When 'going green' you have to start somewhere and in many cases, it begins with financing.Energy efficient improvements can cost a bit more and sometimes financing is necessary. Make sure to do your research and find the best solutions for you. Some finance options come with high interest rates and fees, sketchy repayment terms and in some cases they can make it difficult to sell your home or to refinance.
A few questions to keep in mind for your financial advisor and yourself.
Will the loan be paid back through my property taxes?
If the loan is being paid back through your property taxes, it is possible that it could take a priority in lien positioning. What this means is, that paying back this loan would come before paying your mortgage, during a time of selling.
Is the loan repayment plan something that I can do?
Just like any loan, make sure that the financing comes with reasonable fees and repayment terms and affordable interest rates.
Am I protected and if so, is there enough protection in place?
Be wary of any financing institution that does not require detailed information regarding your finances before they approve the loan.
In the real estate industry it is always best to ask as many questions as you can. With a little bit of research and some questions you could save yourself a world of trouble!