AIB Offers New, Lower Mortgage Rates For Energy Efficient Homes

Thanks to AIB’s green lending products, people looking to avail of lower mortgage rates may now do so if their sights are set on a home with a BER rating of between A1 and B3. The bank, which introduced green lending in 2019 has seen their green products exceed targets and expectations over the past three years. According to their sustainability report, the segment grew by one fifth during COVID 19,  a time which saw a marked fall in other overall lending. In fact, green mortgages made up 14 percent of home loan drawdowns last year.

AIB’s current green mortgage offering is now the lowest five year fixed rate mortgage in the Irish market and if you fit the following criteria, you’re eligible for the new, reduced rates.

You can get AIB’s new Green 5 Year Fixed Rate if: 

• You are a new customer building or buying your own home with a BER rating between A1 and B3.
• You already have a mortgage loan with AIB, with more than five years left on the loan and your home has a BER rating between A1 and B3.
• You already have a mortgage loan with AIB and you want to top it up to get your home to a BER rating between A1 and B3.

Summary of Mortgage Rate Changes

These new green mortgage rates not only help customers reduce their mortgage repayments but also their future fuel bills and carbon footprint. According to AIB’s own report “The energy savings can be substantial. For example, a two bed A rated apartment has an estimated annual fuel bill of €280 compared to €3,000 for a G-rated apartment, with the obvious positive impact on carbon emissions.”

Whether you’re buying or selling your home – solar panels offer a great opportunity to improve your home’s energy efficiency while also increasing its BER rating and market value. With the SEAI grant currently available for solar panel installations ( due to end later this year), the incoming scheme that will allow you to sell excess energy produced back to the grid and the introduction of improved green mortgage rates, there truly has never been a better time to invest. We’re currently in the sweet spot.

For additional information and the full set of requirements, you can download AIB’s press release here or visit their website here. It all makes for interesting reading.