Cost Benefits of an Energy-Efficient Home

We all know that saving energy and reducingimprovements is included within the mortgage, but
carbon emissions is everyone's responsibility, andthe size of the down payment remains
that it starts at home. The various things we canunchanged. Both EEMs (and EIMs) receive
all do to make our home 'greener' have been wellsponsorship from federally insured mortgage
documented - from energy saving light bulbs toprograms.
timber floor and wall insulation to setting theOther different kinds of EEM on offer include the
heating correctly, bleeding radiators and putting aVeteran's Administration (VA) EEM, available to
cover over the hot water cylinder. But you maymilitary personnel including reservists and
not be aware that, as well as playing its part inveterans, and FHA EEMs which add 100% of the
helping the environment, having an energyprice of cost-effective energy efficiency
efficient home can be kind on your pocket as well.improvements to an already approved mortgage
Some of the measures listed above, such asloan.
energy saving lightbulbs, or turning down theTax credits are also available on a range of
heating a couple degrees, offer savings prettymeasures to make your home more energy
much right away. You will recoup the cost ofefficient. These credits are available at 30% of
other measures, like insulation, through reducedtotal cost, capped to a $1,500 limit, for installation
bills over many years, but they may not be auntil the end of 2010 of various building
'quick fix' money saver.components and energy products, from roofs
As well as cheaper fuel bills, there are other costwhich resist heat gain to energy efficient water
benefits to having an energy efficient home.heaters, stoves, furnaces and air conditioning fans.
Energy efficient mortgages, for example, credit aThe Wind, Solar, Geothermal and Fuel Cell Tax
home's energy saving measures in the mortgageCredit is payable at nearly a third of the cost,
itself. They allow borrowers to qualify for a largerwith no cap through 2016, on new builds and
mortgage, and help finance energy-savingexisting properties on geothermal heat pumps,
measures. Typically, you need to have your homesolar panels and water heaters, fuel cells and solar
professionally rated for energy efficiency beforewater heaters.
these loans are approved. Often times, EEMs areMake sure that you keep all the relevant receipts
for buying new homes which are already energyand other records, and apply for the right tax
efficient.credit. More information is available from the
EEM is a generic term referring to all kinds ofInternal Revenue Service (IRS) and the National
energy-based home loans. It includes variousAssociation of Home Builders (NAHB), which can
different kinds of EEM, such as Energyalso help put you in touch with someone in your
Improvement Mortgages (EIMs) which are forneighborhood who can install the energy saving
buying properties that will have energy efficiencymeasures.
improvements made to them. The cost of these