Final answer:
Janet can finance energy-efficient upgrades to a home constructed in 1975 through an Energy Efficient Mortgage (EEM), a program that allows for financing energy-saving improvements as part of a single mortgage.
Step-by-step explanation:
Janet, who aims to purchase and upgrade a home constructed in 1975 to make it more energy-efficient, can consider the Energy Efficient Mortgage (EEM) program for financing. This type of mortgage benefits homebuyers or homeowners by allowing them to finance cost-effective, energy-saving improvements as part of a single mortgage. It effectively allows individuals to invest in energy-efficient features for older homes, knowing that the savings from reduced utility bills can offset the additional mortgage payment, thus lowering their overall costs. EEMs are supported by the Federal Housing Administration (FHA) and the Veterans Administration (VA); hence they're a more likely option than a Federal Reserve loan, Title III loan, or an Economic Stimulus Grant in this context.
Considering the federal government's changes to bank regulations, which have made it cheaper and easier for banks to make home loans, Janet may find more favorable terms when seeking an EEM. This could also bring down the costs of lending, making her project more financially feasible. By investing in energy-efficient upgrades such as new insulation, solar panels, and an energy-efficient air conditioner, Janet will not only increase the comfort and value of the home but also contribute to the efforts of creating environmentally friendly living spaces.