Financial Tools for Sustainable Housing Ownership

This research work represents the continuation of the analysis 'Loan Funding for Sustainable Housing Ownership', (IAHS Journal, Vol 25 N°4, 2001). On the basis of the financial barriers to the access to much of sustainable housing - mainly the objective, though long-term balanced, high initial cost of efficient technologies - the study presented an analysis of the Italian construction sector, in order to assess the existence of the appropriate conditions for a successful adoption of specific tools in support of sustainable housing ownership. In particular, it examined EEM procedures and concluded that they could prove successful in the Italian context. Indeed, in the last years several steps have been made in our Country, in order to make sustainable shelter more affordable. On one hand, local governments have been gradually integrating financial measures in support of sustainable housing. Despite an appreciable variety in the opportunities available, they risk to result in shortcuts to tax reduction when rewarding little - sometimes only apparent or overstressed - sustainable features, lacking an integrated perspective and sound assessment procedures. In this sense, they fail to stimulate an actual awareness raising and to completely grant the environmental quality of building projects, as they do not overcome the 'minimum requirement' logic. A more important development is represented by the quite recent diffusion of loan facilitation systems, implemented by governments and financial institutions and specifically intended for sustainable housing programs. In many respects, however, they substantially differ from the concept of 'Energy Efficient' or 'Green' Mortgages as currently meant in other Countries. This paper presents a comparison between financial systems available in and outside Italy, aimed at identifying their respective potentialities and proving their complementarity. Finally, reflections and indications on a possible loan frame tailored for the Italian context are proposed.