PACE was an awesome program to encourage the non rich to have a mechanism to get solar which has a high up front cost, but massive savings down the road.
The banks arrange to make sure they get paid first before the solar financing people get paid. Bastards!
The Federal Housing Administration has resolved a long-standing conflict with municipalities and private companies that back "green energy" loans and also will allow higher loan amounts for energy improvements.http://www.nationalmortgagenews.com/news/regulation/banks-win-fha-support-in-lien-fight-with-pace-lenders-1059805-1.html?utm_medium=email&ET=nationalmortgage:e4010451:a:&utm_source=newsletter&utm_campaign=-aug%2025%202015&st=email
So-called Property Assessed Clean Energy loans help borrowers finance environmentally-friendly home improvement projects such as solar panels. A major sticking point has been that FHA mortgage lenders and PACE lenders have both staked claims to the same collateral — the borrower's homes — if their loans go bad. The policy question has been which side should get repaid first in the event of default.
The FHA said this week that it is developing lender guidance that says PACE loans are subordinate to a first lien mortgage.
Separately, the FHA launched an initiative with the Department of Energy that allows borrowers to obtain larger loans, of roughly 2% more than the loan amount, to finance energy improvements.stock here, on a $200,000 house, 2% for energy improvement is $4,000, but you need $20,000 for a PV system, up front, then of course you can get some incentives such as tax credits, but those take time.
So this is a bullshite ploy by big Bank to pretend they are supporting solar. When in fact they have no problem killing solar for the masses and making sure they get paid first.
Eff them and the horse they rode in on.
a blow to Obama's energy plan as well. He ought step up.
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