Solar Hot Water Financing
How to Finance Your SunMaxx Solar Hot Water Heater
While the initial out of pocket expenses of a solar hot water heater may be higher than a traditional hot water system, it has been proven time and time again that these systems pay for themselves, and more, in a matter of just a few years. And, to limit your initial out of pocket expense, many people opt to finance their Solar Hot Water heaters in order to spread the payments out over a period of time – and with the low monthly payments available on certain loans, you can have your SunMaxx Solar Hot Water Heater pay for itself even earlier than normal.
Financing for Solar Hot Water Systems is available through the following agencies and companies.
|Agency||Program||Loan Amount||Collateral & Term||Interest Rate||Energy Features and Systems Covered|
|Fannie Mae Corp.
|(a) Conventional Mortgages;
(b) Residential Energy Efficiency Loans
|(a) up to $240,000
(b) up to $15,000
|(a) secured; 1 to 30 years (adjustable, fixed, or ballon);
(b) unsecured; up to 10 years
|(a) market rates
(b) usually below market rates
|(a) Energy efficient Mortgages;
(b) Energy effiency upgrades: solar water & space heating, PV Systems
|Federal Home Mortgage Loan Copr.
|Conventioanl Mortgages||up to $240,000||First mortagage to 95% loan-to-value; 15, 20, & 30 years (including balloons)||fixed at market rates, variable at prime +2%||Energy-efficient mortgages that meet Freddie Mac’s Criteria|
|US Dept of Agriculture (USDA)
|Rural Housing Service, Rural Business-cooperative Service, Rural Utility Service||$300,000 (average)||As negotiated with RUS borrower; 10 years||0%; conventional mortgages at market rates||Solar Thermal Systems; PV Systems|
|US Dept of Energy (DOE)
|Energy Savings Performance Contracts, State Energy Conservation and Weatherization Assistance||Varies||Unsecured, Varies||Rate Varies||Energy-efficient features and equipment; Solar Thermal Systems; PV Systems|
|US Dept of Housing & Urban Development (HUD)
|Energy Efficiency Mortgages for FHA 203(b) and (k) Insurance Programs, etc,; Special HOME, HOPE VI, and Title I Programs for energy efficiency and solar system (with limits)||HUD Area Limit||First mortgage: to 120% loan-to-value, Second Mortgage: no maximum loan-to-value; 10 and 30 years||Fixed or Variable Rates||Energy-efficient features; Solar water and space heating; PV Systems; EEMs to 10% above base loan amount|
|US Dept of Veterans Affairs (VA)||VA Home Mortgage loan Program||up to $203,000||First Mortgage: 100% loan to value plus costs; 10 and 30 years||Fixed Rates||Energy-efficient features and appliances; Solar water and space heating; PV Systems; EEMs to 10% above base loan amount|
|US Environment Protection Agency (EPA)
|Energy Star Rated Home, Energy Star Rated Building||Guided by Fannie Mae and Freddie Mac Limits||First Mortgage: to 120% loan to value; 30 years||Market Rates, but discounts are available on some loans||Energy efficient features making home up to 30% more efficient than code; solar thermal and space heating; PV Systems; 10 year or less payback required|
|US Small Business Administration (SBA)
|7(a) std small bus loan, 7(a)-12 Energy Loan Program, 7(m), etc.||up to $750,000 guarantee (7(a))||Guarantees 80% to $100,000; 75% if more than $100,000; Varies||Market Rates||Energy-efficient features; PV Systems, Solar Thermal Systems, and other Renewable Energy Systems|
Please note that the following programs may apply to both Solar Hot Water Systems and Photovoltaic Solar Electric Systems.