Return to Today's Publications


Date Range (YYYY-MM-DD) -
Company, Industry or Technology:
  Search Tips

PACE Loans Under Review in the Show Me State (Reg. & leg.)
Date: 2021-03-19
In Jefferson City, Missouri House and Senate committees have passed legislation that would place significant new regulations on residential property assessed clean energy (PACE) loans.

Under the legislation, PACE programs would be examined by the state Division of Finance every 24 months at an estimated cost of $50,000 per review. Under another bill, (HB 697), mortgage lenders would have the power to veto PACE loans.

PACE loans are repaid as a line item added to borrowers' property tax bills and processed by county collectors as though they were a tax and, in the event of a mortgage payment default, are collected ahead of the mortgage loan. Consequently, mortgage lenders are uneasy with PACE financing and federal mortgage lenders Freddie Mac and Fannie Mae do not allow PACE loans on top of mortgages they hold.

Current law allows PACE loans only in cities and counties that pass ordinances authorizing the lending. Proposed legislation would limit a PACE loan plus the outstanding mortgage debt to no more than 80 pct of a property's appraised value, plus the value of improvements made. (Source: Various Media, Energy News, 18 Mar., 2021) Contact: PACE,,

More Low-Carbon Energy News PACE Loan,  Energy Efficiency,  PACE,  

Freddie Mac Green Program Cuts Multifamily Energy and Water Consumption (White Paper Attached)
Freddie Mac
Date: 2020-12-23
Properties participating in Freddie Mac Multifamily's Green Advantage® program save an average of more than 2.7 million gallons of water and 1.3 million kBtu of energy per year, according to a new white paper 2020 Analysis of Green Improvements in Workforce Housing. Created in 2016, the program, which includes the Green Up® and Green Up Plus® offerings, provides financing incentives for multifamily borrowers that agree to reduce energy and water consumption.

Since program inception through the third quarter of 2020, Freddie Mac Multifamily Green Up and Green Up Plus provided over $60 billion in financing through loans purchased on nearly 600,000 units. The financed properties are typically garden-style apartments that are, on average, 35 years old with 85 pct of units being affordable to households making 100 pct of area median income (AMI) or less. The White Paper's key findings include:

  • Tenants are saving, on average, $114 per year based on reported property data;

  • Properties have reported over 827 million gallons in actual cumulative water consumption savings, which is the equivalent of 1,250 Olympic-sized swimming pools and over 152 million kBtu in actual cumulative energy consumption savings or roughly enough energy to power 4,100 homes;

  • The reported actual annual overall cost savings totals over $11 million, which averages roughly $40,500 per loan per year and $133 per unit per year;

  • The projected average cost for improvements is $471 per unit with a total of $280 million of projected improvements as of the end of the third quarter of 2020;

  • The most commonly selected water-saving improvements continue to be the low-cost showerheads, kitchen aerators and bathroom aerators;

  • The most commonly selected energy-saving improvements were exterior and common area LED lighting, closely followed by unit interior LED lighting and then HVAC thermostats.

    Download the 2020 Analysis of Green Improvements in Workforce Housing White Paper HERE . (Source: Freddie Mac, PR, Dec., 2020) Contact: Freddie Mac, Mike Morosi (703) 918-5851,,

    More Low-Carbon Energy News Energy Efficiency,  Freddie Mac,  

  • Santa Barbara Stymies PACE Energy Efficiency Financing (Ind. Report)
    PACE,Santa Barbara County Board of Supervisors
    Date: 2019-01-16
    In the Golden State, the Santa Barbara County Board of Supervisors reports it has rejected the residential Property Assessed Clean Energy (PACE) energy efficiency loan program with the caveat that it be reintroduced and reviewed in 2020.

    The board cited concerns about loan payments being collected through property tax bills, potential predatory lending practices, problems selling homes with R-PACE liens and subsequent property devaluation, leading to a reduction in tax revenues, for its rejection

    The PACE program allows residents and businesses to make energy-efficiency and renewable energy upgrades to their properties with no cash up-front, out-of-pocket expenses, with the cost of the work covered by third-party lenders who are then re paid through an assessment on property tax bills, but the PACE lien on the property takes priority over other existing loans.

    On a federal level, the US Federal Housing and Finance Agency, which regulates Fannie Mae and Freddie Mac, the two largest purchasers and backers of residential loans, has directed lenders under its oversight to not purchase mortgages secured by properties with R-PACE (residential PACE) liens. (Source: Santa Barbara County Board of Supervisors, Lompac Record, 15 Jan., 2019) Contact: Santa Barbara County Board of Supervisors,

    More Low-Carbon Energy News PACE,  Energy Efficiency,  

    Freddie Mac Green Advantage® Cutting Low- and Middle-Income Renters Utility Costs -- White Paper Attached (Ind. Report)
    Freddie Mac
    Date: 2018-12-10
    MacLean, Virginia-headquartered Freddie Mac is touting the release of its Green Improvements in Workforce Housing white paper on the impact of its Green Advantage® program.

    The program provides incentives to multifamily housing borrowers to make energy efficiency improvements. The program aims to lower expenses for workforce housing tenants.

    To date, Freddie Mac's Green Advantage® has financed $36 billion in loans to lower utility costs for 367,000 units nationwide. The Green Improvements in Workforce Housing white paper key findings include:

  • Green Advantage is financing upgrades to hundreds of thousands of units nationwide: With over $36 billion in loans purchased across nearly 367,000 units, broad borrower adoption has established the market for energy and water efficiency improvements for multifamily properties.

  • Green Advantage serves low- and middle-income families: Freddie Mac Green Advantage loans serve workforce housing. Properties are mostly garden style apartments, on average 33 years old with 89 percent of units being affordable to households at 100 percent area median income or less.

  • Water improvements are projected to save 3.6 billion gallons in water per year: This is enough water to fill 5,500 Olympic-sized swimming pools or the equivalent water usage for over 119 million loads of laundry. The most common water-saving improvements selected are showe rheads, bathroom aerators, kitchen aerators and toilets. Borrowers met program requirements by pursuing water improvements on 77 percent of loans.

  • Energy savings are projected to save 1.4 billion kBtu per year -- enough energy to power roughly 40,000 homes across America or enough power for 8,600 football stadiums. The most common energy-saving improvements selected are LED lighting for interior, exterior and common areas and HVAC thermostats.

  • Improvements cost less than $500 per unit. The projected average cost for improvements selected by borrowers is $470 per unit.

  • Improvements are projected to save on average $220 per unit per year. Loans average almost $61,500 of savings per year or $220 per unit.

    Freddie Mac Multifamily is the nation's multifamily housing finance leader. Historically, nearly 90 percent of the eligible rental homes we fund are affordable to families with low to moderate incomes. Freddie Mac's Duty to Serve plan aims to expand affordability and address America's most persistent housing problems. (Source: Freddie Mac, Dec., 2018) Contact: Freddie Mac, (703) 918-5851,

    More Low-Carbon Energy News Energy Efficiency news,  

  • Showing 1 to 4 of 4.