Nailing down home energy savings

Journal Article · Tue Jun 01 04:00:00 EDT 1982 · Sol. Age; (United States)

OSTI ID:6670865

Foute, S J

Investments in energy efficiency in the home, leading to the term Energy Mortgage Value (EMV) are discussed. Uses of EMV are considered as well as the basis of its actual value which includes: (1) the interest rate on the investment; (2) the term of the loan; and (3) the estimated monthly energy savings from the investment. Calculation of EMV is illustrated. As an example, a $38/month energy savings on a home amortized over 30 years at 15% would yield an EMV of $3000, the amount to be added to the appraised value of the house. The uses of EMV for profit building by builders is illustrated as well as its use as a design tool to show ceiling investment levels for any degree of energy efficiency desired. Reasons for disclosing the EMV value to the mortgage finance community are discussed as well as uses of EMV by lenders. It is concluded that the use of EMV can be of value to the builder, the lender, the appraiser, and the buyer. (MJJ)

• Research Organization: Energy Ventures West, Englewood, CO
• OSTI ID: 6670865
• Journal Information: Sol. Age; (United States), Journal Name: Sol. Age; (United States) Vol. 7:6; ISSN SOAGD
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
291000 -- Energy Planning & Policy-- Conservation
32 ENERGY CONSERVATION, CONSUMPTION, AND UTILIZATION
320101* -- Energy Conservation
Consumption
& Utilization-- Residential Buildings-- (-1987)
APPRAISAL
BUILDINGS
EFFICIENCY
ENERGY CONSERVATION
ENERGY EFFICIENCY
EVALUATION
FINANCIAL INCENTIVES
FINANCING
HOUSES
INTEREST RATE
INVESTMENT
RESIDENTIAL BUILDINGS