Rising energy bills. Soaring fuel prices. Cost of living increasing. It's easy to get down about everything going up.
But here at Mulgrave Properties, we've had an energy saving, green lightbulb moment and it's time you switched on to saving in more ways than one. Because our energy efficient homes qualify for ‘green' mortgages. Which could actually save you thousands in gas bills and repayments and will be a gamechanger in the fight for a sustainable future.
That is why we believe the move towards net zero and beyond should start at home.
Due to expediential increases in global gas rates, the energy price cap will skyrocket by a record 54% from 1 April for approximately 22 million households across the UK. With prepayment properties anticipating an average yearly increase of £708. While those on default tariffs will see an increase of £693 per year.
However our new-build homes can allow you to apply for lower rates on 2 or 5 year fixed ‘green’ mortgages - just one of the ways we are supporting more conservational choices.
Every home has an Energy Performance Certificate (EPC). This tells you how energy efficient (or ‘green’) your property is. It is then given a score from A or 100 (most efficient) to G or 0 (least efficient), calculated using a Standard Assessment Procedure (SAP).
Our homes have an average of energy efficiency ranking of 81. Which means that they fall into the EPC rating of band B and we can provide a Predicted Energy Assessment (PEA) before your property is finished. Supplying you with forecasted figures which can be used to secure and save on your loan.
Whether you are buying for the first time or already have a mortgage, you could be eligible for a rate reduction [provided you are purchasing the property to live in] and receive cashback starting from £250* (Nationwide). Which will be paid to your solicitor on the day you drawdown your mortgage (max LTV 85%).
How do you qualify for a green mortgage?
Each lender will have its own terms and conditions and maximum loan-to-values for green mortgages. The property you want to purchase will also need to meet a minimum level of energy efficiency.
For example, Barclays requires a rating of 81 or above (or an Energy Performance Certificate at bands A or B). NatWest requests an EPC at A or B and Nationwide Building Society has a minimum efficiency rating of 86.
The Ecology Building Society bases its whole ethos around supporting sustainable communities and offers a discount on mortgage interest rates dependent on the improvement made in your EPC rating. This is available when purchasing a new-build home and deductions are applied for the full term of your mortgage.
When buying with Mulgrave you will also receive a Predicted Energy Assessment to provide a forecasted energy rating. Lenders may ask to see this to check you are eligible for a green mortgage.
What interest rates are available for green mortgages?
Green mortgages can offer more competitive rates. With some lenders offering discounts as a reward for purchasing an energy efficient home. Other lenders offer cashback as an incentive.
Should I speak to a mortgage advisor?
Brokers such as our trusted partner New Home Mortgages can remove a lot of paperwork and hassle from the process, as well as helping you access exclusive products and rates that aren’t available to the public. Please speak with one of our Sales Advisors by calling 0333 3702505 for details
If you are looking for help to buy or simply hunting for a fresh start, we keep abreast of the latest lender news and discounts to help you find the best deals available for financing your Mulgrave home. View the latest loan to value ratio rates from a variety of leading lenders here.
* Calculations are correct at time of writing