Efficiency First

The Lawrence Berkley National Lab (LBNL) has just released a financing Policy brief on the creation of a pilot loan program for home energy improvements put together by the US Department of Housing and Urban Development (HUD), planned for introduction in early 2011.The PowerSaver loan program is a new, energy-focused variant of the Title I Property Improvement Loan Insurance Program (Title I Program).  The PowerSaver pilot will provide lender insurance for secured and unsecured loans up to $25,000 to single family homeowners.  These loans will specifically target residential energy efficiency and renewable energy improvements.  HUD estimates the two-year pilot will fund approximately 24,000 loans worth up to $300 million; the program is not capped.  The Federal Housing Administration (FHA), HUD‟s mortgage insurance unit, will provide up to $25 million in grants as incentives to participating lenders.  FHA is seeking lenders in communities with existing programs for promoting residential energy upgrades.

LBNL Clean Energy financing Policy brief can be read in full here: LBNL_PolicyBrief_PowerSaver_121010_FINAL

More info on the program is available through HUD: FHA PowerSaver