H.R.2413 - Getting Renewable and Energy Efficient Neighborhoods Appraisals Act of 2025; GREEN Appraisals Act of 2025 (119th Congress)
Summary
H.R.2413, the GREEN Appraisals Act of 2025, aims to improve the accuracy of energy appraisals for residential mortgage loans. It mandates disclosures to borrowers about energy reports and requires appraisers to consider these reports during appraisals. The bill also establishes an advisory committee to guide the implementation of these changes.
Expected Effects
This bill will likely lead to increased awareness and consideration of energy efficiency in home appraisals. This could influence property values and encourage investments in renewable energy and energy-efficient home improvements. The changes will be implemented gradually, with specific requirements taking effect from March 1, 2026.
Potential Benefits
- More accurate home appraisals that reflect the value of energy-efficient features.
- Increased transparency for borrowers regarding energy-related aspects of their property.
- Potential for homeowners to receive financial benefits from energy-efficient upgrades.
- Encouragement of investment in renewable energy and energy efficiency.
- Standardization of energy report considerations in the appraisal process.
Potential Disadvantages
- Potential for increased costs associated with obtaining energy reports and qualified appraisers.
- Possible delays in the appraisal process due to the additional analysis required.
- Risk of inconsistent application of appraisal standards across different regions.
- Uncertainty regarding the actual impact on property values and loan approvals.
- The need for ongoing training and education for appraisers to ensure competence in evaluating energy reports.
Constitutional Alignment
The bill appears to align with the general welfare clause of the Constitution, as it seeks to promote energy efficiency and informed decision-making in housing. While the Constitution does not explicitly address energy appraisals, the bill falls within the scope of Congress's power to regulate commerce and promote the general welfare. No specific constitutional conflicts are apparent.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).