HUD Dumps Green Discounts for Eco-Nursing Homes: Climate Irony Alert
Published Date: 6/26/2025
Notice
Summary
Starting now, healthcare facilities with FHA-insured loans won’t get special lower mortgage insurance rates for being green or energy-efficient. Instead, all these loans will follow the regular rate set before. This change affects anyone with Section 232 healthcare mortgages and means no extra savings for green upgrades.
Analyzed Economic Effects
1 provisions identified: 0 benefits, 1 costs, 0 mixed.
Green MIP Eliminated for Section 232
Starting now, healthcare facilities with FHA-insured Section 232 mortgages will no longer get a special lower mortgage insurance premium (MIP) rate for being green or energy-efficient. All such projects will instead pay the regular MIP rate that was previously established (HUD first proposed related MIP reductions on May 19, 2022).
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