House bill would protect state energy upgrade loan programs

Posted on August 7, 2011 by Bob Berwyn

Federal lending agency quashed the programs by saying it wouldn’t approve mortgages encumbered with energy improvement loans

Support for PACE programs is widespread across both Democratic and Republican-controlled states, where lawmakers understand the value of clean energy programs.

By Bob Berwyn

SUMMIT COUNTY — A languishing revolving loan program for installation of renewable energy features may get a new lease on life this year, as a bipartisan coalition of legislators in Washington, D.C. have introduced a bill that would revive the PACE program.

Twenty-seven states have adopted some form the Property Assessed Clean Energy program during the past few years. Under PACE programs, property owners can apply for loans to upgrade insulation or add solar panels, for example. The loan is repaid through an assessment on their property taxes for up to 20 years.

PACE financing spreads the cost of energy improvements such as weather sealing, insulation, energy efficient boilers and cooling systems, new windows, and solar installations over the expected life of the measures and allows for the repayment obligation to transfer automatically to the next property owner if the property is sold.

But about a year ago, in the aftermath of the housing market crash, Fannie Mae and Freddie Mac, the federal mortgage underwriters, issued a guidance letter saying they wouldn’t back loans on properties encumbered with a local energy improvement loan. (more…)

Filed under: Colorado, energy, Environment, renewable energy, Summit County Colorado, Summit County news | Tagged: , , , , , , | 1 Comment »

Congress looks at mortgage finance reform

Posted on March 2, 2011 by Bob Berwyn

Treasury Secretary Timothy Geithner testifies on reforming the mortgage finance industry. Click on the picture to watch C-Span video of the House Financial Services Committee hearing.

Obama administration calls for shrinking government’s role in housing market, phasing out Fannie Mae and Freddie Mac and larger downpayments

By Summit Voice

SUMMIT COUNTY — The taxpayer-financed $150 billion bailout of the housing finance industry has triggered a serious push to reform the system, with Treasury Secretary Timothy Geitner leading the charge by calling on Congress to pass a law that would dissolve Fannie Mae and Freddie Mac, the government-controlled home mortgage companies.

Appearing before the House Financial Services Committee, Geitner outlined the administration’s plan for “unwinding” Fannie and Freddie over the next five to seven years and sharply reducing the government’s role in the housing market in the future. The plan also recommends requiring larger down payments on home purchases. Click here to watch a C-Span video of the hearing. (more…)

Filed under: Colorado, economy, federal government, real estate | Tagged: , , , , , , , , , , | 1 Comment »

More woes for local energy improvement loan programs

Posted on September 2, 2010 by Bob Berwyn

Federal loan agencies are taking a hard line on locally financed energy improvement loans.

Feds say homeowners must pay off property tax assessed loans before refinancing mortgages

By Bob Berwyn

SUMMIT COUNTY — A financing program for residential energy efficiency upgrades may be dead in the water for now, as Fannie Mae and Freddie Mac once again came out with a policy that hinder the ability of homeowners to repay loans through an annual surcharge on their property taxes.

The two government-chartered mortgage companies said Tuesday that homeowners must pay off the energy improvement loans before they can refinance mortgages. (more…)

Filed under: energy, Environment, Summit County Colorado | Tagged: , , , , , , , , | Leave a Comment »

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