps.

OWERSAVER OPT IONS

ree types of PowerSaver products are currently available:

HOME ENERGY UPGRADE:

UNSECURED LOAN UP TO $7,500

meme » Residential BuildingsResidential Buildings » PowerSaver Loans

OWERSAVER LOANS

elect your state on this interactive map or learn more about PowerSaver loans up tolect your state on this interactive map or learn more about PowerSaver loans up to $7,500$7,500,, $25,000$25,000, and, and mortgage or refinancemortgage or refinance..

7/26/2019 Solar Photovoltaics - Loan

http://slidepdf.com/reader/full/solar-photovoltaics-loan 2/3

This provides up to $7,500 through an unsecured consumer loan that requires no home appraisal or lien on the property. Contractors may partner with PowerSaver lenders

to ease the process. Single family homeowners with good credit and manageable overall debt, and a credit score of 660 or higher can qualify for these loans. Interest rates

will vary but typically range from 4.99 percent to 7.75 percent, depending on the qualified lenderqualified lender.

This energy upgrade loan is for smaller projects such as insulation, air or duct sealing, water heating, and upgrading or replacing heating and cooling equipment.

The following lenders currently offer unsecured PowerSaver Home Energy Upgrades: AFC First Financial Energy CenterAFC First Financial Energy Center and University of Virginia Community Credit UnionUniversity of Virginia Community Credit Union.

SECOND MORTGAGE:

UP TO $ 25,000

Through PowerSaver Title I loans, home energy retrofits or solar installations up to $25,000 can be financed through a second mortgage (or a first mortgage if there isn’t an

existing mortgage on the home). A home appraisal or equity is generally not required, but PowerSaver lenders may request if required by their investor. Borrowers cannot

currently have an existing home equity loan, a second lien, or second mortgage to qualify for this product. Interest rates will vary but typically range from 4.99 percent to

9.99 percent, depending on the qualified lenderqualified lender.

The Second Mortgage loan includes larger retrofit projects that include energy efficiency, solar PV, solar hot water, geothermal, or other renewable energy projects.

The following lenders currently offer this product: AFC First Financial Energy CenterAFC First Financial Energy Center; WJ Bradley Mortgage Capital Company WJ Bradley Mortgage Capital Company , University of Virginia Community Credit UnionUniversity of Virginia Community Credit Union,

Sun West Mortgage Company Sun West Mortgage Company , Neighbors Financial CorporationNeighbors Financial Corporation, and Paramount Equity Paramount Equity .

ENERGY REHAB LOAN—FIRST MORT GAGE:

UP T O FHA LOAN LIMITS

The PowerSaver 203(k) loan is FHA-insured up to 100% for a home purchase or refinance, plus the cost of a home improvement project. Loan limitsLoan limits for a one-unit property 

range from $217,500 up to $625,500 in high-cost areas, with higher amounts permitted on two-to-four unit properties. PowerSaver 203(k) mortgage loansPowerSaver 203(k) mortgage loans are available tohome buyers who wish to combine home improvements with a home purchase or to homeowners wishing to include home improvements when refinancing an existing

mortgage. In order to qualify as a 203(k) PowerSaver loan, at least $3,500 of the home improvements must consist of eligible PowerSaver measures.

The loan has the following benefits and parameters:

Loans are for the purchase or refinance of a home, plus the cost of home improvements of these types of existing properties:

Single Family Homes

Individual homes within a duplex, three or four plex (loans limits higher)

Condominiums (1-unit only)

Manufactured homes

Mixed use business with 25% used as business square footage

Properties must have been completed for at least a period of one year.

There are two types of PowerSaver 203(k) loans:

The Standard 203(k) loan is for major improvements. For the Standard 203(k), the home improvement project must cost a minimum of $5,000 and include $3,500

in energy upgrades. There is no limit on the total improvement cost. A HUD 203(k) consultant is required for oversight of home improvements.

The Streamlined 203(k) loan is for minor home improvements. There is no minimum requirement for the home improvement cost, but the project must not exceed

$35,000 in upgrade projects. A HUD consultant is NOT required for oversight of home improvements.

See the loan limits based on the location of the property loan limits based on the location of the property . A HUD consultant does not have to oversee the improvements.

r all three PowerSaver products borrowers must select from a list of approved PowerSaver lenders and locations. View

e lender list for loans up to $7,500 and $25,000lender list for loans up to $7,500 and $25,000. The lender list for first mortgage home purchase or refinancefirst mortgage home purchase or refinance 203(k)

ans is also available.

r additional information on HUD PowerSaver and lender lists, visit HUDHUD.

r questions and general information,r questions and general information, contact PowerSaver loans contact PowerSaver loans ..

UCCESS STORI ES:

OWERSAVER LOAN T RANSFORMS 1930S BUNGALOW INT O A SAFE AND

NERGY EFFICIENT PRIZE

er Kidder bought a 1,000 square foot, beautifully remodeled 1931 Maine bungalow home that was cold, drafty and

d high energy bills. Ms. Kidder started with an energy audit. With a PowerSaver loan, she borrowed $25,000 with a

9% interest rate and by the time she finished her upgrades, she had gained a 50% to 60% reduction in home energy 

sts. Learn moreLearn more.

YOUR HOME COMFORTABLE?

ergy upgrades can increase the comfort of your home. Are you tired of the upstairs overheating while the downstairs is cold? Or the baby's room is freezing, but your room is overheated? Air sealing,

7/26/2019 Solar Photovoltaics - Loan

http://slidepdf.com/reader/full/solar-photovoltaics-loan 3/3

ulation and house pressure diagnostics by a cer tified energy auditor can remedy these problems.

HE COST O F A LEAKY HOUSE

the $2,000 the average American spends paying for energy annually, $200 to $400 could be going to waste from drafts, air leaks around openings, and outdated heating and cooling systems. By reducing

ese losses through energy efficiency upgrades, you can save money and be more comfortable in your home or business.

r more information, watch DOE's Energy 101: Home Energy Checkup videoDOE's Energy 101: Home Energy Checkup video.

OW DO RESIDENTIAL SOLAR PHOTOVOLTAICS REDUCE ELECTRICITY COSTS?

stalling a photovoltaic (PV) system on the roof or in the yard provides several benefits to a homeowner. Because you are producing your own electricity, your utility bills will be lower. PV systems can last for

years or more. Therefore, they provide long-term protection against the rising electricity rates your utility may charge as worldwide energy markets change. A PV system may also increase the value of your

me. Finally, a PV system produces electricity without a emitting any pollution, including greenhouse gases.

Office of Energy Efficiency & Renewable Energy 

Forrestal Building

1000 Independence Avenue, SW

Washington, DC 20585

ABOUT THIS SITEABOUT THIS SITE

Web Policies

Privacy 

No Fear Act

Whistleblower Protection

nformation Quality 

Open Gov

Accessibility 

ENERGY DEPARTMENTENERGY DEPARTMENT

Budget & Performance

Directives, Delegations & Requirements

FOIA

nspector General

Privacy Program

Small Business

FEDERAL GOVERNMENTFEDERAL GOVERNMENT

The White House

USA.gov

CAREERS & INTERNSHIPSCAREERS & INTERNSHIPS

EERE HOMEEERE HOME

CONTACT EERECONTACT EERE