New low-rate green mortgage for energy-efficient homes from loans.com.au

Homebuyers hoping to make environmentally friendly choices may be in luck, with competitive interest rate offerings from loans.com.au available for home loans and construction loans.

Following the announcement of its new lowest car loan rate for electric vehicles, loans.com.au is continuing its pledge towards ‘green’ finance options in Australia with competitive interest rates for homeowners and builders.

Green home loans from loans.com.au

Source: loans.com.au. Data accurate as of 25/02/22.

This new 1.88% offering is the 7^th lowest home loan rate on the RateCity database. And in a time when more and more lenders are hiking interest rates, this new interest rate may come to the relief of sustainable home buyers and builders.

Managing Director Marie Mortimer said: “Our green home loan and green construction loan discounts will save Australian families thousands of dollars and reward them for choosing to build or buy a more environmentally friendly energy-efficient home.”

“Borrowers simply need to show us the home’s 7-star NatHERS rating from an accredited assessor, which is typically always included in the building plan for all new buildings, and the application will go through our usual approval process,” said Ms Mortimer.

How could a green home loan save you money?

Interest rate charges are one of the most significant costs associated with a mortgage. Eligible borrowers that are successful in applying for a lower-rate green home loan or green construction loan may save thousands in interest charges.

“The savings you get on your home loan by choosing to go green could easily cover any costs of opting for an environmentally friendly home,” said Ms Mortimer.

This Green Home Loan is 1.99 percentage points lower than the current average owner-occupier variable home loan rate (paying principal and interest).

RateCity crunched the numbers and found that when compared to the average owner-occupier home loan paying principal and interest, loans.com.au’s Green Home Loan may save you $299 a month in repayments (based on a 25-year, $500,000 loan).

Repayments on 25-year, $500k home loan

Source: RateCity.com.au. Data accurate as of 25/02/22

Note: *Based on RateCity average owner-occupier variable home loan rate (paying principal and interest) of 3.07%. Figures based on hypothetical 25-year, $500,000 home loan. Does not factor in rate fluctuations or fees.

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