Homeowners that have an energy rating of any kind will receive discounts on a new mortgage product that Bank of Ireland is introducing.
Banks already provide green mortgages with interest rates that are less than those of conventional mortgages, but only for houses with a Building Energy Rating (BER) of B3 or above. The new offering was released the day after rates on certain green mortgage fixed rates were lowered by AIB and its subsidiaries Haven and EBS. Currently, Bank of Ireland is offering lower fixed rates for all properties with a Building Energy Rating (BER), ranging from A to G, under a new product it calls the “EcoSaver Mortgage.”
Starting on Thursday, April 18, EcoSaver Mortgage will be accessible to both new and current clients who transfer from another Bank of Ireland mortgage product to the new one.
A property assessed as G and having a BER will receive a reduction of 0.05 percentage points.
The reduction for houses with a F grade is going to be 0.1 percentage points. A property with a D rating receives a reduction of 0.2 points, whereas E and D receive 0.15 and 0.2 points respectively. Homes with a C grade are eligible for a 0.25 percentage point discount, which translates to a 0.25 point reduction. On a fixed rate, homes with a B rating will receive a 0.30 point discount.
Additionally, a fixed-rate discount of 0.35 percentage points will be given to residences with an A rating. Energy-efficient improvements made to a customer’s property will be rewarded with an EcoSaver Mortgage; the EcoSaver rate will be discounted further for each BER improvement.
After their current fixed rate expires, clients can apply for an EcoSaver Mortgage, according to Bank of Ireland. As an alternative, they can switch to an EcoSaver Mortgage and leave their existing fixed rate behind.
If the consumer is currently on a lower fixed rate than what Bank of Ireland is now offering, breaking out of their current fixed rate term might not result in savings. Also, early termination of a fixed rate period is probably going to incur fees.
Customers with variable rates can choose to convert to Ecosaver Mortgage at any time and receive a fixed rate, according to the bank.
Read More: Click Here
