PACE is a long-term, fixed-rate financing option that gives homeowners the ability to make improvements to their home that lower energy use and make it hurricane-ready. Property owners in Florida can use PACE Financing to pay 100% of all project installation costs, including all related tools, supplies, and labor. The creation of renewable energy, water conservation, energy efficiency improvements, and increases in resilience are all eligible improvements. Just a few examples include air conditioners, roofs, windows, water heaters, solar panels, pool heaters, hurricane shutters, and generators.
Residential PACE Financing in Florida, which is applicable to residential premises, and Commercial PACE, which is applicable to commercial assets such multifamily, retail, hotels, and other types of commercial properties.
A homeowner who owns a home that has a PACE assessment may find it difficult to sell the property or refinance the mortgage due to the FHFA's position on PACE assessments. Particularly, some mortgage lenders or secondary mortgage market buyers may refuse to: (1) refinance an existing mortgage; (2) fund the purchase of any property; or (3) buy mortgages on the secondary mortgage market with relation to a home subject to a PACE assessment. This could imply that if a homeowner receives PACE financing and then decides to sell their property or refinance their mortgage, they may have to pay the PACE assessment in advance in order to complete the transaction.
As a result, even though PACE offers property owners another choice for financing improvements to their properties, they should carefully consider the Program and their future plans and balance the Program's benefits and drawbacks in accordance with their findings.
Through a state-mandated public-private partnership known as Commercial Property Assessed Clean Energy, C-PACE.com is the top platform for securing green energy financing options that help commercial real estate developers and owners reduce their carbon footprint and Weighted Average Cost of Capital.