BANK of Ireland branches nationwide are now open for business for Ireland’s first Green Equity Release loan. This new mortgage feature allows customers to unlock some of the equity built up in their home to invest in energy efficient home improvements.
Homeowners with SEAI (Sustainable Energy Association of Ireland) grant approval for their home improvements can now avail of the bank’s highly competitive variable LTV mortgage rate of 3.0%.
Customers can avail of the cheaper rate on the entire cost of their green home improvements and not just the portion of the SEAI grant. They can borrow from €5,000 up to 90% of the value of their property to fund the energy efficiency improvements in their home and can also opt for repayment terms of between five and thirty years, keeping their monthly amounts at a lower, more manageable level.
Jonathan Byrne, Head of Mortgages ROI, Bank of Ireland, said “this latest announcement reflects a nationwide growth in desire to be energy efficient at home but also the imperative to protect our environment by reducing carbon emissions and our dependence on fossil fuels. This new Green Equity Release finance option makes it much more affordable for customers to make energy efficient improvements to their home by allowing customers borrow at highly competitive mortgages rates and spread the cost over a longer term.”
Mr Byrne went on to explain the savings which can be made from energy efficient home improvements. Taking the example of a typical 4 bedroom house built around 1970, with high energy bills, improvements costing approximately n18,000 could reduce the total energy costs by 40%. This equates to an average saving of n111* each month which is a significant saving for any household.