Fannie Mae Green Initiative – Loan Program
|Incentive Type:||Loan Program|
Real estate, Financial services
|Governing Body:||The Fannie Mae Multifamily Green Initiative|
|What’s it worth?:||up to 10 basis point|
The Fannie Mae Green Initiative aims to increase energy conservation efforts in multifamily properties. The program is based from three components: accelerate multifamily property, contribute resources for increased performance and accurate measurements, and raising awareness. The advantage of this program is that participants may qualify for a reduced interest rate based on the amount of energy efficiency efforts are put into the project.
The expect results of the accelerated family property strategy is to lower household utility expenses, improve property conditions, increase net operating income, and reduce the risk of loan default. This is accomplished through:
- Refinancing efforts
- Physical needs assessments
- Asset management assistance
The second strategy is to contribute resources and data recording methods to develop accurate data measurement efforts and identify other available incentives and rebates. The multifamily taxonomy has been established to collect and share data on effective property attributes. Market research is also necessary to identify quantifiable energy and water costs.
Finally, Fannie Mae aims to increase awareness and promote public disclosure of energy conservation. Some efforts may include:
- Green rental housing discussions
- PIER opportunities within Fannie Mae’s Office Portfolio
- Corporate Conferences
There are a broad arrange of eligible properties including conventional, affordable, and co-op properties nationwide. There are no minimum or maximum loan restrictions. An email requesting more information should be sent to the Fannie Mae Multifamily Green Initiative to apply for this program.