Green home loans, for saving the planet and your pennies

You could get discounted interest rates and other benefits if you build, buy or renovate an environmentally-friendly home.

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By

Richard Whitten

Reviewed by

John Pidgeon

Updated

Fact checked
4.7 based on 831 reviews

Key takeaways

  • Green home loans are options for homes with environmentally-conscious features, like solar panels.
  • Sometimes a discounted rate is a discount off a higher rate or package loan, so be sure to compare with other loan options to see if you are actually saving.
  • There are also home loan add-on options if you want to add green features.
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14 of 14 results
Checked 14 October 2026
Finder Score Interest Rate p.a. Comparison Rate p.a. Fees Features Monthly Payment
Bank Australia logo
Finder score
9.8 Excellent
Bank Australia Clean Energy Variable Home Loan New Build
Finder score
9.8 Excellent
Interest Rate
6.04%
Comparison Rate
6.34%
Fees
  • Application: $0
  • Ongoing: $199 p.a.
Principal & Interest10% min. equityInvestmentOffset accountLMI
Monthly Payment
$905
per month
View details
Compare product selection
Bank Australia logo
Finder score
9.7 Excellent
Bank Australia Clean Energy Variable Home Loan Renovate
Finder score
9.7 Excellent
Interest Rate
6.14%
Comparison Rate
6.38%
Fees
  • Application: $0
  • Ongoing: $199 p.a.
Principal & Interest10% min. equityInvestmentOffset accountLMI
Monthly Payment
$914
per month
View details
Compare product selection
Bank Australia logo
Finder score
9.6 Excellent
Bank Australia Clean Energy Variable Home Loan New Build
Finder score
9.6 Excellent
Interest Rate
5.88%
Comparison Rate
6.21%
Fees
  • Application: $0
  • Ongoing: $199 p.a.
Principal & Interest10% min. equityOwner-occupierOffset accountLMI
Monthly Payment
$889
per month
View details
Compare product selection
Bank Australia logo
Finder score
9.5 Excellent
Bank Australia Clean Energy Variable Home Loan Renovate
Finder score
9.5 Excellent
Interest Rate
5.98%
Comparison Rate
6.25%
Fees
  • Application: $0
  • Ongoing: $199 p.a.
Principal & Interest10% min. equityOwner-occupierOffset accountLMI
Monthly Payment
$899
per month
View details
Compare product selection
Gateway Bank Ltd logo
Finder score
9.4 Excellent
Gateway Bank Green Home Loans - Plus
Finder score
9.4 Excellent
Interest Rate
6.10%
Comparison Rate
6.38%
Fees
  • Application: $0
  • Ongoing: $299 p.a.
Principal & Interest20% min. equityOwner-occupierOffset account
Monthly Payment
$910
per month
View details
Compare product selection
Gateway Bank Ltd logo
Finder score
9.3 Excellent
Gateway Bank Green Home Loans - Plus
Finder score
9.3 Excellent
Interest Rate
6.75%
Comparison Rate
7.03%
Fees
  • Application: $0
  • Ongoing: $299 p.a.
Interest only20% min. equityInvestmentOffset account
Monthly Payment
$974
per month
View details
Compare product selection
Gateway Bank Ltd logo
Finder score
9.1 Excellent
Gateway Bank Green Home Loans - Plus
Finder score
9.1 Excellent
Interest Rate
6.63%
Comparison Rate
6.91%
Fees
  • Application: $0
  • Ongoing: $299 p.a.
Principal & Interest20% min. equityInvestmentOffset account
Monthly Payment
$962
per month
View details
Compare product selection
Gateway Bank Ltd logo
Finder score
9.1 Excellent
Gateway Bank Green Home Loans
Finder score
9.1 Excellent
Interest Rate
6.35%
Comparison Rate
6.63%
Fees
  • Application: $0
  • Ongoing: $299 p.a.
Principal & Interest20% min. equityOwner-occupierOffset account
Monthly Payment
$935
per month
View details
Compare product selection
Bank Australia logo
Finder score
9 Excellent
Bank Australia Clean Energy Fixed Home Loan New Build
Finder score
9 Excellent
Interest Rate
6.59%
Comparison Rate
6.45%
Fees
  • Application: $0
  • Ongoing: $199 p.a.
Principal & Interest 3Y Fixed10% min. equityOwner-occupierOffset accountLMI
Monthly Payment
$958
per month
View details
Compare product selection
Gateway Bank Ltd logo
Finder score
9 Excellent
Gateway Bank Green Home Loans - Plus
Finder score
9 Excellent
Interest Rate
6.59%
Comparison Rate
6.87%
Fees
  • Application: $0
  • Ongoing: $299 p.a.
Interest only20% min. equityOwner-occupierOffset account
Monthly Payment
$958
per month
View details
Compare product selection
Bank Australia logo
Finder score
9 Excellent
Bank Australia Clean Energy Fixed Home Loan New Build
Finder score
9 Excellent
Interest Rate
6.64%
Comparison Rate
6.54%
Fees
  • Application: $0
  • Ongoing: $199 p.a.
Principal & Interest 3Y Fixed10% min. equityInvestmentOffset accountLMI
Monthly Payment
$963
per month
View details
Compare product selection
Bank Australia logo
Finder score
8.8 Great
Bank Australia Clean Energy Fixed Home Loan Renovate
Finder score
8.8 Great
Interest Rate
6.69%
Comparison Rate
6.48%
Fees
  • Application: $0
  • Ongoing: $199 p.a.
Principal & Interest 3Y Fixed10% min. equityOwner-occupierOffset accountLMI
Monthly Payment
$968
per month
View details
Compare product selection
Bank Australia logo
Finder score
8.8 Great
Bank Australia Clean Energy Fixed Home Loan Renovate
Finder score
8.8 Great
Interest Rate
6.74%
Comparison Rate
6.57%
Fees
  • Application: $0
  • Ongoing: $199 p.a.
Principal & Interest 3Y Fixed10% min. equityInvestmentOffset accountLMI
Monthly Payment
$973
per month
View details
Compare product selection
Gateway Bank Ltd logo
Finder score
8.8 Great
Gateway Bank Green Home Loans
Finder score
8.8 Great
Interest Rate
6.80%
Comparison Rate
7.07%
Fees
  • Application: $0
  • Ongoing: $299 p.a.
Interest only20% min. equityOwner-occupierOffset account
Monthly Payment
$979
per month
View details
Compare product selection
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Showing 14 of 14 results

