The Sensible Accounting to Value Energy (SAVE) Act – S. 1106 would rationalize the underwriting of mortgages through allowing the energy savings of a home to be considered in the mortgage loan. RESNET has joined broad coalition of interests including: home builders, Realtors®, manufacturers, bankers, consumers in urging the Senate to take action on the legislation. In a letter to Senate Majority Leader Harry Reid (D-NV) and Mitch McConnell (R-KY) the coalition including RESNET, American Institute of Architects, Appraisal Institute, National Association of Home Builders, National Association of Realtors and Leading Builders of America stated, “Recent evidence suggests that owners of energy-efficient homes are 32 percent less likely to default on mortgages. Current lending practices don’t account for a significant cost of homeownership—utility bills. This bill would provide a flexible and voluntary pathway for lenders to better assess risk and account for energy savings realized by homeowners. The SAVE Act would also allow appraisers to more easily include the value of energy-efficient features in the overall value of buildings. We believe this voluntary program will help inform homebuyers about their home purchase and encourage owners to invest in energy efficiency.” To view the letter go to SAVE Act
