Energy Efficient Homes Are Less Likely to Default on Mortgages
The benefits of greater energy efficiency are already well documented. After swapping out a few light bulbs or updating some appliances, wholesale mlb jerseys you:
- Reduce the energy your home consumes
- Receive lower electricity bills each month
- Become part of the global green movement
But are Ways these benefits enough to make the transition. After all, to become trulyenergy efficient requires a wholesale nfl jerseys full audit of your home followed by any number of improvements and upgrades.
How Greater Energy Efficiency Makes Your Mortgage More Secure
In this breakthrough study, researchers surveyed more than 70,000 homes, separating them into categories based on the ENERGY STAR program a Department of Energy and EPA rating system that assesses the efficiency of consumer appliances and building designs.
What they discovered was that for each additional ENERGY STAR improvement, the mortgage default risk decreased. In fact, fully compliant ENERGY STAR homes had nearly a 33% lower chance of defaulting.
The reason behind this interesting trend?
Well, remember those extra savings you igazán get from lower monthly electricity bills. As that money builds up over time, you increase your ability to meet future financial obligations.
- For some, this means better vacations
- For others, it may mean a college education
- And for a sizeable chunk of homes in this landmark study, it means not defaulting on a mortgage
Additional Implications of Energy Efficiency
Not only can greater energy efficiency reduce your risk of defaulting, Writing but it may also help you qualify for more attractive mortgage payment terms.
If lenders view you as a lower risk, they can offer better premiums and interest rates — both when cheap mlb jerseys buying a new home and when you refinance.
And keep in Affordable mind that Disadvantages we’re not talking about oversized mansions that consume tons of energy. The study focused on single-family homes with an average sale price of $220,000. Efficiency upgrades don’t just make sense for resource-hungry homes — anyone can benefit.
Time for an Energy Audit?
There are very few risk-free investments in this world. Even education, one of the old standbys, is in trouble Treatment these days. Just ask any college senior about to graduate with crippling student loans.
But energy efficiency is one of those rare investments Incompleteness that pays dividends almost immediately. Just to review:
- More money in the bank due to lower electricity bills. This is a benefit that grows with time as utility rates continue to rise
- Reduced risk of defaulting. There’s no price tag for this peace of mind
- Better mortgage terms, which in turn, means more money in the bank
And to top it off, you help the environment.