By Kat Friedrich, Clean Energy Finance Center
Although the Federal Housing Finance Agency (FHFA) has created strict requirements for residential property-assessed clean energy (PACE) programs, a few states and cities are continuing to develop programs and pass legislation.
PACE programs make it possible for homeowners to finance energy efficiency retrofits and pay for them gradually through property assessments.
To avoid putting homeowners at risk, some programs are attempting to work within the guidelines of the FHFA by making PACE liens lower-priority than mortgages, providing insurance for them, providing homeowners with disclaimers, and/or exploring other legal options. Read more.