For Immediate Release -- April 22, 202021

Contacts: Kevin Kane (414) 550-8280, [email protected]

Report: 197,000 Homeowners Still Eligible to Refinance in Wisconsin, Green Mortgages Available

New report shows over 190,000 Wisconsinites still eligible to refinance their homes during this period of low interest rates, and major opportunity to cut carbon emissions through “green” refinances.

STATEWIDE:  At a Zoom media event today elected officials, energy experts, and homeowners released a new Green Homeowners United report showing that thousands of homeowning Wisconsinites are still eligible to refinance their home’s mortgage. This research is timely, as new green mortgage options combined with this period of low interest rates could make a huge step toward President Biden’s goal of 2 million energy efficient homes.

This research represents the best available data on the numbers of Wisconsinites who could still benefit from reductions in their home’s mortgage interest rate, and where in the state they are likely to be found. Currently, Wisconsin is experiencing a major home refinance boom, but thousands more haven’t yet joined in.

Green mortgages work by adding thousands of dollars per home to a purchase or a refinance that can be spent on energy efficiency improvements that reduce utility bills. Upgrades such as solar panels, high efficiency plumbing, heating system improvements, reducing cold air infiltration and adding insulation. Improvements that save money and cut carbon emissions. Currently numerous banks such as Associated Bank, One Community Bank and Merchant's Bank offer green mortgages, and all banks and credit unions are able to.

Click here for the full report

Key Findings 

• Over 197,000 Wisconsin homeowners are estimated to still be able to save from refinancing their monthly mortgage, with their interest rates at least 0.75% above recent rates, at an average monthly savings of ~$226.

• For those that refinance with a “green mortgage”, the average Wisconsin home would be able to add in $32,030 in energy efficiency property improvements such as solar panels, insulation and high-efficiency plumbing, increasing the property value. All at effectively no additional cost, as these energy improvements would reduce utility bills (electric, gas, water & sewer) by as much or more than additional mortgage expenses.

• If even 10% of eligible refinancers chose a green mortgage option, we conclude that more than 15,000 homes could install in solar panels throughout the state, creating hundreds of jobs.

• With carbon emissions a major focus of the new administration, and residential energy efficiency found to be the number #1 method of cutting them, green mortgages could be a major path toward President Biden’s goal of 2 million energy efficient homes.

Click here for the full report

"Our most immediate opportunity to scale back carbon emissions are in the homes of everyday people," said Kevin Kane, chief economist for Green Homeowners United. "Thousands of homeowners can save on their mortgages and on their utility bills through green mortgage refinances. The greatest need is to show people how they too can save money combating climate change."

Figure 1: Statewide refinancing and green mortgage opportunity

Figure 2: Refinance potential and green refinance opportunity in select Wisconsin major counties

* - calculated using state refinance eligibility figures and local Census data on mortgage holders

** - based on local data on average home value and the amount of eligible financing for both the Fannie Mae Homestyle Energy as well as Freddie Mac Green Choice mortgage products. 

Figure 2a: Refinance potential and green refinance opportunity in select Southeastern Wisconsin communities

* - calculated using state refinance eligibility figures and local Census data on mortgage holders

** - based on local data on average home value and the amount of eligible financing for both the Fannie Mae Homestyle Energy as well as Freddie Mac Green Choice mortgage products. 

Figure 3: Eligible Upgrades from Green Mortgage That Can Cut Utility Costs

Figure 4: Carbon Emissions Impact if 10% of All Refinance-Eligible Homes in Wisconsin Adding Solar Panels Through a Green Mortgage

Source: EPA

Green Homeowners United is a social enterprise founded in 2020 to help homeowners reduce carbon emissions at home. Through energy auditing, economic analysis, and residential construction expertise, we help homeowners do the right thing by the planet and their pocketbooks. Contact Green Homeowners United to find out how to reduce utility bills and carbon emissions.

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