What is Finder Score?

The Finder Score crunches 7,000 home loans across 120+ lenders. It takes into account the product's interest rate, fees and features, as well as the type of loan eg investor, variable, fixed rate - this gives you a simple score out of 10.

To provide a Score, we compare like-for-like loans. So if you're comparing the best home loans for cashback, you can see how each home loan stacks up against other home loans with the same borrower type, rate type and repayment type. We also take into consideration the amount of cashback offered when calculating the Score so you can tell if it's really worth it.

Read the full breakdown

What is a green home loan?

Green home loans offer discounted rates for environmentally friendly properties. They're like any other home loan, except they have different eligibility criteria. You can use a green home loan to buy a home to live in or an investment property - you just need to make sure the property is considered "green".

In practice, this means the home must meet some form of sustainability criteria or a specified energy efficiency criteria. For most lenders, this means having a natHERS rating of at least 7. You could also be eligible if you are adding green improvements to your home. (We go into more of the specific criteria for different lenders further down.)

Examples of features that make your home greener include:

  • Solar panels
  • Double glazing
  • Water storage tanks
  • An alternative power supply
  • Insulation

Be sure to check with each lender what the criteria is to be eligible for their green home loan.

[ee_quote type="expert" source="external" author="1028472" ]Lenders incentivise you to make eco-conscious choices by offering reduced interest rates and other perks when you invest in energy-efficient homes, whether through building, buying, or renovating. By adding features like solar panels or water-saving fixtures, you're not only cutting down on bills but also boosting your property's long-term value. It's all about setting yourself up with a home that's cheaper to run, better for resale, and doing your bit for the planet. Green loans make the upfront costs more manageable, so you save your pennies while helping save the planet – a win on all fronts.[/ee_quote]

Here's what other Australians are doing according to Finder's research:

  • 24% have solar panels.
  • 40% have energy efficient lighting.
  • 9% are buying green power.

Note that some lenders may not offer specific green home loans but may have other "green loans" that can fund home renovations to make your home greener. These are essentially a form of personal loan.

Pros

  • Reduce your environmental footprint. The most obvious benefit of these loans is that you will be able to contribute to a more sustainable future, reducing your environmental impact.
  • Interest rate discounts. The main draw card of a green home loan is that you are rewarded with lower interest rates in return for your choice to make your house environmentally friendly. But be aware that these interest rates may not
  • Lower bills. By switching to more energy efficient power options, you could potentially save more on your electricity and water bills.

Cons

  • Strict criteria. Most green loans have a very strict and specific criteria your house will have to meet in order to be eligible. The criteria will differ from lender to lender, and the less environmentally friendly tools your house has, the small array of lenders you will have to choose from.
  • Fees and charges. As with any loan, be aware of fees such as redraw facility charges.
Rebecca Pike's headshot

"The discounted rates offered for green home loans can still be higher than the cheapest loans out there. The discounts often come off the higher rate products or package loans. Be sure to compare the wider range of home loan options to make sure you're really saving money."

