Most of you have heard the term ‘Green House Effect’. Applying the same principle in our day to day lives, Green Homes are houses which are constructed in a manner which is environment friendly and sustainable. Although there are numerous factors defining green houses, special attention is given to conservation of electricity and water and the efficient use of building materials.
Green Mortgage refer to the loans availed to purchase green houses. As a reward for purchasing houses that are environment friendly, borrowers easily qualify for such loans. Green mortgages are bigger loans than are normally permitted because of the additional costs that are incurred in making the houses energy efficient. In some cases such green mortgages are also available at discounted rates to promote buyers to purchase green homes. They hinge on the principle that a more energy-efficient home means lower utility bills and, as a result, greater income, qualifying a prospective homeowner to buy a more expensive house.
Articles on Green Mortgage Lending
- Green Housing – An introduction to Green Mortgage Lending, by Team Vinod Kothari Consultants, 13th January, 2014