SUMMARY
Grant / Support Name: Green Mortgage
Provider: Banks and other financial institutions
Value: Lower interest rates than a standard mortgage.
Overview: A green mortgage is a mortgage which offers a lower interest rate if you are buying a more energy efficient home. You can also switch to a Green Mortgage if you already live in an eligible home. Green mortgages are currently available from AIB, Bank of Ireland, EBS, Haven and PTSB.
Eligibility: In most cases, to qualify for a green mortgage, you need to be buying a new or second hand home with a Building Energy Rating (BER) of at least B3 or higher.
Special Conditions: Your property must have a minimum BER standard, usually B3 or higher. By law all new homes built here since 2019 need to be A-rated so these homes are automatically eligible.
Tax Implications: There are no tax implications
ARTICLE
A Green Mortgage is a type of home loan that could potentially save you money if you are planning to buy an energy efficient home. Typically, green mortgages offer lower interest rates or discounts if you are buying an energy-efficient home or, indeed, if you are already living in one. To qualify, your home usually needs a Building Energy Rating (BER) of at least B3 or higher.
The amount of discount varies between lenders, and green mortgages are available to first-time buyers, movers, switchers, and people who are building their own homes. It’s worth remembering that no provider is currently offering a green variable rate, only fixed, which may affect your decision if you plan to switch during the fixed rate period. Additionally, some green mortgages do not include a cashback option.
Depending on your deposit size or mortgage amount, you may also find cheaper non-green rates available to you, although opting for lower interest rates with a green mortgage could lead to significant cost savings.
If you're purchasing a new build property, iit will be required to have an A-rating, making a green mortgage a viable option for all first-time buyers in this category.
HOW TO APPLY
Talk to your mortgage provider or broker directly for details of how to apply.
LINKS
