Consulting Solutions and the Fannie Mae Green Initiative –
How Going Green Can Pay Off
The Fannie Mae Green Initiative is a multifamily financing option that encourages property owners to invest in energy and water saving improvements. The goal of the Green Initiative program is to improve and preserve the quality of multifamily properties while lowering utility costs, saving money for both property owners and renters. Although this program has been available for several years, Fannie Mae added additional financial incentives in 2015, including the potential for a 10 basis point reduction in the loan interest rate and providing additional loan proceeds for energy and water saving improvements.
In order to qualify for certain Green Initiative offerings, the Fannie Mae High Performance Building Module may be required. The High Performance Building Module (HPB) is an in-depth multipage assessment report of the energy and water usage at a property with recommendations for energy and water savings. The HPB includes anticipated costs for the implementation of property improvements as well as the potential savings and payback period. When required, the HPB findings are included within a standard Fannie Mae property condition assessment.
If you have a borrower interested in pursuing Green Initiative financing, CSI can assist in providing the Fannie Mae High Performance Building Module as part of our Property Condition Assessment. Call us with any questions you may have!
Fannie Mae Green Initiative / High Performance Building Module Resources: