Green Mortgage Lending in Middletown, NJ – All You Wanted To Know About Green Mortgage Lending
Green Mortgage Lending in Middletown, NJ
Green mortgage lending in Middletown, NJ is gradually increasing in popularity, as more people now realize how the initiative and help them get larger mortgage loans. Furthermore, with all the increased discussions on saving the planet by consuming less energy and decreasing global warming, green mortgage lending in Middletown, NJ is now highly considered among potential homebuyers. Mortgage lenders in NJ allow borrowers to obtain larger loans for making their houses ideally green. This, of course, does not refer to the actual color of the house, but implies the steps taken for protecting the planet and reduced energy consumption. Loans offered under this program also include funds that can help a household install more energy efficient equipments. Moreover, a house owner may also make use of this lending program by asking for a discount in the rate and fees of a mortgage, if the house chosen by the buyer is already certified as energy efficient.
Green Mortgage Lending in Middletown, NJ – Energy Star
The US EPA has long been using a system for rating the energy efficiency of a household called the Energy Star rating system. Using this system, the EPA and other agencies evaluate the efficiency of the items present in a household in terms of energy. The system usually includes almost all the appliances that make use of electricity, such as water heater, furnace, heating and cooling systems, etc. When you apply for green mortgage lending in Middletown, NJ, your mortgage lender considers these ratings, and based on them, offer specific mortgages and additional incentives that can help a homebuyer in the end. Furthermore, green mortgage lending usually requires the lender to give a discount, be it in the form of reduced rate of interest or discounted closing fees.
Eligibility for Green Mortgage Lending in Middletown, NJ
For your house to qualify for the green mortgage lending program in Middletown, NJ, you will have to consider following the two-step process mentioned below. These are:
Step 1: Upgrade the energy efficiency systems in your household so that they are at par with the current standards or at least according to the standards set by the HERS
Step 2: Ask a home energy inspector to verify the efficiency of your appliances.
An inspector may charge in the range of a hundred to three hundred dollars for this inspection, however, when applying for green lending mortgages, a house owner can have the cost of these included in the loan.
Finding Green Mortgage Lenders in Middletown, NJ
Although the green lending program is associated with numerous advantages, this particular loan program is not very popular. The reasons – lack of advertisements and lack of information. Only some reputed mortgage brokers in NJ offer green mortgages, and dealing only with such lenders will ensure that your application will go smoothly and get processed in the minimum possible time. Homes that efficiently consume energy can help you save a lot of money, and can significantly increase your annual savings.