Financial Analysis & Incentives for Insulated Concrete Forms

How a Cozy, Sustainable & Resilient Building Costs Less

Sample Calculation: - Borrower finances 100% of Building Upgrades - 4.25% 30-year mortgage	Traditional Home & Mortgage	Quad-Lock Home & Energy-Efficient Mortgage
Resilience, Energy, IEQ Upgrade Costs	-	$30,000
Home Value	$300,000	$330,000
Down Payment	$66,000	$66,000
Mortgage Amount	$234,000	$264,000
Monthly Mortgage Payment (P & I)	$1,151	$1,299
Monthly Heating & Cooling Cost	$300	$150
Monthly Insurance Cost	$400	$150*
Total Monthly Payments	$1,851	$1,599
MONTHLY SAVINGS	-	$252
A much Better Building for Less with the upgrades paid for!

So even after paying for the additional cost of Quad-Lock and other matching upgrades, you're still saving over thousands/year without considering higher resale values, health, productivity, inflation, nor any incentives. * Insurance Discounts may require proof / certification of loss mitigation.

The traditional construction-industry model has a big flaw: usually construction is very focused on reducing First-Cost of a building without adequately addressing the much higher Operating Costs (nor Indoor Environmental Quality "IEQ") that the owner and occupants will have to bear for the long lifetime of the building.

This conflicts with the goals of the owner/operator and inhabitants, who often aren't even aware that most buildings' Total Lifetime Operating Costs (60-95%) far exceed First-Cost (5-40%). To resolve the conflict, you should understand your Total Cost of Building Ownership using your own assumptions about future prices and values, so you can instruct the building team accordingly.

In addition to the significant energy-savings of Quad-Lock building shells, many insurance companies now recognize that resilient construction greatly reduces the risks and premiums. In coastal and high-wind areas, those insurance savings alone can create enourmous value for building owners.

Summing up the energy + insurance savings and the value of much longer expected life-cycles of reinforced concrete construction, the Total Cost of Building Ownership is usually lower than wood-frame construction, often by astounding amounts.

Get much better indoor living comfort plus health, safety & productivity benefits while increasing your net worth!

Free Comparative Cost Analysis

In addition, local, state, and federal authorities and many electric utility companies provide incentives for highly energy efficient construction. Some of them and good resource sites are listed below for the
USA and Canada.

USA Incentives

Insurance Discounts

Many insurance companies now offer discounts for future-proof Resilient Construction because it reduces many of the risks they insure. Owners and builders can use loss mitigation programs, such as FORTIFIED®. In high risk areas, the savings usually add enourmous value to the building with low additional cost.

Energy Efficient Mortgages for Owners

More and more lenders provide so-called "Energy Efficient Mortgages" (EEM). These mortgages recognize the fact that highly energy efficient homes cost less to operate. This in effect increases a borrower's income - money in your pocket or to qualify for higher mortgage amounts/shorter terms. Main Steps:

Pre-qualify with an EEM Lender (see links above)
Evaluation of home's energy efficiency (e.g. inspection by a professional energy rater, see RESnet Rating Providers)

For Residential Contractors

Upto $2,000 tax credit to eligible contractors for each qualified new energy efficient home

How: View IRS Form 8908 & Instructions and IRS Guidance. RESNET Energy Raters will certify the energy performance: List of RESNET energy raters , RESNET procedures

For Commercial Owners / Tenants

For New Construction: The Energy Bill includes tax incentives to build more energy efficient commercial buildings. Constructing the building envelope with Quad-Lock Insulating Concrete Forms by itself can meet or come close to the requirements for those incentives (depending on climate, chosen R-value, and other factors).

A one-time tax deduction of up to $1.80 per square foot is available to eligible owners or tenants (or designers, in the case of government-owned buildings) of new or existing commercial buildings designed to reduce the total annual energy and power costs [..] by 50 percent or more in comparison to a reference building which meets the minimum requirements of ASHRAE Standard 90.1.

Partial deductions of up to $0.60 per square foot can be taken for comparable reductions from any one of three building systems - the building envelope, lighting, or heating and cooling system - that meets goals consistent with achieving the 50% savings for the entire building.

A mechanical engineer will calculate the energy performance based on ASHRAE 90.1.

For more information view the IRS Instructions & IRS Guidance or visit the Tax Incentive Assistance Project or Commercial Buildings Tax Deduction Coalition. The relevant sections in the "Energy Policy Act of 2005" are Title XIII, Subtitle C: Sections 1331 & 179D.

State and Local Programs

State and local energy programs provide various rebates, incentives, and credits for energy efficient construction to builders and owners. Since so many programs are available, start by contacting your State Energy Office at the DoE's State Energy Program (SEP) website. Also check the Database of State Incentives for Renewable Energy (DSIRE).

Electric Utility Programs

Also contact your local electric utility company to find out about any energy efficiency rebates, incentives and programs the company may offer for builders or owners. They have become extremely generous in many areas because these programs allow them to significantly delay multi-billion dollar infrastructure investments. The Database of State Incentives for Renewable Energy (DSIRE) is a good starting point.

Canada Incentives

A multitude of financial and other incentives are available in Canada for energy-efficient new construction and retrofits. A good place to start researching them is the Office of Energy Efficiency. Some of the programs are:

For more info, also refer to the OEE's Directory of Programs or the Incentives Database by Environment Canada, which also include provincial and municipal incentives.

Also contact your local utility company to find out about any energy efficiency rebates, incentives and programs the company may offer for builders or owners. They have become extremely generous in many areas because these programs allow them to significantly delay multi-billion dollar infrastructure investments.