Benefits of Green Mortgage

The Green Mortgage is also called an Eco-mortgage. It is a relatively new system so you may find it difficult to obtain in the mainstream market. However, you can do a little extra research and find out about this unique mortgage.

Green mortgage can ultimately allow you to save money. It offers you the opportunity of having lower utility bills and easier credit. It also provides you with an ability to borrow more. It definitely is one choice that will give you comfort of the mind.

Green Mortgage:

Green Mortgage

A green mortgage is basically a mortgage that takes into account the house’s utility costs. This determines how much money the borrower is lent. It works well for those who have lower utility costs, as they can put more money towards a mortgage payment. Thus they are able to borrow a larger sum of money and can afford a much better house. Also, they would not have to spend as much as they would have had to with a conventional mortgage.

Energy Audit:

For obtaining a green mortgage, a specialist first performs an energy audit. This enables the specialist to know if the house is energy-efficient or not. He checks all the energy utilities and determines how much costs will be lowered. The monthly savings are added to the total money that the borrower gets. This money can also be spent to make the house energy-efficient.

Types of Green Mortgages:

There are several different types of green mortgages. If you only want the basic model, then you should go for the conventional energy-efficient mortgage (EEM). If you want to use the extra income to improve your house to be an energy-efficient one, then your plan is an energy-improvement mortgage (EIM). If your only objective is to make a low down payment, then go for the Federal Housing Administration EEM.

There is also the VA EEM for all the qualified veterans.

Savings in an Energy-efficient House:

You may not realize it but you can save a lot while living in an energy-efficient house. If you live in an area that has extreme climate, then the energy-efficient house will definitely save you costs. Also, if you have a big house, then you will benefit greatly by making energy-efficient changes.

Why Choose the Green Mortgage:

Why Choose the Green Mortgage

This is the basic question each one of you will be asking. Well, a lot of the people go green with their mortgage because they want to make a difference to the environment. They understand global warming and want to make an effort in cutting down their energy costs. For those of you who do not have the same ideas, then there are other benefits too. By getting some extra money in hand because of the green mortgage, you can afford to buy a much larger and better house. You cannot do this with a conventional mortgage. Also, if you are trying out for a loan, then a green mortgage might help you qualify for one. A lot of other benefits can come from living in energy-efficient houses. You will only have to make an extra effort to get your green mortgage, as it is not readily available in the mainstream yet.


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