Swansea Building Society has launched a new ‘green’ mortgage, available only on properties which have an energy performance certificate (EPC) rating of A or B. 

The Society says it wants to reward homeowners buying more energy efficient homes, with a lower interest rate when compared to its standard residential mortgage range.

There are a range of rate options on this green deal, with the Green 80 charging a variable rate of 2.95%, and the Fee Assist option charging a variable rate of 3.3%. Both have a maximum LTV of 80%.

As part of a wider product refresh, the Society has also increased the maximum LTVs on both its buy-to-let and holiday let mortgage products. These have been raised from 70% to 75%. 

Swansea has also launched a range of new products for those owning a buy-to-let or holiday let through a limited company, although these will continue to have a maximum LTV of 70%. It will now also accept mortgage applications from portfolio landlords. 

Swansea Building Society chief executive Alun Williams says: “These changes to our mortgage products have been brought in to keep pace with the needs and demands of borrowers. 

“We have made the decision to increase the loan to value maximum on a number of products to make them more desirable.

“Introducing our Green Mortgage is something we feel is very important to the future of the Society. It incentivises the purchase of energy efficient homes, and this is something that we believe will become an increasingly important factor when people consider a home for themselves and their families.”