Step 2: Select how the work will be financed
Fortunately, municipalities, the central government, and a number of mortgage lenders feel it’s important that homeowners encounter as few financial barriers as possible if they’re looking to make their home more sustainable.
That’s why there are multiple options available to apply for a sustainability grant. A complete overview of grants and loans can be found on the website Energiesubsidiewijzer.nl, which is managed by Stichting Milieu Centraal.
There are national schemes such as the Subsidie energiebesparing eigen huis (Energy- saving in your own home, SEEH) and the Energiebespaarlening (Energy-saving Loan. And there are many municipal schemes, the best known of which is the Duurzaamheidslening (Sustainability Loan).
Municipalities can offer a wide range of other schemes. At the Stimuleringsfonds Volkshuisvesting (SVn), you can view which local measures are offered for making homes more sustainable per municipality.
Using your own capital
If there’s no grant available or more money is needed, then you can of course use your own capital. Please ensure that you always maintain a financial buffer for unexpected expenses.
Investing in energy-saving measures is often an investment that yields a return in the shape of lower energy costs. This may yield more than if you would keep the money in a savings account.
If you do not have (sufficient) savings available, or would rather keep that capital separate as a buffer or for other expenses, then increasing the mortgage may be a good option.
Increasing your mortgage
It is also possible to increase your mortgage to finance sustainability improvements. Ask your Viisi advisor about the possibilities within your mortgage. If you don’t have a Viisi advisor yet, then you can set up a phone consultation here.
If you make your home more sustainable, the maximum mortgage is permitted to be higher than normal. These are the main deviations:
- Based on the property’s value: financing up to 106% of the market value after renovation is possible instead of 100%, with the condition that the ‘extra’ 6% must be fully utilized for sustainability measures.
- On the basis of income: if your (joint) income exceeds € 33,000 gross per year, an additional € 9000 may be borrowed for sustainability improvements. This increase also applies if you buy a home that has been rated with an energy label of at least A++ (issued before 1 January 2015), or a home with an energy index or energy performance coefficient of no more than 0.6. New-build homes already comply with this standard, in accordance with the rules of the Bouwbesluit (Building Decree).
- On the basis of the energy index: lastly, you can even borrow € 15,000 extra for a ‘Nul-op-de-Meter-woning’ (Zero-on-the-Meter home). If the energy index or the energy performance coefficient is 0 or lower, the extra borrowing range is even extended to € 25,000. The difference between these two is that with a Zero-on-the-meter home, an equal amount of energy is generated in a year as is utilized. The energy index below 0 means that the woning is self-sufficient in terms of energy at any given time.
The exact interpretation of these options depends on the lender. Most lenders simply allow all the above deviations, but this is not always the case. A few reliable examples of lenders who offer opportunities to increase the mortgage for sustainability are the following:
A final option for taking out a loan is to apply for an aflopend krediet (maturing credits). ABN AMRO’s Greenloans is an example of this. The interest rate on this form of borrowing is higher than on a mortgage loan. The advantage is that no notary, appraiser or mortgage advisor is needed to take out the loan. You do not have to be a customer of ABN AMRO for Greenloans, as the loan is available to everyone who meets the set conditions.