Energy Ratings

Sales Agents compete daily in their effort to secure listings. With energy costs on the rise and the influx of questionable construction practices in our area, you need to take advantage of every possible sales opportunity. To qualify for a mortgage, buyers are finding the requirements more and more stringent. Both purchasers and sellers are finding more difficulty in the housing market.

YOUR JOB IS GETTING MORE DIFFICULT!

Sellers need an agent on the forefront of technique and technology. Buyers need an agent who seeks value beyond price. In either case, the agent benefits from marketing a well-documented, energy efficient home - a home which will set them apart from the crowd. An energy efficient home has tight construction, high quality mechanical equipment, insulation and proper ventilation. Anyone can claim to have an energy efficient home but it is not official until it is tested and certified by a Home Efficiency Rating System (HERS) professional.

There is a definite value in the rating and certification. With the rating report in hand, the agent can cover two additional mortgage services and at least three money saving points. The mortgage programs offer greater loan to value. The certification also allows possible State and Federal Tax Credits to the buyer up to $13,000.00.

Should the home meets the requirements of the National Mortgage Industry, the buyer may qualify for an Energy Efficient Mortgage. This special type of mortgage makes it possible for the lender to consider energy savings documented on the Energy Efficiency Report and combine it with the buyer’s income, thereby allowing the buyer to qualify for a higher loan amount. This empowers them to qualify for a larger mortgage. A home initially out of a buyer's price range can become affordable with this type of mortgage, thus increasing the marketability of the home.

If the Energy Efficiency Report indicates the home is below the standard set by the National Mortgage Industry Steering Committee, RESNET and or ENERGYSTAR®, don't worry! The potential home buyer or homeowner can qualify for an Energy Improvement Mortgage. This mortgage program allows the buyer to take out additional money which is covered by the projected savings on the improvements noted in the report.

Additionally there are Federal and State tax credits for which the noted improvements may qualify, up to $13,000, which may be passed to the purchased upon installation of the energy improvements.

An energy rating, if properly used, is a powerful marketing tool. It is a testament to proper building practices used on the house, it is a verification of the strong points and it is an acknowledgement of the weak points. It also discloses the total cost of ownership with, or without, the improvements detailed in the report.

Please review our Home Energy Rating System qualifications.