Fannie Mae Adopts New Energy Improvement Feature for Mortgage Loans

Fannie Mae had previously dropped its Energy Efficient Mortgage feature. It has replaced the feature with a new Energy Improvement Feature. web archive . The new feature only applies to the upgrading of an existing home through a purchase or re-finance mortgage. google down The features of the new Fannie Mae product are:

* The financing of energy improvements found by a RESNET Home Energy Rating to be cost-effective of up to 10% of the as-completed appraisal. This amount is subject to standard Fannie Mae LTV, CLV and HCLTV ratios.
* The cost of the home energy rating can be included as the cost of the energy improvements.
* Appraisers will be responsible to determine the as-completed value of the home based upon the energy improvements that were made.
* Appraisers will also be responsible for verification that the energy improvements being financed were completed.
* Only single family homes qualify.

The rating software programs will remove the old Fannie Mae reports and replace them with the new report developed by Fannie Mae.

For more information see the Fannie Mae at   http://www.resnet.us/ratings/mortgages.com

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