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What is a green mortgage?

It’s no secret that new build homes are much more energy efficient than their second-hand counterparts, but did you know that could help you access better interest rates?

Green mortgages aren’t exclusive to new-build homes, but are much more likely to be available on new homes as they require an EPC rating of A or B. All Kingswood homes are rated a minimum EPC rating of B, meaning they can be purchased with a green mortgage.

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Green mortgages tend to offer more favourable terms such as a slightly lower interest rate, cashback when you take out the mortgage, or both.

Lenders are prepared to offer incentives like this because they increasingly see energy-efficient properties as less risky purchases and more likely to hold their value.

For homeowners, there’s a double saving as the energy efficiency of a new home should mean lower bills, while the green mortgage may come at a more competitive rate, reducing the monthly mortgage repayments.

To find out more about green mortgages, speak to our sales team. They will put you in touch with independent financial advisors who will review the mortgage market and  assess what would be best suited to you and your situation.

As with a standard mortgage, with a green mortgage you still borrow a large sum of money and pay it back in monthly instalments. Failure to pay your mortgage may result in your home being repossessed.

Find out more from the experts here