The Arizona Association of Realtors (AAR) recently promoted the financial advantages of pursuing energy efficient mortgages (EEMs) for former military personnel living in the greater Phoenix metropolitan area.
By pursuing a variety of energy-efficient upgrades — from solar heating and cooling, insulation, thermal doors and windows down to caulking and weather stripping — homeowners not only can reduce their utility bills substantially, but also qualify for higher mortgage loan amounts in the process, according to a press release.
Depending on documented costs of energy upgrades, mortgage loans may be increased to an extra $3,000, the release said. If the dollar amount of the increase in mortgage payment does not exceed the utility savings, veteran homeowners may qualify for up to $6,000 more. Amounts higher than the $6,000 ceiling are subject to VA approval.
George “G-II” Varrato, who serves as director of government affairs for the Veterans Association of Real Estate Professionals (VAREP), said that an average-sized home in the Valley could see a drop of approximately $300 in monthly energy bills on air-conditioning costs alone.
“The actual amount saved (by energy conversion) depends on the specific energy-efficient improvements taken by the homeowner,” Varrato said in the release.
New homebuyers can add EEM options directly to their mortgage.