Editor, Money

Which lenders offer green home loans?

Green home loans aren't something that a lot of lenders offer, but here are some that do:

LenderCriteria
Bank AustraliaThis customer owned bank offers different rates depending on the type of home. Currently, you can secure a rate discount if you are buying or building a 7+ star-rated home. Note: this criteria is changing in late-2024: your home will need to be all-electric, have a natHERS rating of at least 7.5 and have an eligible solar system.
Commonwealth BankThis big four bank offers a green home loan for anyone building, buying or renovating a sustainable, energy efficient home.
NABoffers lower variable rates for home loan customers with energy efficient homes. They must be owner occupiers with a deposit of 20% or less to benefit from a discount of up to 1.00% p.a. on their home loan.
loans.com.auThe Green Home Loan from loans.com.au offers discounted rates for borrowers who have a property with a 7.0 NatHERS rating. Your property must be less than 12 months old.
FirstmacWhether you're buying or building, if your property has a NatHERS rating of at least 7 stars you could get an interest rate discount of 1.05% for 5 years. Firstmac also offers a specific Solar Home Loan for a discounted rate if you have or are working towards getting solar panels.
Gateway BankIf your property has environmentally-friendly features with a Residential Efficiency Scorecard between 4 stars at 6.9 stars, or you're planning renovations to add environmentally-friendly features, or planning to build a new eco-build, you could benefit from a 0.15% rate discount from Gateway Bank's Premium Package Variable Rate home loan.
RACQIf you are in Queensland and hold an RACQ home loan, you can add on another loan to cover the cost of adding features like solar panels, battery packs, a heat pump or solar hot water system, or an electric vehicle charging port.

Read more on home loans from ethical lenders

How to apply for a green home loan

You can apply for a green home loan the same way that you would apply for any home loan, but you would need additional evidence to prove that your home meets the criteria.

1. Check rates and features. Although rates are discounted with green home loans, this is often a discount off of a higher rate (like through a package loan). So if you've found a green home loan you're interested in, check that it would actually save you money and still provide all the useful home loan features you're after.

2. Apply online or in a branch. Most green home loan lenders are online only, but there are some in-person options too. The application process will ask you for information like your personal details, income and loan amount.

3. Provide evidence. You'll need to provide the usual identification verification and financial evidence. But for a green home loan you will also need to show how your home is eligible. This depends on the loan and the criteria, but examples of what you may need to provide include:

  • A NatHERS certificate showing your planned or existing property has a rating of at least 7 stars.
  • A quote from an approved supplier/installer if you plan on adding green features.

4. Wait for approval!

Learn more about green homes

If you have a green home, there's more to think about than just your home loan!

new home icon

Compare all home loans:
Compare green home loan rates with standard rates to make sure you are getting a better deal.

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Solar power plans:
Have rooftop solar? Compare your energy options and save even more.

Get more information about living a greener life with Finder Green

Sources

John Pidgeon's headshot
To make sure you get accurate and helpful information, this guide has been reviewed by John Pidgeon, a member of Finder's Editorial Review Board.
Richard Whitten's headshot
Senior Money Editor
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Richard Whitten is Finder’s Senior Money Editor, with over eight years of experience in home loans, property, credit cards and personal finance. His insights appear in top media outlets like Yahoo Finance, Money Magazine, and the Herald Sun, and he frequently offers expert commentary on television and radio, helping Australians navigate mortgages and property ownership. Richard started his career in education and textbook publishing in South Korea. He holds multiple industry certifications, including a Certificate IV in Mortgage Broking (RG 206) and Tier 1 and Tier 2 certifications (RG 146), as well as a Bachelor of Education from the University of Sydney and a Graduate Certificate in Communications from Deakin University. See full bio

Richard's expertise
Richard has written 755 Finder guides across topics including:
  • Home loans
  • Credit cards
  • Personal finance
  • Money-saving tips
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2 Responses

    Dale's avatar
    DaleJune 22, 2017

    Hi. I am seeking information about the rates for Green Loans for solar panels please.

      Jhezelyn Andoy's avatarFinder
      JhezelynJune 22, 2017Finder

      Hi Dale,

      Thanks for your comment.

      The available green home loans in our page are Hunter United Green Home Loan with a minimum loan amount of $200,000 and gives borrowers a rate discount, Bendigo Bank Green Home Loan with a minimum loan amount of just $5,000 and has a variable interest rate and Southern Cross Credit Union Green Home Loan which can offer you a 0.7% discount off the standard variable rate if your home can achieve a 7 star or above rating according to the Naitionwide House Energy Rating Scheme SCU.

      Hope this information has helped you.

      Regards,
      Jhezelyn

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