Investing in an energy‑efficient home with an EPC rating of B or above not only reduces your carbon footprint but can also help towards your borrowing costs. Green mortgages can reward sustainable choices with better terms than standard deals—here’s how.
What Is a Green Mortgage?
- Exclusively for homes with high EPC ratings (B and above)
- Typically offers lower interest rates than standard mortgages
- Aims to encourage energy-saving improvements
How they Work?
- Lenders factor reduced energy bills into calculations
- Choose reduced rates, cashback or extra borrowing
- Borrow more against projected bill cuts
Considerations Before Applying
- You must pass standard credit and affordability checks.
- Eco-upgrade costs (e.g. insulation, solar) can be high.
- Always compare green and standard deals for best terms.
Is a Green Mortgage Always the Best Deal?
Not always. While green incentives are attractive, green mortgages aren’t always the cheapest option across the whole market. Its always best to compare all your options