A typical home loan or mortgage is for borrowing money to purchase a property to live in as an owner occupier, or to rent out as an investor. A green home loan is a mortgage that’s specifically for borrowers buying an energy efficient property, which can help to lessen your household’s environmental footprint. Many Australian mortgage lenders who provide green loans do so with the support of the Clean Energy Finance Corporation (CEFC).
Green home loans (sometimes called clean energy home loans or sustainable home loans) are intended to help encourage Australians to invest in more sustainable housing, as residential buildings contribute significantly to Australia’s greenhouse gas emissions, thanks to heating, air conditioning, appliances, hot water systems and so on.