Cheap mortgages could end for some properties
Borrowers have been notified that it could soon become more difficult to find a cheap mortgage for non energy-efficient properties.
The English Housing Survey released by the Department of Communities and Local Government reports that the energy efficiency levels of UK homes is much improved over the past 10 years and that now about one in three homes has cavity wall insulation, while 71 per cent have loft insulation and 13 per cent have double –glazing.
Now, the National Home Improvement Council is suggesting the days of cheap mortgages for inefficient homes could end, with the government working to further cut back on energy consumption and carbon emissions within the residential sector.
Director Andrew Leech stated that the next step towards this goal could be the restrictions on mortgages unless a buyer is planning on increasing a home’s energy efficiency by a further 50 per cent.
“I think that will happen,” he said.
“The seller will find it difficult to sell their property because the buyer won’t be able to get a mortgage on the place because it is not up to a certain energy efficiency standard.”
Earlier this month, the government announced that 43 per cent of its boiler scrappage scheme vouchers have already been snapped up since the start of the year.