Going Green?
Minimum Projected
Consumption
Reduction
Underwriting
Approach
Loan Proceeds/
Sizing
Minimum Green
Improvement Budget
Green UpSM
Green Up PlusSM
15% of energy or water/sewer consumption
based on Green Assessment
15% of energy or water/sewer consumption
based on Green Assessment Plus
Recognize 50% of projected owner-paid
energy and/or water/sewer savings based on
Green Assessment
Recognize 75% of projected owner-paid
energy and/or water/sewer savings based on
Green Assessment Plus
■ DCR: -0.05x of policy-compliant DCR.
Subject to lesser of 1.20x or program/
product limit
■ DCR: -0.05x of policy-compliant DCR.
Subject to lesser of 1.20x or program/
product limit
■ LTV: +5.0% of policy-compliant LTV. Subject
to greater of 85% or program/product limit
■ LTV: +5.0% of policy-compliant LTV. Subject
to greater of 85% or program/product limit
$350 per unit
$350 per unit
Must be Workforce Housing built in 2000 or
earlier (2002 for tax-credit properties). These
properties must not have undergone a significant
rehab affecting HVAC or plumbing systems more
recently than those respective years.
Must be Workforce Housing built in 2000 or
earlier (2002 for tax-credit properties). These
properties must not have undergone significant
rehab affecting HVAC or plumbing systems more
recently than those respective years.
2 years to complete. Work must commence within
180 days of loan origination
2 years to complete. Work must commence within
180 days of loan origination
Escrow
Requirements
Funds for energy/water efficiency work will be
escrowed at 125% of cost and released as work
is completed
Funds for energy/water efficiency work will be
escrowed at 125% of cost and released as work
is completed
Benchmarking
Requirements
Property energy and water usage must be
recorded in EPA Portfolio Manager before closing
and annually until 2 years after project completion
Property energy and water usage must be
recorded in EPA Portfolio Manager before closing
and annually until 2 years after project completion
Required Third
Party Reports
Green Assessment
Green Assessment Plus
Age of Properties
Time to Complete
Green Improvements
Already Green?
Green Certified
We give discounted loan pricing for properties—with at least 20% affordable rental units—and has one
of these eight industry-standard green building certifications:
1.
EarthCraft, Greater Atlanta Home
Builders Association & South Face
2.
ENERGYSTAR® for Multifamily, EPA
3.
ENERGYSTAR® for Qualified Multifamily
High-Rise, EPA
4.
Green Communities, Enterprise
Community Partners
5.
Green Globes, Green Building Initiative
6.
GreenPoint Rated, Build It Green
7.
LEED, US Green Building Council
8.
National Green Building Standard
(NGBS), Home Innovation Research
Labs
Seller/Servicers should:
1.
Speak to their Freddie Mac representatives.
2.
Complete our Affordability Test and select the relevant certification.
Provide evidence of certification as part of the loan submission to receive our best quote.
Other Green Options
Green Rebate
Commercial Property
Assessed Clean
Energy (C-PACE)
Financing Consent
If your borrower doesn’t choose the Green Advantage options, make sure they know they can receive
$5000 from Freddie Mac [PDF] for delivering an EPA ENERGYSTAR Score®.
We can grant consent for C-PACE financing from qualifying C-PACE programs on loans in our retained
portfolio. Additional requirements may apply. Check with your Freddie Mac representative for details.