Designed specifically for Australian homeowners with environmentally-friendly homes, the Green Home Loan from Gateway Bank offers both a low interest rate and a range of handy features for borrowers to make use of. Eco-conscious buyers, take note.
Let’s start with the environmental requirements, because you’ll need to tick off one of the three following options to be eligible for the Green Home Loan:
Your property already has an energy efficiency rating between a minimum 4 star up to a maximum 6 star.
You’ll be making environmental enhancements within 12 months of the loan being funded which will bring your property’s energy efficiency rating to between a minimum 4 star up to a maximum 6 star.
Your property has at least three environmentally-friendly features. These include (but are not limited to): solar panels, solar battery storage systems, rainwater tanks, solar hot water systems and double glazed windows.
Alternatively, if your home is even more energy efficient (7 star rated), you may be eligible for the Green Plus Home Loan which comes with an even lower interest rate.
Outside of those requirements, the Green Home Loan is available to owner occupiers with a maximum LVR of 80% who are wanting to borrow $150,000 or more. Sound like you? Well, the good news is that it comes with a variable rate of just 6.15% p.a. (6.43% p.a. comparison rate*) - one of the lowest on offer among lenders being tracked in the Mozo database.
Aside from the low rate, one of the highlights of the loan is the range of features available. Borrowers will have access to a 100% offset account (and a linked Eco Debit Card), plus they'll be able to make extra repayments towards their loan balance for free. There’s also a redraw facility which can be used to tap into any extra repayments made, though there’s a minimum redraw amount of $500.
There are a couple of fees to take into account though, including the $299 annual service fee and the $300 discharge fee.
The Green Home Loan is certainly worth a closer look for refinancers or new borrowers who have an environmentally-friendly property (or are building one) who want to be rewarded with a competitive interest rate and an array of features.
Given the environmental requirements involved, this isn’t going to be an option for every borrower. With that in mind, another Gateway Bank home loan may be a better fit, otherwise to compare even more competitive offers then browse through your options using our home loan comparison tables.
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6.15% p.a. |
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n/a |
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n/a |
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n/a |
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6.43% p.a. |
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n/a |
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n/a |
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n/a |
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n/a |
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n/a |
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n/a |
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n/a |
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n/a |
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$0.00 |
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$0.00 |
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$0.00 |
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$0.00 |
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n/a |
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$299.00 yearly |
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$300.00 |
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$150,000 |
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none |
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none |
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80.00% |
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Owner Occupier |
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Principal & Interest |
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Weekly, Fortnightly, Monthly |
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yes - free |
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none |
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yes - free |
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$500.00 |
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yes |
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yes |
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Properties must have three environmental features or a Residential efficiency rating between 4 & 6 stars. A $95 fee applies for each security discharge in addition to the first. A valuation fee may apply if non-standard or more than one security is used. |
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none |
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none |
WARNING: This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan. The comparison rate displayed is for a secured loan with monthly principal and interest repayments for $150,000 over 25 years.
Home Value Loan
6.09% p.a. variable
6.09% p.a.
Fixed Rate
6.59% p.a.
fixed 3 years
7.06% p.a.
Elevate
6.09% p.a.
6.20% p.a.
Fixed Rate Loan (with Orange Advantage)
5.99% p.a.
fixed 3 years
6.12% p.a.
Fixed Rate
6.59% p.a.
fixed 3 years
7.06% p.a.
Home Value Loan
6.09% p.a.
6.09% p.a.
$0.00
Elevate
6.09% p.a.
6.20% p.a.
$0.00
First Home Buyer Loan
5.90% p.a.
5.93% p.a.
$0.00
Basic Variable Home Loan
5.94% p.a.
5.99% p.a.
$0.00
First Home Buyer Advantage Plus Home Loan
5.99% p.a.
6.76% p.a.
$0.00
WARNING: This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan. The comparison rate displayed is for a secured loan with monthly principal and interest repayments for $150,000 over 25 years.
