Green Preservation Plus

Green Preservation Plus Fannie Mae

Lower Operating Costs with Green Preservation Plus

Green Preservation Plus is a financing option offered by Fannie Mae that helps owners of multifamily affordable housing (MAH) preserve and improve their properties by providing funding for energy-efficient retrofits.

Designed specifically for affordable apartments, investors can finance improvements and use proceeds for upgrading insulation, efficient water fixtures, windows, lighting, and HVAC systems.

Green Preservation Plus Fannie Mae

Requirements: Green Preservation Plus

  • For properties 10 years or older, and meet certain income and rent restrictions.
  • Loans up to 85% of the appraised value of the property.
  • Loan Term is typically 20 to 30 years, with lower rates than traditional financing.
  • The program is fully assumable, subject to lender approval and a 1% fee

Benefits of Green Preservation Plus

  • Increased loan proceeds through lower debt service and higher loan-to-value ratios
  • Up to 5% of the loan amount can be added to the mortgage loan to pay for energy- and water-saving improvements
  • Properties that achieve energy and water savings of at least 20% may be eligible for a 0.10% interest rate discount

Secure Funding For Your Next CRE Investment

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Eligibility and Loan Details

Green Preservation Plus loans are available for properties that are at least ten years old and meet specific income and rent restriction guidelines set by Fannie Mae.

The program allows for financing of up to 85% of the appraised value of the property, with loan terms typically ranging from 20 to 30 years. Additionally, these loans are assumable with lender approval, making them an attractive option for long-term investment.

Finance Energy Saving Upgrades and Retrofits

Improve Sustainability and Create Affordable Housing

By leveraging Green Preservation Plus loans, MAH property owners can achieve a win-win situation. They can improve the sustainability and affordability of their buildings while reducing operating costs and attracting new tenants.

Ultimately, this program paves the way for a greener future for affordable housing and its residents.

High Efficiency Toilets and Plumbing