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Green Home has become a new buzzword in recent times, and government and environmentalists alike are pushing home buyers towards the new reality, Green Home. But what is Green home and why this push towards the new reality? And above all, what are the benefits of Green home. If these are the questions bothering you, then you are in the right place. Read this article to get all your doubts clarified.

Let’s begin with, what are Green Homes. The best part is that you can get a loan at a cheap home loan interest rate which makes it an amazing combination.

Green Homes

Are the Green Homes just the home painted green, obviously not. A green home is the homes which are built keeping in mind the environment, or these are the homes which respect the ecological environment. In layman’s language, green homes contribute positively to the environment or have no or minimal negative impacts on the ecological environment. Green Homes believe in the model of sustainable development. Climate change is the main reason behind the increasing push towards green homes.

Designing of the Green Home loans

Now that we have understood what green homes are now the question arises, how are these houses designed, and what are the things kept in mind while building a Greenhouse. There are no fixed guidelines for building a Green home; however, the basic ones are:

  1. Build a home close to a place which has easy access to public transport so that it does no contribute to air pollution.
  2. Insulating the home so that the home remains warmer in winter and cooler in summer which will reduce heating and air conditioning costs for the individual.
  3. Recycling material and goods involved in construction. This is in lines with the idea that goods are scarce and must be used in the best possible way. Using ecological friendly goods is another thing which entails a green home.
  4. Building Energy efficient homes. For instance: Building the homes in such a way that the home receives the natural light which will reduce the energy in electricity. Use of solar panel is another way of ensuring a home is in the path of sustainable development.
  5. Rainwater harvesting and designing the house in a way that ensures less or no wastage of water.

Apart from environmental concern, Green home has a further advantage. Let us discuss the associated benefits:

  1. The rate of interest charged on green home loans are comparatively lower than the typical home loans. Thus it helps in saving extra cost.
  2. The registration fee charged on the green home loans is way lesser than the home loans. This is done to promote people towards the green home.
  3. The government also offers the option for the existing homeowners to change their homes into a greenhouse which will help them to reduce certain cost like electricity.
  4. Government is also planning to incentivize the people for Green home loans.

Some of the Green Home loans products

1. SBI Green Home Loans

SBI offers a unique scheme for people who want to buy Green homes. The Green Home Loan Scheme supports environmental-friendly residential projects and provides various concessions—lower margins, reduced interest rate and no processing fee. These loans are sanctioned for projects rated by the Indian Green Building Council. The rate of interest for loans under the scheme will be 25 bps lower than the current rate for all tenures.

2. Kutumb – Green Affordable Housing

IIFL Home Loans offers ‘Kutumb’, a platform where the financial organization with the help of industry experts and housing developers creates a sustainable Green Home. It brings together the industry and the infrastructure developers by providing financial support as an incentive in inducing them to green Homes. Kutumb works towards using the scarce resource in the best possible way; it envisions that home should be made keeping in mind its impact on the ecological environment. It uses green technology, and environmentally-friendly sustainable methods that focus on the needs, efforts, and initiatives to promote sustainable and energy-efficient real estate development in the affordable sector.