HSBC UK has announced the launch of a cashback mortgage aimed at rewarding customers who choose to purchase or remortgage to a more energy-efficient home.
Revolutionizing real estate: Mortgage transformation, new business models and home ownership ecosystems
Under this new mortgage scheme, called the Energy Efficient Homes Cashback, customers purchasing or remortgaging to HSBC UK with a home that has an EPC rating of A or B will receive a £500 cashback when taking a residential mortgage through a broker. This cashback is in addition to any other cashback offered with the selected product, potentially totaling up to £1,500 for first-time buyers purchasing a home with an EPC A or B rating.
Mortgage rates for the Energy Efficient Home Cashback mortgage start at 4.28% (60% LTV, 5-year fixed rate with £999 fee), which is the same as the standard range, with the only difference being the £500 cashback.
Oli O’Donoghue, HSBC UK’s Head of Mortgages, highlighted the financial benefits of choosing an energy-efficient home, including significantly reduced energy bills over the short, medium, and long term compared to homes with lower EPC ratings.
"An EPC provides important information to consider when buying a home, making it easy to see at a glance which homes are the most energy-efficient, and what work needs to be done to improve the home’s energy efficiency," said O’Donoghue.
He added, "With environmental consciousness on the rise, our new Energy Efficient Home Cashback mortgage will promote more sustainable choices around home ownership and reward customers who wish to purchase an energy-efficient home or have one and choose to stay in it and remortgage to HSBC UK at the end of their current fixed-rate deal ending."
