Next Step Systems>> Life-cycle Pricing>
Life-cycle pricing adds up the value we build into every Next Step home – from a superior foundation to ENERGY STAR savings – and makes every cost transparent to our Network Members and their homebuyers.
We made the decision to focus on quality because we know that by making upgrades like ENERGY STAR construction and permanent foundations, the likelihood of appreciation increases, thus building wealth in addition to saving a substantial amount in energy costs. The homeowner is also eligible for preferred real estate mortgages and can save money over the life of the loan; and when the homebuyer decides to sell their home, the next buyer qualifies for the same government-backed financing.
Today, our homes can be financed for 30 years at 4% versus the current industry chattel loan product of 20 years at 12%. The up-front cost of this foundation adds approximately $5,000 to the cost of the home, but the payback through interest savings over the life of the loan can range from $60,000 to $115,000. Furthermore, the up-front cost for an ENERGY STAR upgrade is between $2-4,000. However, energy cost savings will pay for this upgrade within 5-10 years. When replacing old mobile homes, an ENERGY STAR certified home is typically 65% more efficient than the home it is replacing. With the factory cost at $32,000 and total development at $65,000, the combined energy and $60,000 in interest savings over 30 years nearly pays for the initial cost of the home.
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2005 Longest Ave, 2nd Floor, Louisville, KY 40204, 502.694.1979