Sustainability Trust

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Green Home Loans

Published 3 May 2023

Green loans for your home and lifestyle!

Did you know if you’ve got a mortgage with one of the major banks in New Zealand chances are you can access a low or no interest loan to make sustainable improvements to your home?

According to the Ministry for the Environment, well-designed funding and finance initiatives are “key enablers of the transition to a low-emissions economy.” Green home loans have become increasingly popular in New Zealand as homeowners look for ways to reduce their environmental footprint and lower their energy bills. In response, many banks in New Zealand have started offering low or no-interest loans to encourage the uptake of sustainable home improvements.

Green home loans provide an excellent opportunity for homeowners to reduce their energy bills and environmental footprint. With low or no interest rates sustainable improvements are now more affordable than ever.

Green home loans are an excellent way for homeowners to make sustainable improvements to their homes without having to stump up for large upfront costs. With a range of options available from different banks, it's important to do your research to find the loan that best suits your needs. By making these improvements, homeowners can reduce their energy bills, increase the value of their home, and contribute to a more sustainable future.


Westpac

Westpac, one of New Zealand's largest banks, offers a “Warm Up” home loan with no interest on loans up to $40,000 provided they can be paid off within five years. The loans can be used for a range of sustainable improvements such as solar panels, double glazing, ventilation, heat pumps and insulation. The WarmUp loans are available to current and new Westpac home loan customers.

ANZ Bank

ANZ Bank offers a “Good Energy” home loan, which provides a 1% interest rate for up to $80,000 over three years. Similar to Westpac, these loans are for heating, ventilation, insulation and other sustainable measures, including purchasing an EV.

BNZ

BNZ Bank offers “Green Home” top up loans for sustainability improvements. The top-up allows homeowners to borrow up $80,000 at 1% interest rate for three years for sustainability improvements such as insulation, solar panels, and rainwater tanks. BNZ will also finance EVs and solar arrays.

Kiwibank

KiwiBank has “Sustainable Energy” loans, offered at the variable home loan rate, with KiwiBank offering $2000 towards loans of over $5000. There are some additional conditions to the KiwiBank loans, so best to check their website.

ASB

ASB Bank offers a “Better Homes” top up loan, which provides a 1% interest rate for loans of up to $80,000 over three years for heating, insulation, solar panels, double glazing and electric vehicles.

As with any offers from banks, things can change. Sustainability Trust recommends getting in touch with your home loan lender to check what they’re offering and what the loans can be used for.


Sustainability Trust staff member, Kim, recently accessed a “Good Energy” loan from ANZ to purchase an electric vehicle. Kim and her partner applied to ANZ to access the loan and within a week were driving their new EV.

“Getting our loan was super easy. We applied online and the next day we had a call from a loan manager. A video call was organised - so he could see we were legit and to ask us a few follow up questions - the following day we were approved, and a few days after that the money was in our account, easily our best bank experience yet.” - Kim Tabrum

Sustainability Trust provides several of the services that green home loans finance, including heat pumps, insulation, ventilation options and EV chargers. So, once you’ve secured your green loan, be sure to come to us to get a quote to make your home cosy and warm and to reduce your electricity bills!

Georgie Ferrari - Chief Executive, Sustainability Trust