Ecology Building Society has launched an Eco Home Mortgage.

The mortgage offers a full-term discount for borrowers wanting to purchase or remortgage an energy-efficient home.

The new variable rate product has no application fee and is available with a maximum 80% loan-to-value for properties with an energy performance certificate (EPC) rating of B* or above.

The discounted variable interest rate at launch is 5.15%, which includes a 1.14% full-term ‘eco home’ discount.

Ecology mortgage product manager Dan Capstick says: “Industry searches for ‘green mortgages’ spiked earlier this year, reflecting a growing trend in finding out more about living more sustainably and choosing energy-efficient homes.”

“We expect our Eco Home Mortgage to be of great interest to homeowners already living in an energy-efficient property, who can now remortgage to Ecology, and to property purchasers of homes that meet our minimum EPC criteria.”