{"id":19902,"date":"2023-05-25T21:26:10","date_gmt":"2023-05-25T13:26:10","guid":{"rendered":"https:\/\/www.dev.articusfinance.com\/non-classifiee\/green-mortgages-in-the-uk-what-are-the-advantages"},"modified":"2023-09-13T18:15:01","modified_gmt":"2023-09-13T10:15:01","slug":"green-mortgages-in-the-uk-what-are-the-advantages","status":"publish","type":"post","link":"https:\/\/backup.articusfinance.com\/fr\/blog\/green-mortgages-in-the-uk-what-are-the-advantages","title":{"rendered":"Green Mortgages in the UK \u2013 What are the Advantages?"},"content":{"rendered":"

The popularity of \u2018Green Mortgages\u2019 has been increasing recently. While the determination of the \u2018green\u2019 status of a mortgage is self-explanatory, it typically involves providing lower interest rates, discounted fees, or other financial benefits for homes with better energy efficiency ratings.<\/span><\/p>\n

The following Market Update explores the concept of Green Mortgages, a holistic overview of Green Mortgages in the UK and what reward homeowners can win by making energy-efficient upgrades to their properties.<\/span><\/p>\n

If you are considering buying an environmentally friendly home, making your current home more energy efficient or building a green one. Identifying the right solution is challenging. At Articus we have a decade of experience in supporting High Net Worth (HNW)<\/u><\/span> and overseas clients<\/u><\/span><\/a> with purchasing their new homes, investment and development projects. <\/span><\/p>\n

What is a Green Mortgage? <\/strong><\/span><\/p>\n

A Green Mortgage is a way for lenders to incentivise those who purchase energy-efficient homes or improve their current properties to enhance their energy efficiency.<\/span><\/p>\n

Home loans of this nature are intended to enhance the desirability of properties equipped with features such as improved insulation \u2013 double glazing and draught proofing, as well as solar panels and modern central heating boilers that utilise less gas.<\/span><\/p>\n

To date, many green mortgage lenders in the UK offer discounted interest rates to homeowners who purchase properties rated A or B on the EPC scale. The same applies to investors opting to undertake an energy-efficient development project. Some banks will offer 0% interest rate loans to undertake these improvements and charge no fees. This applies to both residential<\/u> <\/span>properties and buy-to let<\/u><\/span><\/a>.<\/span><\/p>\n

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Sustainable Development and Incentives <\/strong><\/span><\/p>\n

Given the need for new housing stock along with the push towards becoming carbon neutral, lenders and government are increasingly looking at ways to incentivise developers and housebuilders of all sizes to produce more energy-efficient developments. An example of this is a reduction in interest rates depending on the EPC rating of the units\/scheme.<\/span><\/p>\n

This can be used for a variety of asset classes and incorporate other housing schemes\/incentives. With the discounts available, this becomes a market leading development facility and can increase the developers profit per scheme, albeit with a positive outcome for the environment and our futures. Download our property development guide<\/u><\/span><\/a> to find out more.<\/span><\/p>\n

Today\u2019s Green Mortgage landscape <\/strong><\/span><\/p>\n