The rise of green mortgages.

The UK government’s net zero target for carbon emissions by 2050 means mortgage lenders are turning their attention to green mortgages.

Dupree and Co new build house

Homes in the UK account for a big chunk of the UK’s carbon emissions. The mortgage market is playing its part, with many lenders now making it more attractive to buy an energy efficient home or to release capital to fund eco-friendly home improvements.

Green mortgages can offer more competitive mortgage deal with either a discounted interest rate or a cash back payment on completion.

To access a green mortgage a buyer is likely to need an Energy Performance Certificate (EPC) or Predicted Energy Assessment (PEA) of A or B.

Phil House, director at Dupree & Co says: “While green mortgages can be a great way to access a lower interest rate or get some cashback, a green mortgage with one lender will not necessarily make it a better deal than a standard mortgage with another, so do your research.”

It’s worth noting that there’s nothing specifically green about the mortgage itself. The positive environmental impact comes from the property using less energy, rather than anything to do with where the money for the mortgage has come from.

Find out more about EPC ratings

Illustration of couple inside flat looking at guides in books and online

Get wise with our guides.

We want to share the knowledge. Whether you’re a first-time buyer or keen on investing in a buy to let, our guides explain all.

Popular guides:

Relax. We've got this.

We will seek out a mortgage deal that is right for you, so you can move home minus the stress.

Your home may be repossessed if you do not keep up repayments on your mortgage.

Most Buy-to-Let mortgages are not regulated by the Financial Conduct Authority.

Illustration of woman relaxing in hammock with pet cat and fizzy drink, reading a book
Contact us.

Contact us.

We would like to hear from you. Please send us a message by filling out the form below and we will get back to you shortly.

I have read and understand the privacy policy.