The U.S. Department of Housing and Urban Development Secretary Donovan and Energy Secretary Chu has announced that five lenders based in the Northwest – ShoreBank Enterprise Cascadia, HomeStreet Bank,  SOFCU Community Credit Union of Oregon, Paramount Equity Mortgage and the City of Boise – are among 18 nationwide selected for FHA’s new PowerSaver pilot loan program.  

Through PowerSaver, homeowners can finance energy-efficient improvements of their choice, including the installation of insulation, duct sealing, replacement doors and windows, HVAC systems, water heaters, solar panels, and geothermal systems.  FHA mortgage insurance will cover up to 90 percent of the loan amount in the event of default.  Lenders will retain the remaining risk on each loan, incentivizing responsible underwriting and lending standards.  PowerSaver loans are only available to borrowers with good credit, manageable debt and at least some equity in their home (maximum 100% combined loan-to-value). “PowerSaver hits on all cylinders,” Secretary Donovan said at a Long Island press conference, “by helping credit-worthy homeowners finance these upgrades, cut their energy bills and boost the local job market in the process.”

The PowerSaver Loan Program will be managed by the City of Boise’s Housing and Community Development Division as part of an expansion of its existing Home Improvement Program.  For more information, please contact Connie LaFrainer at (208)384-4158 or by email at clafrainer@cityofboise.org.