Remodeling
Success 101

Q: What's the difference between a wood window and a clad window?

A: Window frames can be made from a variety of materials, including solid wood, composite or engineered wood, vinyl, and metal; usually aluminum or steel. Wood windows are popular because, from the inside, they are very attractive. The natural wood can be preserved and enhanced using a stain or varnish to match interior decor. On the outside, however, wood must be diligently maintained to protect it from the elements. To reduce maintenance chores and costs, most wood windows are clad -- or covered -- by an aluminum or vinyl material molded to the shape of the outside section of the window frame.

Homeowners now have a wide range of affordable options for making their homes more energy and resource efficient. Technology and product development have moved so fast that even a "new" ten-year-old house can benefit from an investment in these new systems and building practices.

Remodeling for improved energy efficiency can result in a variety of attractive results for homeowners beyond lowering utility bills. For example, in most cases, indoor air quality is improved, which can greatly increase the health and comfort of the residents. Lower maintenance and replacement costs, together with long-term, reliable performance of various energy-using systems and products are also significant advantages.

Energy-efficient homes have other financial benefits. Homes remodeled to measurable energy standards can be tested and rated by certified professionals. The rating is then used to define anticipated energy cost savings based on local utility rates. Those savings, in turn, can be leveraged to refinance a home using an Energy-Efficient Mortgage, or EEM.

Energy-Efficient Mortgages, offered by an increasing number of lenders and brokers, subtract the anticipated energy costs savings from a borrower's calculated or average expenses, thereby allowing the borrower to increase the amount of the mortgage or to negotiate a better mortgage interest rate with a lower monthly house payment.

In a remodeling project, for example, a calculated and certified energy cost savings of $100 per month "frees up" that money toward a higher refinanced mortgage loan, with the difference (or equity achieved) available as a line of credit to finance or pay off the cost of remodeling. The energy cost savings also lowers the lender's risk of loaning you money, an effective argument for a lowering the interest rate.

In addition to better mortgage refinance terms, a house remodeled to a superior level of energy and resource efficiency can earn rebates or credits for the homeowner from local utilities, usually for electricity and sometimes for water and natural gas. In this way, utilities reward homeowners who invest in products and systems that help reduce the burden on the municipal power grid. As demand for energy increases, a greater number of local utility companies will develop rebates, credits, and other incentives to promote energy efficient housing.

The federal government, too, now encourages energy efficiency by means of a tax credit for homeowners who upgrade their homes with specific energy-efficient products. Such features, like insulating windows and high-performance heating and cooling systems that exceed code minimums, can earn up to $500 against the homeowners' income tax burden. For more information, go online (click here) or consult a tax advisor.

The benefits of buying and owning an energy-efficient home extend far beyond a lower monthly electric or water bill. Ask your remodeler, real estate agent, mortgage lender or broker, local utilities, or tax advisor about other financial rewards to be gained from investing in a remodeled energy-efficient home. Then picture yourself in the more comfortable (and affordable) home you've always wanted.

Warm regards,

info@highcraft.net
www.highcraft.net

c. 2007 All rights reserved.

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