Green Mortgages -

"Going Green" is all the rage these days, and it's been around for some years now in the world of mortages.

As a matter of fact, there was an article in the Boston Globe about "Green Mortgages" today. The article details how folks can apply for green (energy efficient) mortgages if the properties conform to certain criteria. This type of mortgage first showed up in 2003.

The criteria are different with each lender, but the bottom line is that if you invest up-front in energy efficiency than your downstream costs for energy to run the home will be less. Less volatility in the on-going energy costs for a home translate into possibly a larger debt ratio (affordability ratio) that a lender is willing to offer. If the difference is even $50 a month in affordability, depending on the terms of the mortgage, this can translate into another $12,000 to $15,000 of purchasing power. In some cases this can make a huge difference in what unit a person buys.

Designed for developers, it is still possible for a single-family, or condo homeowner to apply and get a "green mortgage." Understanding the requirements, and how your home uses energy are the keys to success in getting one.

If you have questions, I'm more than happy to talk with you about identifying properties that could be considered for a green mortgage and working with lenders who might be able to write a green mortgage.