Does PowerSaver Strike the Right Balance?
Some interesting news this week from HUD and DOE. In the Obama Administration's continuing efforts to encourage energy efficient upgrades to the nation’s residential housing stock, the PowerSaver lending program is now open for business.
In a nutshell, homeowners with decent credit and some equity in their homes are eligible to seek low-interest loans for up to $25,000 to complete significant energy efficiency upgrades. The lenders in the pilot are committed to making these loans and the government (HUD) will back them in the event of default. The government is expecting to assist around 30,000 homeowners and create about 3,000 jobs, says HUD. Maybe even more over time if the program gains traction in the marketplace.
So share some thoughts with me. Do you like the concept? Is this a healthy way for HUD to accomplish its objective of more efficient homes without stretching the federal budget? Do you think it will help more homeowners secure the financing they need to tackle their window and door replacement projects? What about the impact on your business? If you sell replacement windows or doors, would this help you? Or do you see this helping a limited number of companies at your expense? Please send me an email or post below to share your thoughts.
Survey Results as of 5/3/2011:
The PowerSaver pilot lending program will:
Fail to have much impact.
Encourage efficiency upgrades on a limited basis.
Help homeowners and our business on a widespread basis.
While the majority of voters this week indicate that PowerSaver lending will fail to have a significant impact, my guess is that this is good news for the energetic supporters of the program.