New Construction Energy Efficient Mortgages (EEM)

Just because you're not renovating an older home with the Energy Efficient Mortgage, doesn't mean there aren't benefits for those of you thinking about building a new energy efficient home. For those of you who were going to forego the optional energy efficient upgrades because it cost too much, think again because this mortgage takes away that roadblock. In some ways it works similarly to the renovation EEM, but there are some really good reasons why you'd go this route if you're going to go the extra mile on energy efficient upgrades.

What should I know about the New Construction EEM?

ANY energy efficient upgrades to your building package can be added and are covered by the New Construction Energy Efficient Mortgage. If you have something specific you'd like to do to your home, call us and we'll let you know if you can do it.


Because Fannie Mae wants to encourage people like you and me to build energy efficient homes, the Energy Efficient Mortgage rewards you with up to a 5% instant equity credit. This means that if you're building an energy efficient home and it originally appraises for $200,000, it is now worth $210,000. Call us to learn more about this...


You do not need to have as much income for a New Construction Energy Efficient Mortgage as you would for a regular construction loan. The Energy Efficient Mortgage takes into consideration the fact that your home is more affordable and rewards you accordingly.


One positive side effect of an energy efficient home (other than lower utility bills) is that it has a good impact on the environment. The average home that goes through an Energy Efficient Mortgage will reduce greenhouse gas emissions by 2-4 TONS per year.


The New Construction Energy Efficient Mortgage can be combined with both fixed-rate and adjustable-rate mortgages. We can also to construction to permanent financing (or single-close mortgages) so that you don't need to pay two sets of closing costs.